Enab Baladi – Jana al-Issa

The Syrian Civil Aviation Authority (SCAA) awaits improvements in several sectors as a result of the activation of a partnership contract with a private company whose management is linked to Syrian regime’s President Bashar al-Assad and his wife. This aims to invest in, operate, and manage the Syrian Airlines.

A knowledgeable source in the Syrian Airlines stated in a press announcement a few days ago that many expected improvements will occur within the organization over the coming days. He clarified that the improvements involve several areas, starting with the facilities at Damascus International Airport, adding some ground equipment, increasing salaries and wages for pilots and technicians, bolstering the civil aviation fleet with additional aircraft, repairing out-of-service planes, and reintegrating them into service, among other upgrades.

In July 2023, an investigative report conducted by Enab Baladi based on open sources through the official gazette revealed that Bashar and Asma al-Assad established a private company, which secured investment contracts in the aviation sector in Syria, named “Eloma.” This was done through obscure names directly linked to the presidential Palace.

Global salaries, New planes

On July 6, local television channel “Al-Khabar” quoted an unnamed source in the Syrian Airlines, stating that the expected improvements will first target the facilities of Damascus International Airport, followed by the addition of some ground equipment. The enhancements will also include salaries and wages for pilots and technicians.

The administration of the Syrian Airlines will be transferred to the investing company, which will bear responsibility for executing works and services related to air passenger and cargo transportation, as well as acquiring, leasing, and investing in aircraft.

The company will organize flight schedules, provide ground services, take agencies from airlines, and open branches inside and outside Syria. It will also bolster the civil aviation fleet with new aircraft, repair out-of-service planes, and reintegrate them into service.

All employees in the organization will receive salaries and compensations similar to those of their peers in global airlines. It is expected that civilian pilot salaries will reach six thousand US dollars, whereas technicians may earn four thousand dollars.

In recent years, numerous criticisms have been raised about the poor service and disorder in Syrian airports, both technically and administratively, alongside accusations that working personnel accept bribes and extort departing or arriving passengers for money.

According to the investigation by Enab Baladi, the purpose of Eloma company is to manage and invest in establishments operating in tourism and airport services, enter tenders and auctions with the public sector, buy shares and stakes in all types of companies, participate in founding these companies, join their management, and own the land and properties necessary to achieve the company’s objectives, excluding building, selling, and trading in residential properties.

About five months after the decision to establish it, the Ministry of Internal Trade and Consumer Protection ratified the decision of the extraordinary general assembly of Eloma, which unanimously approved amending the company’s purpose by adding the activity of managing airlines and airports.

On January 4, 2023, Eloma sent a letter to the Ministry of Transport, presenting its investment plan, which included investing 300 million US dollars over 20 years to:

• Purchase, maintain aircraft and engines, and spare parts to bring the fleet to 20 planes.
• Increase ground operations capacity to service more than 25,000 annual flights for both national and foreign carriers.
• Raise the number of passengers to more than three million annually.
• Develop the aircraft catering center to provide more than ten thousand meals daily.
• Develop the maintenance center to offer maintenance services and overhaul operations; develop the training center.
• Add a flight simulator to train Syrian and foreign pilots.
• Adjust salaries and compensations, raising them across all national categories and levels.

In return, the company will receive 20% of net revenues in the first ten years of investment, increasing to 25% of net revenues in the next ten years.

Encroachment on the public sector

Karam Shaar, director of the Syrian program at the Observatory of Political and Economic Networks and a doctor in economics, told Enab Baladi that Eloma is registered under the names of Ramia Hamdan Deeb and Razan Nizar Hamira, who are partners in other companies with individuals acting as fronts for Bashar and Asma al-Assad.

Razan Nizar Hamira is part of an acquisition of the public sector, according to Shaar. She partners with Ali Najeeb Ibrahim in the Infinity Sky Light company, which operates the Deir Ali power generation station south of Damascus. This project also aims at rehabilitating, operating, and managing the station.

Conversely, Ali Najeeb Ibrahim partners with Yassar Ibrahim in several facade companies that lack real existence in the business world and were founded to execute orders from the Presidential Palace.

Yassar Ibrahim, an advisor to the president, works in the Presidential Palace and has extensive economic relations with Asma al-Assad.

Shaar views the nature of activities carried out by this network, which acts as a facade for al-Assad, as an encroachment on the public sector, aiming to control and transform it into a profitable enterprise.

Regarding the possible improvements in the aviation sector by Eloma, Shaar believes the actual implementation of these improvements is feasible. Al-Assad aims to transform the SCAA from a near-dead company into a profitable and sustainable entity, in his words.

Massive gains for is founders

Economic researcher Adham Qudaimati told Enab Baladi that investing in the aviation sector is substantial and contributes significantly to the national output of any country. Hence, there are tremendous benefits to investing in it, and the gains are as extensive as the sector’s reach domestically and internationally.

Qudaimati explained that it is natural for the investing company to make tangible improvements. However, the benefit will be exclusive to its founders, who will obtain massive profits since the ownership spans an entire sector and benefits specific individuals, in his opinion.

Qudaimati also noted that the Syrian regime is maneuvering for changes that allow Arab countries to ease the embargo on various sectors, including aviation.

Airports are part of a nation’s sovereignty since the lack of services within them can prevent investors from arriving and contributing to the economy, as well as deter tourism. Tourism is one of the easiest sectors to inject money and foreign exchange into the country. Operating normally grants an impression of the country’s recovery.

The Syrian Airlines was established in 1946 with two Cessna master helicopters. It began conducting flights between Syrian airports in the governorates of Damascus, Aleppo, Deir Ezzor, and then Qamishli. In 1975, its name was changed to “Syrian Arab Airlines” by a presidential decree whose second article created a public institution named “Syrian Arab Airlines” based in Damascus and linked to the Minister of Transport. This institution is considered a company in its relations with others, and the commercial law applies to it.