International hotel groups target Syria for investment as visitors surge

International hotel groups are targeting Syria for investment as visitor numbers surge, with the country recording 3.52 million visitors during the first half of 2026, according to official data reported by Reuters. The figure marks a 111% increase compared to the 1.67 million visitors recorded during the same period in 2025, driven by returning expatriates and a sharp rise in regional and foreign tourism following the removal of Bashar al-Assad’s administration in late 2024.

Global Hotel Groups Evaluate Syrian Expansion

Major hospitality firms are actively exploring development opportunities across Damascus and coastal destinations. Duncan O’Rourke, president for Middle East, Africa, and Asia Pacific at Accor, told Reuters that the French hotel group is in advanced negotiations regarding two projects in Syria.

Wyndham Hotels and Resorts is likewise pursuing investment deals in Damascus and coastal areas. Dimitris Manikis, president for Europe, the Middle East, and Africa at Wyndham, stated that he is confident the American company will soon announce its first agreement in the country, as reported by Reuters.

Meanwhile, Minor Hotels is examining plans to convert historic buildings in Old Damascus into small luxury boutique hotels while also developing new properties. Amir Golbarg, chief executive officer for operations in the Middle East and Africa at Minor Hotels, told Reuters that Syria’s geographic position and rich history grant it significant tourism potential, though he noted that years of underinvestment have left much of the existing hotel stock in urgent need of modernization.

Tourism Growth Outpaces Visitor Demographics

Data published by Syria’s Ministry of Tourism and cited by state news agency SANA details a broad-based expansion across all visitor categories during the first half of 2026. Syrian expatriates accounted for 2.13 million arrivals, reflecting a sharp increase.

Foreign tourist arrivals experienced the steepest surge, climbing 448% to approximately 719,000 visitors compared to the corresponding period last year. Arab visitor numbers rose to roughly 660,000, up from the previous period.

State news agency SANA noted that President Ahmed al-Sharaa’s administration is actively working to mend relations with Western nations and secure billions of dollars in reconstruction financing, including capital from Gulf states. Real estate developers are moving in alongside hoteliers; UAE-based Eagle Hills signed a framework agreement for two massive developments spanning 10 million square meters in Damascus and 4.3 million square meters in Latakia, with Emaar potentially joining the multi-billion-dollar projects, according to SANA.

Aviation Links Expand Amid Infrastructure Hurdles

Improving air connectivity has supported the influx of travelers, with carriers from Saudi Arabia, Qatar, the United Arab Emirates, Jordan, and Turkey operating regular routes into the country. SANA reported that Etihad Airways announced a step up to daily flights to Damascus, raising its weekly frequency from four to seven flights, while Qatar Airways and flydubai also serve the market.

Despite the commercial momentum, significant hurdles remain. The World Bank previously estimated the total cost of rebuilding Syria at $216 billion, which includes $75 billion for residential structures and $59 billion for non-residential facilities. Electronic payment capabilities remain restricted primarily to select foreign-issued cards at designated locations, despite Visa and Mastercard initiating limited operations. While the United States removed Syria from its state sponsors of terrorism list in August 2025, the U.S. State Department continues to advise its citizens against traveling to the country. Local communities have also voiced opposition to certain large-scale government-backed development plans, pointing to friction over urban projects.

Reconstruction Goals Target Economic Recovery

Before 2011, tourism accounted for approximately 12% of Syria's gross domestic product, drawing visitors to historical sites, cultural landmarks, and coastal attractions. Government planners now aim to expand tourism’s economic footprint significantly.

The Ministry of Tourism has set targets to elevate the sector’s contribution to 25% of GDP over the next two years, and up to 35% over the coming decade. To support service quality during this transition, the government introduced the “We Rise from the Foundation” program, offering technical guidance and flexible financing solutions to help property owners upgrade accommodations to meet international standards.