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this moment many players. And
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NPR. Karam Shar is an an old
2:06
economist friend of mine. mine. hello,
2:08
hello. Karam, it's so nice to nice to
2:10
see you. and I met and I
2:13
met while we were colleagues years
2:15
ago in New Zealand you were
2:17
here the the New Zealand Treasury. Yes, but
2:19
but now we meet professionally again,
2:21
but this time to talk about
2:23
the Syrian economy, which economy, all
2:25
over the news right now because
2:27
of what's just happened. of what's
2:29
exactly. mean, the exactly. I mean, the days
2:31
or so have been been... Insane.
2:34
Very momentous. We chatted momentous. We chatted
2:36
about all the events that
2:38
he is to where he is
2:40
today of the front lines
2:42
of Syrian research and advocacy. up
2:45
in Karim grew up in
2:47
Aleppo, which is one of
2:49
Syria's two big cities. his And
2:51
after studying his economics degree,
2:53
he got involved in anti
2:55
protests. This This was in 2011
2:57
when the Arab was was
2:59
awakening pro -democracy movements all over
3:01
the Arab world. world. Karam tell
3:04
his family family though. to avoid
3:06
and tell our loved ones
3:08
about these protests these also and
3:10
mean mainly to ensure their
3:12
safety. So I So I remember
3:14
actually in one of the
3:16
protests in Aleppo, we were
3:19
shouting shouting the downfall of
3:21
the regime of the most liberating
3:23
moment I think in my
3:25
life. I think in my life. feeling is
3:27
so exceptional, it's liberating. And
3:29
I remember actually someone tapping
3:32
me on the shoulder and
3:34
saying, the shoulder and as in Abu
3:36
Adib, my like, that's my nickname. turned my
3:38
head my head and saw I was my
3:40
brother. my brother. So. it turns out he
3:42
was also protesting, but we were
3:44
not telling each other. My sister was
3:46
also protesting. I came to realize
3:49
this later on. later The protests
3:51
were met with heavy crackdowns
3:53
by the Assad by the Assad and
3:55
as rebel groups gained a foothold,
3:57
a Syria descended into civil war.
3:59
war. 2012, Karam's father told him
4:02
he should leave the country for
4:04
his safety, especially given his activism.
4:06
Karam flew to Malaysia, then to
4:08
New Zealand, where he studied for
4:10
his economics PhD and was granted
4:13
asylum. That's about the same time
4:15
that I met you when you
4:17
were working at the New Zealand
4:19
Treasury, working on the economic policy
4:22
problems of a high-income peaceful country.
4:24
How was that for you? Yeah,
4:26
it was like working on another
4:28
planet, you know, it's a completely
4:30
different context. But after working there
4:33
for like three and a half
4:35
years, I just couldn't deal with
4:37
the guilt, you know, with the
4:39
guilt that I can do something
4:42
for Syria and I should do
4:44
it. So how could a young
4:46
economist on the other side of
4:48
the planet possibly make a difference
4:51
in one of the bloodiest conflicts
4:53
of recent memory? Karam put all
4:55
his time into working on Syrian
4:57
issues. He hired analysts and open-source
4:59
intelligence experts to help out. He
5:02
started looking into how countries were
5:04
using economic tools to pressure Syria,
5:06
and he found some pretty major
5:08
flaws, like in how humanitarian aid
5:11
money was leaking to the Assad
5:13
regime. like a lot of troubled
5:15
economies, Syria has two exchange rates,
5:17
the official exchange rate according to
5:19
the government and the black market
5:22
exchange rate, which is basically determined
5:24
by supply and demand. In Syria,
5:26
the government was claiming the Syrian
5:28
pound was worth more than it
5:31
actually was. So anyone wanting to
5:33
buy Syrian pounds would need to
5:35
pay the central bank more than
5:37
those pounds were actually worth. And
5:40
in 2021, when Karam was looking
5:42
at the Syrian Central Bank's website,
5:44
he saw a footnote that said
5:46
that this inflated exchange rate was
5:48
used for foreign aid. And I
5:51
was like, this is unbelievable. I
5:53
mean, the level of stealing is
5:55
just mind boggling. Yeah, so let's
5:57
break down how this played out.
