Nov 14 Economy

العقوبات الأوربية تجمد جزء من أموال المصارف السورية الخاصة في الخارج
The EU sanctions have frozen part of funds of Syrian banks abroad
http://www.aksalser.com/index.php?page=view_news&id=094afdc4ea967c626d4c70976de4500f&ar=782533139
Monday - November 14 - 2011 - 16:06:31

Executive General Manager of Bank Audi Syria, "Bassel Hamwi," revealed that the European and U.S. sanctions caused the freezing part of the "Syrian private banks deposits" in the international banks, which confirms that the sanctions began to affect the private banks in Syria, according to "al-Iqtisadi" magazine.

And on the funds deposited abroad by up to 30% of its assets, "Hamwi" said: "Unfortunately, part of which was frozen in Western countries by foreign banks."

In response to a question on the reasons for freezing the funds, noting that the sanctions are directed against specific persons and against the Syrian government, and not against all the funds of the Syrian people, "Hamwi" said, "For foreign banks, as long as (the account is related to) Syria or a Syrian bank, especially the US dollar account, they may see it is better to freeze them until they get a license from the Department of sanctions in the U.S. Treasury. "

He added: "The issue, subject to estimation, depends on a unit manager of compliance in these international banks. There are some who decide to release these funds belonging to Syrian banks, and it is his view that they do not call to get clarification from the department of U.S. and European sanctions, while a large part of them are more careful, and freeze the funds. "

And with respect to funds that have been released, "Hamwi" said: "Some Syrian banks have transferred them to other global banks which they trust, and others transferred them to the banks in strategic partners."

And expectations about the impact of sanctions in reducing conversion of these foreign currencies from Syrian banks abroad, "al-Hamwi" said, "Syria's current laws make it difficult for Syrian banks to lend in a foreign currency, and may be it is time to reconsider this, since they continue to transfer their deposits in foreign banks with little interest."

An economist predicts that the volume of funds deposited in Syria's private banks abroad amount to upto about 200 billion Syrian pounds, about a third of which forms assets of private banks.

---

تجاوز بعض العقبات أمام تعاملات التجار.. التجاري السوري: لم نحمل المتعاملين تبعية العقوبات المفروضة علينا
Overcome some obstacles to the traders' transactions .. CBS: We hold no affiliation dealers sanctions imposed on us
http://www.aksalser.com/index.php?page=view_news&id=9cacf53f4b483cc06c59650b8809336d&ar=392401372
Monday - November 14 - 2011 - 8:52:43

An assistant Director of the Directorate of External Relations in the Commercial Bank of Syria, Maha Abdel Rahman, said: The decision to stop dealing with U.S. dollar is an American decision, not Syrian, and the resolution included the Commercial Bank of Syria and all the other banks, and although some banks, and to date, can deal with the dollar, provided that in such a way that the dealing partners abroad are not American banks, and concerning the CBS, the range of the dollar deal with the scope is limited and very narrow.

And about the bank's plan about engaging dealing policy with the Chinese yuan and Russian ruble announced by the Central Bank recently,

He said according to the newspaper "alwatan.sy" for its plan in order to deal the Russian ruble and the Chinese yuan, dealing with these two currencies can only be used in business operations with Russia and China, these two currencies are not so worldwide that we can import from the rest of the world, pointing out that it is difficult to dispense euro, and it has not issued a decision preventing the deal, and especially that the ruble and the yuan, can not solve euro's place, but they facilitate universal business processes with Russia and China only.

And "Abdul Rahman" confirmed that the bank did not stop dealing with Syria's private banks, "but we received a lot of renewal of guarantees, and we have approved, but the issue of new guarantee from a European bank is difficult for us. And as for the local banks, things are normal. We accept the guarantees that come to us with payment by check or cache, and we focus on the necessity of a corresponding bank of the process, and today we passed this subject also to facilitate the proceedings for merchants after the imposition of sanctions."

And "Abdul Rahman" stressed that the sanctions applied to the Commercial Bank of Syria, caused increasing the costs of conversion on the bank, and became a resort for the intermediary banks have not reflected on a customer. It takes half the commissions only so that sanctions do not affect a client.

In this period, traders who deal with private banks complain about new complexities imposed, and all what accompanies from blocking previous facilities. Banks have become mother of problems after it canceled a lot of facilities, raised the extra provisioning on the opening credits twice, also the value of the first installment's opening credits doubled, raised withdrawals, guarantees for loans has become more complex, with increased sponsorship fees to 3% minimum, in addition to that, banks refrain from opening credits for the dollar now, and banks, for their part, do not pump currency to provide liquidity to the market.

Although the Syrian traders accustomed to years of sanctions and they adapt to their situation with them, and although the current crisis is more severe, trade always find solutions.

For his part, the board member of the Damascus Chamber of Commerce, Mohammad Hallaq, confirmed that the difference between the euro and the dollar is not borne by the merchant or the local bank. A trader is obliged to convert his currency to the euro when he buys raw materials from abroad, and in contrast, foreign banks pay the Syrian merchant value of his goods in dollar, and to invoke the difference that the bank takes from him by the need to purchase in euros, because of what it calls take the risk of the euro.