Daily Struggle
Life for most Syrians is very difficult. Failed economic policies pursued over many decades by the regime have led to rising levels of poverty. Recent policies designed to liberalize the Syrian economy have led to massive price increases for basic commodities and even more misery for the ordinary citizen. The situation is exacerbated by the culture of corruption which is rife in the bloated bureaucracy and encouraged by the secret police. With unemployment levels rising to dangerous levels, and a super-rich elite growing ever richer, the illusion of stability in Syria could soon be shattered by the vocal demands of an economic underclass.
Official figures: Prices Up 30 Per Cent.
9 July 2008
Syrian Arab News Agency – The Central Bureau of Statistics (CBS) has estimated that prices for goods and services between 2005 and April of this year have gone up 30 per cent.
In its monthly consumer price index newsletter, the CBS said that the cost of food stuffs has gone up by 52 per cent, bread by 55 per cent, meats by 40 per cent, fish by 28 per cent, eggs and dairy products by 59 per cent, oils and fats by 71 per cent and fruit by 62 per cent.
The consumer price index newsletter also said that sugar, jam, honey, chocolate and sweets have gone up by 38 per cent; alcoholic beverages by 14 per cent; shoes by 26 per cent; housing rents by 11.5 per cent; clothes by 25 per cent; building materials and the cost of household refurbishment by 21 per cent; carpets and furniture by 14 per cent; household textiles by 25 per cent; household goods by 17 per cent; glass goods and tableware by 14 per cent; health services by 17 per cent; transport by 27 per cent; education by 17 per cent; hotels and restaurants by 20 per cent. The CBS noted that not a single service has gone down in price except communications, which has gone down by 11.29 per cent.
The CBS also said that the publication of the consumer price index for May was delayed because fuel price increases in that month required the revising of figures to ascertain the effect of the fuel price rise on the cost of goods and services.
High Cost of Dowries Puts Syrians Off Marriage
25 July 2008
SyriaNews – A new study has revealed that Syrian men put off marriage because of the the high cost of dowries.
The study, which was carried out by the official Thawra newspaper, said that 75 per cent of those polled regarded securing housing as the biggest obstacle to marriage. Of those who said they desired to get married, 82 per cent said that the high cost of dowries and girls' excessive demands was the biggest reason why they had put off marriage.
The same survey polled 30 per cent of men preferring to stay as bachelors to escape "the domination of women and their desire for an independent view." However, 85 per cent of men said that they wanted to get married to a working woman, while only a minority regarded a woman's place to be at home looking after the children.
Price Rises Force Syrian Consumer To Change Shopping Habits
14 July 2008
DPA - The priorities of the Syrian consumer are beginning to change following the wave of price increases which have affected all consumer goods and which have left most people feeling depressed.
The official Thawra newspaper said that many citizens have changed the priorities on their shopping lists as well as changed where they buy from. The newspaper reported on a woman with two children who was shopping in a popular market to buy clothes for her family. She said that "it is cheaper to buy from this market and it suits our living standards." She added: "A third of the salary goes to pay the rent for the room and kitchen where we live. What is left of the salary goes to paying for food, clothing and medicines. Thank God my girls are young and do not have school expenses." As for consumer goods, the women said that she went to wholesale stores and bought only what was needed. "Washing-up liquid, unrefined cottonseed oil by the kilogram, macaroni, the cheapest type of rice, etc."
In a popular vegetable market, the newspaper met with another woman who said: "Most of the money in the household goes to buying food despite her family being small having only three children." She said that what remains of the income barely covers other matters, which is why she scrutinizes prices carefully and sets a daily budget of what she needs according to the money available. She said that she postpones buying necessary goods because she is unable to pay for them. As for buying clothes, the woman said that she only buys clothes twice a year, "and even then from Palestine Market (a cheap market in Yarmouk refugee camp in Damascus) or from street sellers." "Rarely do I buy clothes for myself" she added.
The newspaper quoted a male head of a household who said: "We cannot even get near meats or fruit." He added: "Why buy rice? Isn't grits enough?" To make ends meet, Syrians have had to replace one commodity for a cheaper alternative.
The newspaper met another man in the Friday market in the Rukn al-Din area of Damascus. He said: "After this price increase, the way I spent my salary changed. Most of the salary now goes to food, transportation and fuel. This is why we try to economize in the way we spend and prioritize spending. The problem is we now live in the age of technology and science and the family which has more than three children needs to send them to computer training courses or language training courses as well as private tuition lessons. How are we going to cope with prices going up? These courses are already expensive and every year they increase the fees without actually improving the training programmes."
The newspaper added that the increase in the cost of living has had a negative impact on people's social life. Families are beginning to close-in on themselves and ignore many of the social etiquettes like generous hospitality or participating in festivities. People are now avoiding welcoming guests and violence between family members is on the rise. Engagement and wedding ceremonies are attended by close family only to minimize cost, and relations with family and neighbours are kept to a minimum to avoid unnecessary spending.
The newspaper added that the problem lies not only in the increase of prices but also in low wages which are often not enough to cover the basic necessities. Is it reasonable that Abu Jasim (a Syrian citizen) eats only one kilogram of meat a month and only one chicken a month because his salary is only enough for the most basic necessities?
687,000 New Properties Needed To Overcome Housing Crisis
27 July 2008
Al-Nida – Syrians are experiencing unprecedented rises in the cost of residential flats, which in some Damascus districts have reached extraordinary levels similar to those in some European capitals. This has become a great source of worry for many, especially those on fixed incomes.
Economic experts have revealed that flat prices have gone up 40 per cent in the last two years because of property speculation, an increase in land prices and an absence in guiding plans. They have pointed to the price of a flat in the prestigious Al-Malki neighbourhood which now fetches 90 million liras (1.8 million US dollars) in a country where the average monthly salary for most workers is 200 dollars.
There is a price gulf between Damascus and its environs. The price of one square metre of real estate in the rural Damascus area ranges between 10,000 liras (200 dollars) and 25,000 liras (500 dollars.) In central Damascus one square metre of real estate is subject to supply and demand and the location of the land but prices range between 50,000 liras (1,000 dollars) to 200,000 liras (4,000 dollars.)
The number of people seeking properties in Syria is estimated to be around 1.5 million, while the actual increase in the number of new properties entering does not exceed 10 per cent a year of actual demand. The tenth five-year plan states that Syria needs to build 687,000 new residential units to over come the housing crisis.
Estate agents say that the property market is still sluggish because of the excessively high property prices. They said they expected prices in the coming period to remain high as many owners of flats are holding back from selling expecting prices to rise even further.
The owner of "New Damascus for Construction" estate agent in the prestigious Mezzeh neighbourhood Ayman al-Azma said that the reason why property prices are increasing particularly in the Mezzeh area is because "of low supply and high demand by investors, who buy houses and convert them to banks, company headquarters, restaurants and cafes." He saw that "investors do not have an alternative to this area given Damascus' lack of new and organized areas except for Kafr Susa area which was organized in 1985. The city has not experienced any new expansion."
Mr Al-Azma estimated the price of a 100- square metre flat on the main Mezze highway to be around 10 million liras, while a 200- square metre house in the same area will cost 60-70 million liras. He said that the price of one square metre in a shopping mall cost 400,000 liras, and that a 12 square metre office in central Damascus will cost 15-17 million liras.
Property developers have said that the cost of building houses "has increased 40 per cent in the last six months after the cost of steel has gone up from 30,000 liras a tonne to 65,000 liras and the cost of fuel has gone up 77 per cent in addition to other building materials and labour costs. The average cost of refurbishment is three million liras after it was just two million."