6:00
Let's say I'm a UN agency,
6:02
working in Syria and I want
6:04
to rebuild a school. to pay
6:06
a local construction company in Syrian
6:08
pounds. And to do that legally,
6:11
I need to use the official
6:13
exchange rate. I exchange a million
6:15
dollars at a bank for Syrian
6:17
pounds, but I get weighed less
6:20
Syrian pounds than I would have
6:22
if I'd used the black market
6:24
exchange rate. And by Karam's calculations,
6:26
maybe $500,000 of that million would
6:29
have been eaten up through that
6:31
money exchange. Who gets to keep
6:33
all that extra money? The Assad
6:35
government. So basically it's a kind
6:37
of levy on humanitarian aid and
6:40
that is the aid that is
6:42
paid by Assad's enemies basically. It's
6:44
predominantly Western countries. Karam wrote your
6:46
report, the problem got picked up
6:49
by the Guardian newspaper, and from
6:51
there it snowballed. It just went
6:53
viral, you know, all over. We
6:55
got members of US Congress to
6:57
sign a letter to President Biden
7:00
to put pressure. There were parliamentary
7:02
questions in Europe. The US, Germany,
7:04
the UK, and some other countries
7:06
put pressure on the UN telling
7:09
them, look, we are providing these
7:11
funds. You talk to the central
7:13
bank, they either accept it or
7:15
it. it will be withheld and
7:17
Yeah, the Central Bank of Syria
7:20
reached a point after resisting for
7:22
so long, you know. They agreed
7:24
to close the gap. Did you
7:26
and your team celebrate at all?
7:29
Actually, we did celebrate, and you
7:31
can go on Twitter and see,
7:33
I was over the moon when
7:35
it happened. Of course, a lot
7:38
of remote work requires digital celebrations.
7:40
Garam estimates this action stopped about
7:42
$65 million a year going into
7:44
Assad's coffers and funding its army.
7:46
which in the context of the
7:49
tens of billions of dollars in
7:51
aid or military support given by
7:53
countries like Iran, is small. But
7:55
it was one victory over a
7:58
range of fronts trying to bring
8:00
down Assad. Other economic analysis that
8:02
Karam worked on involved reviewing who
8:04
the aid agencies were contracting with.
8:06
was horrified to learn a lot
8:09
of people who had committed some
8:11
grave crimes who were receiving these
8:13
contracts. In one case a militia
8:15
group tied to Iran that had
8:18
destroyed a city was allegedly being
8:20
paid to rebuild it. We just
8:22
showed that 31% of UN procurements
8:24
from Syria actually come from sanctioned
8:27
individuals, you know, so that is
8:29
basically Western governments funding the Syrian
8:31
government with one hand and sanctioning
8:33
it with the other simultaneously. His
8:35
analysis led to more scrutiny of
8:38
these contracts, but not all of
8:40
Karam's efforts have had heavy results.
8:42
To support his accountability work, he
8:44
relied on people inside Syria. About
8:47
seven months ago, he learned two
8:49
of them had been arrested. One
8:51
of them on some pretty serious
8:53
charges related to his work with
8:55
Karam. I mean, I think that
8:58
was truly the ugliest nightmare in
9:00
my entire life, you know, when
9:02
he was arrested, and I couldn't
9:04
sleep. This man was kept in
9:07
the notorious Seydnaya prison, where tens
9:09
of thousands of people have been
9:11
tortured and executed. He was sentenced
9:13
to death. His execution date was
9:16
set for the end of this
9:18
month. And so that meant that
9:20
with the downfall of the Assad
9:22
regime, Karam was relieved to learn
9:24
this man was among the people
9:27
leaving Sadnair prison just a few
9:29
days ago. It feels like it's
9:31
magic, you know? I mean, we've
9:33
been waiting for 54 years, you
9:36
know, for this regime, and it
9:38
just collapsed at exactly the right
9:40
moment. the right moment that saved
9:42
his contact from death. Karam spoke to him
9:44
soon after. When he was out and we
9:46
had a call on WhatsApp, I just started
9:48
crying immediately. I couldn't believe my eyes, you
9:50
know, that he's out. And while Karam is
9:52
overjoyed, he's... his judgment about
9:54
whatever government gets formed
9:56
next. gets In the
9:58
meantime, the he will keep
10:00
writing reports. He'll keep
10:02
he'll keep the numbers, because
10:05
who knows what impact
10:07
that might have. This episode
10:09
was produced by Cooper Cats This
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episode was produced by
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Cooper by Neil with engineering
10:15
by fact-checked was fact -checked
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by Ciro Kagan Canon Cannon
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edits the show The the
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