«Medad» several sources and mechanisms to finance reconstruction in Syria, internal and external.
Ahmed al-Hassan's study, “Proposed Ideas for Financing Reconstruction in Syria,” focused on fiscal and monetary policies to secure the required domestic financing, along with other supportive policies, while several external sources cited loans and grants, but what we will focus on is internal sources. .
Beginning with the fiscal and monetary policy, the study proposed with regard to the state budget; working to increase revenues, improve the collection process, through the continuation of work to combat tax evasion, increase tax collection, and impose a tax on wealth, to achieve the principle of fair distribution of burdens of destruction, and raise rates Tax on profits and exemption of re-employed in real production processes.
The study also suggested imposing high tariffs on luxury goods and services that are not necessary to increase production or to satisfy basic needs, imposing high tariffs on goods that have internal alternatives, and reviewing tax exemptions for investment projects, especially services, in addition to ensuring the collection of revenues of state property in its various forms. Ideally, accelerate the re-investment of possible gas and oil fields, under contracts with international companies, providing additional resources for the state budget, and accelerate the operation of economic companies that are directly reproducible.
Central and financial market
The study found that the role of the Central Bank in the reconstruction phase is to ensure relative stability of the exchange rate, in order to maintain the stability of the purchasing power of the local currency and enhance confidence in them, and to target disciplined inflation rates, and set interest rates on long-term savings accounts, help to raise rates of savings in order to increase In addition to determining interest rates on credit in support of investment in the economic sectors with the highest return on output, the application of exceptional rules on the minimum liquidity, and the ratio of the legal reserve of banks in financing priority production operations in the region. Mechanism reconstruction.
With regard to banks, the study proposed to review the legislation governing banking, administrative and operational legislation, so as to be more flexible and more effective, to be able to contribute effectively to the financing of the reconstruction process, and the creation of a bank for reconstruction (Development Bank), which will form, along with the Central Bank President of the Syrian government can use it to channel credit to complete the reconstruction process as soon as possible. That.
The study considered that the role of the Securities Commission should be based on the development of its work in general, and in particular to carry out its important functions in stimulating and encouraging the establishment of joint stock companies and activate their work in the next stage, through the listing of shares of joint stock companies in the stock market, immediately after the completion of its establishment, if achieved Listing conditions and requirements, and reduction of the capital of joint stock companies required to enter the Securities Commission and other fees and expenses.
Other supportive measures
The study proposed measures to support the monetary and financial policies, in order to mobilize national resources for the success of the reconstruction process, which was the establishment of investment funds with the participation of all public and private economic activities, namely insurance companies, pension funds for doctors, engineers, pharmacists, and government agencies that have temporary or permanent surpluses such as the insurance institution Social, insurance and pension institution, funds of federations of chambers of commerce, industry, agriculture and tourism.
In addition to the establishment of specialized public joint stock companies in the fields of housing, construction, cement and building materials, food industries, textile industries, agricultural and animal production, agricultural marketing companies, and the good application of the law of public-private partnership, being one of the main sources of financing reconstruction in Syria, and serve The development process, focusing on basic productive projects and infrastructure, and the formation of growth poles in the strategic sectors according to the national development plan.
Supporting proposals include setting sound and clear controls on how and how to grant loans to SMEs, activating the Syrian Investment Company updated by Legislative Decree No. 81 of 2010, setting appropriate policies and procedures to stimulate and encourage the return of national migrant capital, and encouraging and motivating volunteer work to do some work such as the rehabilitation of schools and health centers. Roads, water and sewage systems and other works, recycling the rubble of buildings for reuse, thereby reducing the cost of reconstruction.
The study also suggested putting a high priority in the process of rebuilding public buildings as needed, focusing on the design and construction of government buildings on an economic basis to serve the construction function, restructuring state institutions, integrating institutions with similar functions, to take advantage of existing buildings to this end, and relieve pressure on The general budget of the State, reviewing the uses of the sites of companies and factories completely destroyed according to their location, converting the description of their lands from industrial to real estate / commercial, and selling them as such, and reconsidering the feasibility of continuing the partially destroyed industrial companies Market, competitive product, and sell them in the absence of feasibility, transforming the devastated areas in urban centers from residential use to commercial centers and service facilities, and to take advantage of its revenues to create new residential neighborhoods, and the use of clerics to activate the use of labor resources philanthropy in the financing of development work.