The regulation of the banking activity in the Syrian free zones, which was made public last May, authorized the establishment of banking institutions offering all banking products and services, provided these institutions are «first category» institutions.
Banks established in these free zones will be exempted from the income tax and their customers will benefit from banking secrecy.
These banks should have a minimal capital of $10 million, to which $1 million per branch will be added as well as a mandatory reserve proportional to this capital. They should allocate each year a minimum of 10 percent of net profits to the constitution of a special reserve up to a minimum of 25 percent of their capital.
Banks wishing to establish in the free zones must submit a series of documents, which include among other things the technical specifications of the premises to be installed, the zone where they wish to exercise their activity, their regulations, the balance sheets and income statement during the last 3 years and the appointment of a Syrian representative. ― ( Banque Libano-Française Sal )
