Donald Trump says he will lift all American sanctions on Syria.
The US president said he was convinced of the idea after discussions with the Saudi Crown Prince Mohammed Bin Salman and the Turkish President Recep Tayyip Erdogan.
Syria has been subject to intense economic sanctions, imposed during the former dictatorship of Bashar al-Assad, and there had been growing calls to lift the restrictions to help the country recover from decades of brutal dictatorship and civil war.
"It's their time to shine, we're taking them all off," Mr Trump said.
"Good luck Syria, show us something very special."
Speaking to Syrian state news agency SANA, Syrian Foreign Minister Asaad Shibani welcomed the US president's announcement, describing it as a "pivotal turning point for the Syrian people, as we move towards a future of stability, self-sufficiency and genuine reconstruction after years of destructive war".
The White House earlier confirmed Mr Trump would "say hello" to the new Syrian leader Ahmed al-Sharaa in Saudi Arabia on Wednesday, local time.
It is expected to be the first meeting between the US president and the former militant who led the efforts to overthrow the Assad regime.
He is set to become the first Syrian leader to meet an American president since the late Hafez Assad met Bill Clinton in Geneva in 2000.
Who is Ahmed al-Sharaa?
Al-Sharaa was named president of Syria in January, a month after a stunning offensive by insurgent groups led by al-Sharaa's Hayat Tahrir al-Sham (HTS) that stormed Damascus ending the 54-year rule of the Assad family.
The US has been considering how to handle Syria with al-Sharaa as president, with Gulf leaders rallying behind the new government in Damascus.
Regional leaders have argued that US support will act as a block against Iran returning to influence Syria, where it helped prop up the Assad regime.
Mr Trump's move marks a change in tone from the US president and puts him at odds with ally Israel, which has been deeply sceptical of al-Sharaa's extremist past.
Formerly known by the nom de guerre Abu Mohammed al-Golani, al-Sharaa joined the ranks of al-Qaeda insurgents battling American forces in Iraq after the US-led invasion in 2003 and still faces a warrant for his arrest on terrorism charges in Iraq.
The US once offered $US10 million ($15.4m) for information on his whereabouts due to his links to al-Qaeda.
He was the leader of al-Qaeda's official wing in the Syrian conflict, before he severed ties with the global jihadist network in 2016.
HTS was formerly dissolved in January but is listed as a terror organisation by the US and United Nations.
ABC/wires
