Step by step to an open economic system: Syria sets course for liberalization

British Journal of Middle Eastern Studies

Volumn 23, Issue 2, 1996, Pages 183-202

  Hopfinger, Hans ^a   Boeckler, Marc ^a  

^a UNIVERSITY OF ERLANGEN NUREMBERG   (Germany)

Author keywords

[No Author keywords available]

Indexed keywords

DEVELOPING COUNTRY; ECONOMIC LIBERALISATION; ECONOMIC POLICY; MARKET REFORM; STRUCTURAL CHANGE;

SYRIA;

EID: 0030372508     PISSN: 13530194     EISSN: None     Source Type: Journal    
DOI: 10.1080/13530199608705632     Document Type: Article

References (49)

1. Volker Perthes, 'Stages of Economic and Political Liberalization', in Eberhard Kienle (ed.) Contemporary Syria. Liberalization between Cold War and Cold Peace (London: British Academic Press, 1994), pp. 44-71; Henner Fürtig, 'Syrien am Scheideweg: ökonomische Liberalisierung ohne Systemveränderung', Orient, 35 (1994), p. 217.
2. Volker Perthes, 'Stages of Economic and Political Liberalization', in Eberhard Kienle (ed.) Contemporary Syria. Liberalization between Cold War and Cold Peace (London: British Academic Press, 1994), pp. 44-71; Henner Fürtig, 'Syrien am Scheideweg: ökonomische Liberalisierung ohne Systemveränderung', Orient, 35 (1994), p. 217.
3. Alfred Schüller, 'Ansätze einer Theorie der Transformation', Ordo, 43 (1992), pp. 35-63.
4. Eugen Wirth. Syrien, Eine geographische Landeskunde (Dannstadt: Wissenschaftliche Buchgesellschaft, 1971), p. 12.
5. Ibid, p. 10.
6. Volker Perthes, Staat und Gesellschaft in Syrien 1970-1989 (Hamburg: Deutsches Orient-Institut, 1990), pp. 59-70.
7. Law No. 56, 1977, and No. 41, 1978.
8. Sylvia Pölling, 'Which Future for the Private Sector?' in Eberhard Kienle (ed.) Contemporary Syria. Liberalization Between Cold War and Cold Peace (London: British Academic Press, 1994), p. 17.
9. See Perthes, op. cit., p. 94: 'The delivered turnkey projects include a paper factory, two fertilizer factories, a second refinery, a large power plant, two glass factories, two tanning factories, smaller chemical plants, ..., two more cement works, eight mills, four sugar factories, plants for fabrication of aluminum parts, cables, synthetic fibers, construction materials, porcelain, sanitary ceramics, lamps, medication, telephone distribution systems and pencils, ..., a dozen plants for textile and food processing industries ...'
10. Nabil Sukkar, 'The Crisis of 1986 and Syria's Plan for Reform', in Eberhard Kienle (ed.) Contemporary Syria. Liberalization Between Cold War and Cold Peace (London: British Academic Press, 1994), p. 27.
11. Volker Perthes, 'Wirtschaftsentwicklung und Krisenpolitik in Syrien', Orient, 29 (1988), pp. 262-81. On p. 264 Perthes quantifies the foreign dependence of Syria's industry by using a Syrian calculation: imported raw materials and intermediate products amount to 90% of the production value of the Syrian chemical industry, 88% of the iron and steel industry, 71% of the timber industry and 66% of the paper industry.
12. Sukkar, op. cit., p. 28.
13. The five-volume study is unfortunately not available. However, the director of research quotes some of the findings elsewhere: see Sukkar, op. cit., p. 29.
14. The original plan was to open up 640,000 ha for irrigation. Only a fraction of this was achieved; according to Scheumann, by 1990 only 82,000 ha. See Waltina Scheumann, 'New Irrigation Schemes in Southeast Anatolia and in Northern Anatolia', Quarterly Journal of International Agriculture, 21 (1993), p. 246; see also Hans Hopfinger, 'Die syrische Bewässerungslandwirtschaft zwischen Staatseinfluß und freier Entfaltung privater Wirtschaftstätigkeit' in Klaus Rother and Herbert Popp (eds) Die Bewässerungsgebiete im Mittelmeerraum (Passau: Passavia, 1993), pp. 127-34.
