Bulletin No. 2 – Regional Socio-Economic Updates

August–December 2025

Overview

This bulletin provides an overview of developments that directly and indirectly impact Syrian refugees and IDPs across Syria, Lebanon, and Jordan. It examines recent developments and conditions in both areas of return and host communities, factors that affect households and communities’ decision-making. The aim is to support evidence-based planning and coordination among actors working on return-related issues, including regional response stakeholders, state actors, INGOs, and the private sector.

Funded by the joint initiative Regional Development and Protection Program (RDPP), this periodical is a product of the ‘Strengthening Regional Policy Dialogue and Partnerships on Solutions’ project, which seeks to promote adaptive solutions for Syrian refugees through evidence-based policy dialogue, advocacy, and strategic alliance-building. Implemented by the United Nations Development Programme (UNDP) and Mercy Corps, the project leverages Mercy Corps’ Crisis Analysis to support ongoing and emerging policy and advocacy efforts underpinned by a bespoke body of evidence and grounded in contextual realities. As a multi-donor platform managed by the Kingdom of Denmark, RDPP was first initiated in 2014 as a multi-donor response to address the humanitarian and development needs of refugees and displacement-affected communities in the countries neighboring Syria.

Key Takeaways

  • A number of developments are notable in Syria. These include the repeal of the Caesar Act and over 10 billion US dollars (USD) in investment commitments by public and private partners in Qatar, the USA, the United Arab Emirates (UAE), the Kingdom of Saudi Arabia, Türkiye, China, and several EU countries Italy among them. These commitments are mainly for the reconstruction of energy, transportation, industrial, and commercial infrastructure. The country also witnessed USD 6.5 billion in in humanitarian and reconstruction assistance pledges by international donors at the Brussels summit, the incremental re-establishment of trade ties with Jordan and Lebanon, and the gradual return of Syria to international financial systems. Yet, the economic benefits of these developments have not yet translated into household-level stability. While infrastructure and state services are improving, low wages and Syria’s high cost of living mean that the most vulnerable continue to require assistance to meet their basic needs.

  • In Syria, electricity supply improved somewhat in the second half of 2025, particularly in major cities, but access remains uneven and many areas are still experiencing intermittent service and must rely on alternative power sources In addition, higher tariffs put pressure on households and contribute to higher food and commodity prices by raising storage, refrigeration, and transport costs.

  • In Lebanon and Jordan, essential services remain under pressure, as documentation and fee policies limit access to education, and reduced subsidies in Lebanon limit healthcare access.

  • Labor market dynamics in Lebanon and Jordan continue to pose challenges, through increased enforcement of legal documentation requirements and limitations on informal foreign labor.

  • Heavy precipitation and cold temperatures have intensified needs for vulnerable host communities and displaced populations as severe funding shortfalls hamper wintertime assistance across Syria, Lebanon, and Jordan. These resource deficits, coupled with damaged and/or degraded infrastructure and energy insecurity, heighten the risk of negative coping mechanisms.