Bashar al-Assad on Thursday fired his prime minister, a month ahead of elections and as the economic crisis worsens and public anger rises in the territory under his control.
Assad also appointed the current public works and housing minister to replace Imad Khamis, who had been the premier since 2016. Asad asked Hussein Arnous to replace Khamis as interim premier until parliament elections are held in July and a new government comes in.
The surprise decision comes amid a deepening economic crisis that the Assad regime is grappling with while public anger has spilled over into the streets. Such protest scenes have not been seen in government-held areas since the early days of the civil war that has ravaged the country over the past decade.
There was no explanation for the sacking of Khamis, but the move appeared aimed at deflecting public anger. In the month's time that he has in office, it remains unclear what the interim prime minister could do to try to salvage the staggering economic downturn.
The economic meltdown comes ahead of looming new U.S. sanctions against any entity or country that does business with the Assad regime. The new sanctions are due to take effect in the second half of June but they have shaken the already teetering economy. Known as the U.S. Caesar Syria Civilian Protection Act, the sanctions are expected to worsen the already dire economic situation in Syria, where more than 80% of the people live below the poverty line.
The national currency, the Syrian pound, has tumbled in recent weeks, reaching a record low to the dollar. The pound, which traded at 47 pounds to the dollar before the 2011 uprising, plunged to over 3,000 for a dollar this week. Prices of basic goods have skyrocketed while some staples have disappeared from the market as merchants and the public struggled to keep up with the rising cost of living.
The latest hardships have also sparked rare protests in areas controlled by the Assad regime. Hundreds of protesters in the southern Sweida province have taken to the streets in the last four days, decrying the rising cost of living and chanting against Assad, in scenes reminiscent of the early days of anti-government protests that erupted in 2011.
The currency has regained some of its strength over the last 24 hours as Syrian Central Bank officials said they have taken measures against currency manipulation and actions to prop up the currency.
Fouad Ali, head of banking operations at the Central Bank, told the local Sham FM radio that the pound has been impacted by the economic crisis in neighboring Lebanon, the entry point for foreign currency into Syria, as well as the looming U.S. sanctions.
