In a region long defined by shifting alliances and simmering tensions, the past year has seen a dramatic reshaping of Syria’s role in the Middle East—and the reverberations are being felt from the Golan Heights to Washington, D.C. On December 4, 2025, the Israeli Defense Forces launched a significant raid on the southern Syrian village of Beit Jinn, a move that killed nearly two dozen Syrian villagers, including several women and children, and left six Israeli soldiers wounded. The operation, which Israel described as targeting the Lebanese Muslim Brotherhood affiliate Jamaa Islamiya, underscored Israel’s increasingly assertive posture in post-Assad Syria, even as the United States urges restraint and dialogue.
Beit Jinn, a small community of fewer than 3,000 people located just 30 miles from Damascus, has long been seen by Israeli officials as a hub for Hamas-linked activity. Since the collapse of the Assad regime about a year ago, the Israeli military has advanced through a United Nations-monitored demilitarized zone, establishing nine posts inside southern Syria and operating up to nine miles inside Syrian territory. Israel argues these moves are necessary to prevent hostile militant groups, Syrian government forces, and Turkish troops from massing near its borders. According to the Israeli Defense Forces, "[Israeli] troops conducted an operation to apprehend suspects from the [Jamaa] Islamiya [Lebanese Muslim Brotherhood] terrorist organization operating in the Beit Jinn area of southern Syria." The statement continued, "Several armed terrorists opened fire at the troops. IDF soldiers responded with live fire, supported by aerial assistance."
But the cost of these operations has been steep. The raid and accompanying airstrikes in Beit Jinn resulted in significant civilian casualties, drawing condemnation from Damascus, which labeled the attack a "war crime" and accused Israel of seeking to ignite regional conflict. The Israeli government, meanwhile, maintains that its actions are part of a broader strategy to establish a de-facto buffer zone in Syria, especially in the wake of the Assad regime’s collapse. Since then, Israel has conducted hundreds of strikes on Syrian military equipment, government facilities—including the defense ministry—missile and chemical weapons infrastructure, and suspected militant positions.
Israeli Prime Minister Benjamin Netanyahu has made no secret of his intent to protect Israel’s borders and maintain strategic depth, particularly in areas adjacent to the Druze-inhabited enclaves near Mount Hermon. On November 19, 2025, Netanyahu toured IDF positions near the Druze village of Hader, flanked by top defense and security officials, in what many analysts interpreted as a show of force aimed at both Damascus and the broader region. Netanyahu emphasized, "Syria has an interest no less than Israel—perhaps even more—in reaching a security agreement with us."
Yet, while Israel presses its military advantage, Syria is undergoing a remarkable economic and diplomatic transformation. On December 5, 2025, Central Bank of Syria Governor Abdulkader Husrieh announced that Syria’s economy is growing significantly faster than the World Bank’s modest 1% forecast for 2025, thanks in large part to the return of 1.5 million refugees following the end of the 14-year civil war. Speaking via video link at the Reuters NEXT conference in New York, Husrieh described the repeal of many U.S. sanctions against Syria as "a miracle." He added, "I don't think that reflected the reality of the Syrian economy, because we have, like, 1.5 million refugees coming back. Just calculate what's at the minimum, what such return of refugees could add to GDP."
Husrieh revealed that Syria is preparing to launch a new currency in eight denominations, removing two zeroes from the battered pound in an effort to restore public confidence. The Syrian pound was quoted at 11,057 to the U.S. dollar on December 4, 2025. The central bank also plans to end seven decades of financing government budget deficits, a move Husrieh called "a signal and symbol for this financial liberation." Alongside these monetary reforms, Syria is working with the International Monetary Fund (IMF) to develop more accurate methods for measuring economic data, reflecting what officials describe as a "resurgence."
In a sign of Syria’s reintegration into the global economy, the country recently struck a deal with Visa to establish digital payment systems and is working with both Visa and Mastercard to build a comprehensive payment ecosystem. "We are glad that we are working with Visa and Mastercard," Husrieh said, adding that officials were holding further meetings with Visa to advance the partnership. The vision, he explained, is to position Syria as a financial hub for the Levant, signaling both ambition and optimism after years of isolation.
This economic turnaround has been facilitated by a thaw in international relations. Since the ouster of longtime dictator Bashar Assad, Syria’s interim government has moved quickly to restore ties with the West. In May 2025, interim President Ahmed al-Sharaa met with U.S. President Donald Trump in Riyadh, followed by a visit to the White House in November. The United States has since eased significant parts of its sanctions program, while European governments have announced the end of their own economic sanctions. The U.S. Treasury extended enforcement of the so-called Caesar sanctions for another 180 days on November 10, 2025, but Husrieh expressed confidence that these, too, would be repealed by year’s end, saying, "Once this happens, this will give comfort to our potential correspondent banks about dealing with Syria."
Yet, even as Syria’s economy rebounds and it seeks a place in the new regional order, tensions with Israel threaten to upend fragile progress. U.S.-brokered talks between Israel and Syria on a limited security pact stalled and broke down in November 2025, largely due to Israel’s military actions and demands for a comprehensive security deal—including control of most of the Golan Heights. The Trump administration, for its part, has sought to integrate Syria into a broader U.S.-guided security and economic architecture, including the Abraham Accords, which have normalized relations between Israel and several Arab and Muslim states.
President Trump has not hidden his frustration with Israel’s approach. On December 1, 2025, he posted on social media: "The United States is very satisfied with the results displayed, through hard work and determination, in the Country of Syria. We are doing everything within our power to make sure the Government of Syria continues to do what was intended, which is substantial, in order to build a true and prosperous Country…It is very important that Israel maintain a strong and true dialogue with Syria, and that nothing takes place that will interfere with Syria’s evolution into a prosperous State. The new President of Syria, Ahmed al-Sharaa, is working diligently to make sure good things happen, and that both Syria and Israel will have a long and prosperous relationship together…"
According to Israel’s Channel 12, U.S. officials have repeatedly expressed frustration to their Israeli counterparts about the escalation in Syria, particularly in the wake of the Beit Jinn raid. A senior U.S. official told regional media, "Syria doesn’t want problems with Israel. This isn’t Lebanon (apparently referring to Hezbollah, not the Lebanon government)… [Netanyahu] is seeing ghosts everywhere…We are trying to tell [Netanyahu] he has to stop this, because if it continues, he will self-destruct, miss a huge diplomatic opportunity and turn the new Syrian government into an enemy."
Despite these tensions, both Trump and Netanyahu have signaled that their broader relationship remains intact. After Trump’s public criticism, Netanyahu called the U.S. president to explain Israel’s Syria policy, and was subsequently invited to the White House for what will be his fifth visit since Trump’s return to office. The Syria issue is expected to be a central focus of their upcoming discussions, alongside the evolving security landscape of the region.
As Syria tries to rebuild from the ashes of civil war and Israel asserts its security interests, the delicate dance between military action and diplomatic overtures continues to shape the future of the Middle East. With economic reforms underway and international ties being restored, Syria’s next chapter is unfolding under the watchful gaze of both its neighbors and the world.