15. The original plan was to open up 640,000 ha for irrigation. Only a fraction of this was achieved; according to Scheumann, by 1990 only 82,000 ha. See Waltina Scheumann, 'New Irrigation Schemes in Southeast Anatolia and in Northern Anatolia', Quarterly Journal of International Agriculture, 21 (1993), p. 246; see also Hans Hopfinger, 'Die syrische Bewässerungslandwirtschaft zwischen Staatseinfluß und freier Entfaltung privater Wirtschaftstätigkeit' in Klaus Rother and Herbert Popp (eds) Die Bewässerungsgebiete im Mittelmeerraum (Passau: Passavia, 1993), pp. 127-34.
16. Hans Hopfinger, 'Öffentliche Landwirtschaft in Syrien', Erdkunde, 44 (1990), pp. 123-35.
17. Hans Hopfinger, 'Kapitalistisches Agrobusiness in einem sozialistischen Land? Syrien versucht neue Wege in der Landwirtschaft', Die Erde, 121 (1990), p. 159.
18. Hans Hopfinger, 'Economic Liberalization in a Centralized System: Agro-Business in Syria as a Major Step Towards a Market Economy', in Hans Hopfinger (ed.) Economic Liberalization and Privatization in Socialist Arab Countries (Gotha: Perthes, 1996), pp. 165-82.
19. Ibid., p. 176.
20. On the concept and range of the Syrian 'war dividends' see Volker Perthes, 'Kriegsdividende und Friedensrisiken: Überlegungen zu Rendite und Politik in Syrien', Orient, 35 (1994), p. 416.
21. In 1993 Syria's total debt to Moscow amounted to an estimated USS10 to 12 million. This debt is considered by Syria as non-refundable payments. See Polling, op. cit., p. 16, and Perthes, Kriegsdividende, p. 417.
22. In 1993 Syria's total debt to Moscow amounted to an estimated USS10 to 12 million. This debt is considered by Syria as non-refundable payments. See Polling, op. cit., p. 16, and Perthes, Kriegsdividende, p. 417.
23. Sukkar, op. cit., p. 39.
24. Hans-Rudolf Peters, 'Transformationstheorie und Ordnungspolitik', Wirtscliaftswissenschaftliches Studium, 19 (1990), pp. 384-9.
25. Alfred Schüller, 'Ansätze einer Theorie der Transformation', Ordo, 43 (1992), pp. 35-63.
26. Horst Siebert, 'The Transformation of Eastern Europe', Kieler Diskitssionsbeiträge, 163 (1991), pp. 16-20.
27. Perthes, op. cit. (1994), p. 70.
28. David Butter, 'The Public-Sector Problem in Syria', Middle East Economic Digest (4 June 1993), pp. 2-4.
29. A senior officer in the Ministry for Industry can earn £56000 a month; in a comparable position in the private industry sector he will earn up to £530,000 a month. See Volker Perthes, 'The Syrian Private Industrial and Commercial Sectors and the State', International Journal of Middle East Studies, 24 (May 1992), p. 216.
30. Sukkar, op. cit., p. 35.
31. Law No. 10, articles 10-18 and 23-26; see also Christian Schneider-Sickert and Andrew J. Jeffreys, The Oxford Business Guide. Syrian Arab Republic 1995-6 (Bansteadt/UK: Oxford Business Guides, 1995).
32. Law No. 10, article 4.
33. In order to protect domestic poultry production, for example, an English poultry farming enterprise project was granted approval on condition that production was for export only.
34. Until end of 1993 see Sylvia Polling, 'The Role of the Private Sector in the Syrian Economy. Law No 10 for the Encouragement of Investment as a Further Step towards Economic Liberalization and Market Deregulation in Syria' in Hans Hopfinger (ed.) Economic Liberalization and Privatization in Socialist Arab Countries (Gotha: Perthes, 1996), pp. 155-64.
