The United States has removed Syria from its list of state sponsors of terrorism, ending a designation that had remained in place for nearly five decades. The move is expected to ease barriers to investment and support Syria’s efforts to rebuild its economy. The US Department of State also revoked the designation of al-Nusrah Front, also known as Hay'at Tahrir al-Sham (HTS), as a global terrorist organisation.

The decision came as Washington moved to provide wider sanctions relief to Syria. The Treasury Department also lifted several restrictions as part of the policy shift. Treasury Secretary Scott Bessent said the measures could support greater investment in Syria and contribute to its political and economic stability. "Today's action will help foster additional investment in Syria to promote political and economic stability," Treasury Secretary Scott Bessent said in a statement.

The Treasury Department said the latest steps were part of President Donald Trump's earlier commitment to ease sanctions on Syria. The agency linked the decision directly to the administration's broader policy towards the country. Treasury said the moves were "in line with President (Donald) Trump's promise to deliver sanctions relief to Syria."

At the same time, the US government stressed that the sanctions relief does not mean it will stop targeting individuals or groups involved in terrorism. The Treasury Department said the removal of restrictions on Syria "does not change Treasury's posture with regard to countering global terrorism and our commitment to hold bad actors in Syria accountable."

The decision also affects HTS, which the United States previously designated as a global terrorist organisation. The group was earlier known as the al-Nusrah Front and had operated as al-Qaeda's branch in Syria. HTS broke ties with al-Qaeda in 2016 and later worked to change its public image. The group attempted to present itself as a more moderate and political force in Syria.

Washington had first announced in July that it planned to remove Syria from the state sponsor of terrorism list. The announcement was viewed as a significant sign of support for Syria's new leadership. It also reflected a broader shift in US policy following major political changes in the country.

The decision followed a meeting between US President Donald Trump and Syrian leader Ahmed al-Sharaa on the sidelines of a NATO summit in Turkey. Sharaa, a former jihadist, has sought to present himself as a leader capable of bringing different sections of Syria together. His rise followed the 2024 overthrow of the Assad family, which had ruled Syria for around half a century through an authoritarian system.

The removal of Syria from the terrorism list could have major economic implications. The designation had placed strict limits on financial and commercial dealings with the country. Removing it could make it easier for international businesses and investors to explore opportunities in Syria. The US move also signals a major change in Washington's approach to the country after decades of restrictions.

However, the US has made clear that the policy shift will not remove its focus on terrorism. Washington is continuing to maintain pressure on individuals and groups it considers threats. The latest measures therefore represent a wider opening towards Syria while keeping counterterrorism measures in place.