DEIR EZ-ZOR, Syria (North Press) – Following the major drop in the value of the Syrian pound against foreign currencies in the past two weeks, Ahmad’s wage is no longer sufficient for his daily expenses.
Ahmad al-Hamad, a resident of the village of Hammar al-Ali in the western countryside of Deir ez-Zor, east Syria, complains about the sudden and major increase of prices as a result of the collapse of the Syrian pound against other currencies. Now, his monthly salary no longer covers the expenses of few days.
The prices of goods in Deir ez-Zor spiked significantly, increasing the concerns of the locals amid the unstable political scene and lack of job opportunities, which negatively affected the economic conditions of the population.
In the past two weeks, the Syrian pound’s value dropped twofold. Before that, it had maintained the exchange rate of 8,000 Syrian pounds per dollar, whereas, on July 23, it reached 13,600 SYP per dollar.
Al-Hamad is unable to secure the basic needs of his family after the deterioration of the Syrian pound against the US dollar. He works in an establishment of the Autonomous Administration of North and East Syria (AANES) and receives a salary with the Syrian pound.
The AANES was first formed in 2014 in the Kurdish-majority regions of Afrin, Kobani and Jazira (Qamishli and Hasakah) in northern Syria following the withdrawal of the government forces. Later, it was expanded to Manbij, Tabqa, Raqqa, Hasakah and Deir ez-Zor after the Syrian Democratic Forces (SDF) defeated ISIS militarily there.
The SDF, with the support of the US-led Global Coalition, defeated ISIS after fierce battles in the town of Baghouz in the eastern countryside of Deir ez-Zor, bringing an end to the so-called caliphate declared by the terrorist ISIS.
Regions in the east of the Euphrates River are held by the AANES, whereas large areas of the Syrian Desert and the southeastern countryside of Deir ez-Zor located to the southwest of the Euphrates River are under the control of the Syrian government forces and Iranian-backed militias.
Like most of the people of Deir ez-Zor, al-Hamad is looking for another job besides his current job but has not been lucky due to the lack of economic projects in the region.
AANES officials in Deir ez-Zor attribute the lack of projects to unstable and deteriorating security conditions. They demanded the US–led Global Coalition to support the stabilization of the region to enhance its economic reality. Although ISIS was militarily defeated, its sleeper cells are still active.
Osama al-Khedr, a resident of the village of al-Hissan in the west of Deir ez-Zor who works in trade, suffered from huge losses in trade because of the difference in the value of the exchange rate as he had insisted on selling in Syrian pound.
The rise in prices affected his business after markets halted buying and selling. He stopped purchasing new merchandise due to the sudden collapse of the Syrian pound and closed his shop until the exchange rate stabilizes.
Saleh al-Obeid, a wholesaler from the village of al-Tar in the west of Deir ez-Zor, also went through financial losses that exceeded 2 million SYP (which equals about $166) in just a few days.
He fears the deterioration of the economic situation more than it already is as a result of the unstable exchange rate and described the state of the market as “extremely bad.”
This collapse of the Syrian pound aggravated the suffering of the people of Deir ez-Zor, adding that any future collapse will force merchants to close their shops, al-Obeid added.
Syria has been experiencing a severe economic crisis for several years, with one of the main drivers being high inflation rates. The inflation rate in Syria has skyrocketed due to a combination of factors, including the ongoing civil war, economic sanctions, and a shortage of essential goods.
The high inflation rate in Syria has had a devastating impact on the country’s population, with many struggling to afford basic necessities such as food, housing, and healthcare. The ongoing conflict in Syria, coupled with the economic crisis, has led to a humanitarian catastrophe, with millions of Syrians displaced and in need of aid.
The recent collapse of the Syrian pound led to the closure of shops for fear of suffering losses, whereas other shops opted to deal and sell with the US dollar.