35. L'Office Arabe de Presse et Documentation (OFA), Rapport Economique Syrien 1991-1992 (Damascus: OFA-Press, 1993) and L'Office Arabe de Presse et Documentation (OFA), Rapport Economique Syrien 1992-1993 (Damascus: OFA-Press, 1994).
36. L'Office Arabe de Presse et Documentation (OFA), Rapport Economique Syrien 1991-1992 (Damascus: OFA-Press, 1993) and L'Office Arabe de Presse et Documentation (OFA), Rapport Economique Syrien 1992-1993 (Damascus: OFA-Press, 1994).
37. Hans Hopfinger, Öffentliche und private Landwirtschaft in Syrien. Eine wirlschafts- und sozialgeographische Untersuchung im Nordwesten und Nordosten des Landes, Erlanger Geographische Arbeiten, Sonderband 19 (Erlangen: Junge & Sohn, 1991).
38. Law No. 10, article 16, section b.
39. Law No. 10, article 24, sections a, b and c.
40. See e.g. Riad Seif, in al-Sharq al-awsat 29 (15 January 1995), pp. 36-37; Yahyā Hindī, 'al-Sinā'a fī Sūriyya', Majallat Sinā'at Halab I (1995), pp. 20-3.
41. See e.g. Riad Seif, in al-Sharq al-awsat 29 (15 January 1995), pp. 36-37; Yahyā Hindī, 'al-Sinā'a fī Sūriyya', Majallat Sinā'at Halab I (1995), pp. 20-3.
42. Law No. 24, 1986.
43. Hindi, al-Sinā'a, p. 21.
44. See Middle East Economic Digest, 39 (29 September 1995), p. 10.
45. Steven Heydemann.'The Political Logic of Economic Rationality: Selective Stabilization in Syria', in Henri J. Barkey (ed.) The Politics of Economic Reform in the Middle East (New York, 1992), p. 32.
46. See also the assessment of the current situation by the Syrian Minister for Economy, Mohamed Al-Imady, Syria's Experience in Trade Liberalization & Policies of Economic Reform (Damascus, 1994); David Butter, 'Doubts Delay Progress on all Fronts', Middle East Economic Digest, 39, Special Report on Syria (29 September 1995), pp. 8-11; Nabil Sukkar, 'Economic Liberalization in Syria', in Hans Hopfinger (ed.) Economic Liberalization and Privatization in Socialist Arab Countries (Gotha: Perthes, 1996), pp. 147-53.
47. See also the assessment of the current situation by the Syrian Minister for Economy, Mohamed Al-Imady, Syria's Experience in Trade Liberalization & Policies of Economic Reform (Damascus, 1994); David Butter, 'Doubts Delay Progress on all Fronts', Middle East Economic Digest, 39, Special Report on Syria (29 September 1995), pp. 8-11; Nabil Sukkar, 'Economic Liberalization in Syria', in Hans Hopfinger (ed.) Economic Liberalization and Privatization in Socialist Arab Countries (Gotha: Perthes, 1996), pp. 147-53.
48. See also the assessment of the current situation by the Syrian Minister for Economy, Mohamed Al-Imady, Syria's Experience in Trade Liberalization & Policies of Economic Reform (Damascus, 1994); David Butter, 'Doubts Delay Progress on all Fronts', Middle East Economic Digest, 39, Special Report on Syria (29 September 1995), pp. 8-11; Nabil Sukkar, 'Economic Liberalization in Syria', in Hans Hopfinger (ed.) Economic Liberalization and Privatization in Socialist Arab Countries (Gotha: Perthes, 1996), pp. 147-53.
49. Perthes, see n. 18, p. 420, uses this terra in the sense of its theoretical capacity of generating profits for the state, analogous to the 'war dividends', and raises the question of Syria's prospects of substituting capital from Western countries for the subsidies granted by Arab brother-states once the Middle East conflict has been resolved. From the point of view of the actors in the private economic sector, hope for peace is linked to expectancy of reforms accelerating the process of free-market economy.