Syria's new currency entered circulation on January 1, removing two zeros from the Syrian pound in a redenomination aimed at restoring financial stability and attracting investment following years of war and hyperinflation.

The Central Bank of Syria issued implementation instructions for Decree 293 of 2025, setting the exchange rate at 100 old Syrian pounds to one new Syrian pound, state news agency SANA reported on January 1.

The new Syrian currency will launch with six denominations: 5, 10, 25, 50, 100, and 500 pounds, with one new pound equalling 100 old pounds. The 500 new pound note equals SYP50,000 in old currency. 

Both currencies will circulate during a 90-day transition period that can be extended and comes as part of a wider redevelopment of the economy under the new Turkish-backed al-Sharaa regime in Damascus.

Mohammad al-Bakour, head of the Economists' Syndicate, said the new issuance will facilitate transactions, save time and reduce burdens associated with handling large amounts.

He said currency stability would create an appropriate environment to attract investment, improve income levels and living standards, and serve as a starting point for comprehensive economic transformation.

Issam Ghuraiywati, head of the Damascus Chamber of Commerce and the Syrian-American Business Council, said launching the new currency does not constitute fresh inflation but rather a direct replacement of old money with new.

The 90-day transition period gives citizens sufficient time to adapt without financial losses.

Mohammad Imad al-Mawlawi, executive bureau member at the Rural Damascus Chamber of Commerce, said the exchange process will be available to all citizens through banks and exchange companies without fees or commissions.

Bank deposits will be automatically converted at the same value after removing two zeros from the old currency, preserving depositors' rights.

Researcher Karam Khalil said changing the currency and removing zeros is not a superficial decision but a necessary step to reorganise currency size, restore accounting clarity and reduce the burden of nominal inflation.

He noted success requires a simultaneous transition from a war economy to a production economy with sound rules to ensure the new currency becomes an effective tool for building a stable economy.