DAMASCUS, Syria (North Press) – Over a month after the February 6 earthquakes, Syrian President Bashar al-Assad has issued a presidential decree that grants loans up to 200 million Syrian pounds ($26.000) for affected people in the four quake-hit Syrian governorates.
Yet many complain that the relevant authorities have completely neglected its citizens, turning a deaf ears to those made homeless and displaced, who have questioned the government’s distribution of relief aid.
For a second time
This was the second time within a month that authorities announced they would grant interest-free loans to those affected by the earthquake. After the first was announced, reactions varied, but it soon became clear that the loan would be limited in its scope. Most Syrians are unable to repay loans at a time when the monthly salary of a government employee barely suffices to buy a few days’ worth of food.
The second decree, issued on March 12, gave more advantageous conditions to the first. It grants 200 million SYP, without interest, with payments beginning after three years, and installments spread over the course of 10 years.
The Syrian presidency said that decree No. 3 of 2023 is “an important step to relieve those affected through an exemption from regular taxes, fees and financial costs.”
Financial Burden
The presidency added that “although it is a State’s prerogative [to impose taxes] to be able to provide services to its citizens, at this time, [fees and taxes] will place an additional financial burden on devastated individuals or the affected in general after the February 6 earthquake.”
This will “support and enable those affected to help them recover and restore balance to their lives, which sustained much material and emotional damage. As one of the most important factors of the state’s post-earthquake response, President Bashar al-Assad issued Legislative Decree No. 3 of 2023,” the presidency announced.
Loan or laundering?
Some accused the Syrian government of “lending the affected people the donated money sent to help them.”
Ramez Muhammad, an IDP in Latakia whose house was destroyed by the earthquake, told North Press that everyone who provided help to Syria “was more compassionate to the affected people than the Syrian government, who only recently took action to show that it is supporting its people,” referring to the state’s attempt to loan affected Syrians their own money.
The people condemned the bank’s offer at the time. The situation changed when the decree was issued. However, some of the affected did not hesitate to recall the Syrian Constitution, which stipulates the State’s responsibility to ensure the provision of services to affected citizens and to ensure their right to housing.
Rafi Ali told North Press that “the government acts as if the problem is only with benefits. They ignore the fact that employees cannot afford installments or the repayment of loans.”
He echoed the questions that has been repeatedly asked by most Syrians. “What about the aid sent to Syria? Where did it go? Why not use it to help the quake-affected?”
Although the amount of aid was not declared, one economist told North Press that “all the money was deposited into the Central Bank. Hence, there was no change to the value of the Syrian pound.”
The number of affected is in the millions, as buildings that had already been damaged by war were destroyed as well, such as in Aleppo. In addition, the poor quality of construction also contributed to the large extent of destruction.
Many Questions
Shadi Issa, an economist, told North Press that the decree, similar to the previous 18 million SYP ($2.350) loan under the name of ‘support’ provided by the government through the al-Wataniya Microfinance Bank, “seems in appearance a type of contribution offered by the government for affected people. However, there are many questions about the Syrian authorities’ response to the crisis since the earthquake hit.”
The first and most important question is that “no one provided precise or rough data of the amount of aid which was sent and is still being sent to Syria. The authorities have not been transparent in this regard, which is one of the basic rights of victims. The aid sent from abroad is meant for the affected and not the Syrian government.”
Issa added that there are other inquiries about how seriously the government takes its responsibilities. Firstly, “Who is responsible for the poor construction? The citizen whose house was destroyed, which he bought without having the means to check its constructional integrity, now wants to know who was responsible for his misfortune. They want someone to take responsibility, especially in a country where real-estate prices [in relation to wages] are among the highest in the world.”
Several times an average salary
Another question is “What is the number of Syrians who are able to pay 800.000 per month, which is several times the average salary,” asks Issa.
“The role of governments is crucial during disasters, as there are responsibilities on their shoulders which cannot be patched simply through alms-giving,” according to Issa. “The governments should firstly shelter impacted people and then identify responsibilities and provide solutions.”
“The government has done nothing in this regard; even the interest-free loans will be another burden, especially as no one knows the amount of aid provided, as it was hidden from the impacted people,” Issa added.
Doubts
“Under the current circumstances, the new interest-free loans are a good step, especially since the payment starts three years after the loan is granted, and it is a sufficient time to restore houses or build new ones,” Shadi al-Aswad, a local journalist, told North Press.
“There are some people who will not be able to borrow such amounts of money. However, that is what the government can do, especially since the Public Treasury of the State is unable to cover even basic needs,” he added.
It is important for the government to implement its decree. In the past, announced decisions failed to be implemented. Many Syrians worry that the institutions in charge of handing out these loans are rife with corruption.
Overcoming corruption
Al-Aswad stressed that the government must find a mechanism to overcome corruption while implementing the decree, especially since it is directed to those who are affected by the quake, as some of them are still residing in houses at risk of collapse.
“The government has to provide more, but the ongoing circumstances do not allow for that,” he added.