Wednesday SITREP: Europe and MENA Focus

Starvation Deaths, Malnutrition Increase in Gaza, Trump Strikes Trade Deal with Japan, Philippines

Good morning.

🇵🇸 Starvation Deaths, Malnutrition Increase in Gaza

At least 15 Palestinians, including four children, starved to death in a single day in Gaza, bringing the total malnutrition deaths since Israel's war began to 101, with 80 of them children. 600,000 people are estimated to be malnourished as Israel continues to prevent food deliveries into the Strip. UN Secretary-General Guterres called Gaza a "horror show with a level of death and destruction without parallel in recent times," with nearly 88% of the territory now under Israeli displacement orders or militarized zones, forcing 2.3 million people into ever-shrinking space. More - Al Jazeera

🚢 Trump Strikes Trade Deal with Japan, Philippines

President Trump reached a trade deal with Japan imposing 15% tariffs on imports including automobiles, down from a threatened 25%, while securing a $550 billion Japanese investment fund for US projects with 90% of profits going to America. The agreement includes Japan buying 100 Boeing aircraft, boosting rice purchases by 75%, and increasing defense spending with US firms to $17 billion annually from $14 billion. Japanese carmaker stocks jumped up to 16% on news of the lower auto tariff rate, while Prime Minister Ishiba reportedly plans to resign following his party's poor election performance and the deal's conclusion. More - Bloomberg

Europe Stability Ratings and News Summary

More Unstable

🇦🇱 Albania, 🇧🇾 Belarus, 🇧🇪 Belgium, 🇧🇦 Bosnia And Herzegovina, 🇧🇬 Bulgaria, 🇫🇷 France, 🇩🇪 Germany, 🇬🇷 Greece, 🇭🇺 Hungary, 🇮🇸 Iceland, 🇮🇪 Ireland, 🇮🇹 Italy, 🇲🇰 Macedonia, 🇲🇩 Moldova, 🇲🇪 Montenegro, 🇳🇱 Netherlands, 🇵🇱 Poland, 🇵🇹 Portugal, 🇷🇴 Romania, 🇷🇺 Russia, 🇷🇸 Serbia, 🇸🇮 Slovenia, 🇪🇸 Spain, 🇹🇷 Turkey, 🇺🇦 Ukraine

More Stable

No countries were more stable over this period

Unchanged

🇦🇩 Andorra, 🇦🇹 Austria, 🇭🇷 Croatia, 🇨🇾 Cyprus, 🇨🇿 Czech Republic, 🇩🇰 Denmark, 🇪🇪 Estonia, 🇫🇮 Finland, 🇱🇻 Latvia, 🇱🇮 Liechtenstein, 🇱🇹 Lithuania, 🇱🇺 Luxembourg, 🇲🇹 Malta, 🇲🇨 Monaco, 🇳🇴 Norway, 🇸🇲 San Marino, 🇸🇰 Slovakia, 🇸🇪 Sweden, 🇨🇭 Switzerland, 🇬🇧 United Kingdom

Regional News Summary

Switzerland is experiencing a notable shift in its construction sector, with spending expected to decline in 2024 as the focus moves from new builds to renovations. This trend reflects broader economic adjustments within the country. Meanwhile, ABB, a major player in the Swiss market, has reported a rise in its stock value following a strong second quarter, buoyed by increased profits and orders, suggesting a resilient outlook for the company amidst economic shifts [SOURCE - RTT News].

On the trade front, India and the European Free Trade Association, which includes Switzerland, are set to implement a significant trade pact starting October 1. This agreement is projected to generate $100 billion in investments and create one million jobs over the next 15 years, marking a substantial step in strengthening economic ties between India and Europe [SOURCE - The Hindu].

In defense, the United States has redirected its delivery of Patriot arms from Switzerland to Ukraine, highlighting the ongoing geopolitical complexities in the region [SOURCE - Space War]. This decision underscores the shifting priorities in military support amidst the ongoing conflict in Ukraine.

France is also making headlines with significant diplomatic maneuvers. President Macron has condemned Israel's actions in Gaza, calling the war "unjustifiable" following an attack on a church [SOURCE - Middle East Eye]. Additionally, France has withdrawn its last troops from Senegal, marking a pivotal change in its military presence in West Africa and reflecting a broader reassessment of its post-colonial relationships [SOURCE - Jurist].

In the context of the Ukraine conflict, tensions continue to escalate as both sides engage in heavy exchanges. The international community is responding with renewed sanctions against Russia, marking the EU's 18th round of sanctions aimed at curtailing Moscow's military capabilities [SOURCE - RTE].

Poland has heightened its military readiness in response to Russian airstrikes, scrambling fighter jets after a factory in Ukraine was reportedly targeted [SOURCE - Space Daily]. Concurrently, anti-immigration sentiments are rising within Poland, with thousands participating in marches demanding stricter border controls [SOURCE - Notes from Poland].

In economic news, Romania is facing challenges with a projected slowdown in growth, as the government’s recent measures are expected to impact the economy significantly [SOURCE - ZF English]. The country is also set to become the first in Europe to acquire Israel's Iron Dome defense system, further emphasizing its commitment to enhancing national security [SOURCE - The Jerusalem Post].

MENA Stability Ratings and News Summary

More Unstable

🇧🇭 Bahrain, 🇪🇬 Egypt, 🇮🇷 Iran, 🇮🇶 Iraq, 🇮🇱 Israel, 🇯🇴 Jordan, 🇱🇧 Lebanon, 🇱🇾 Libya, 🇸🇦 Saudi Arabia, 🇸🇾 Syria, 🇹🇳 Tunisia, 🇾🇪 Yemen

More Stable

No countries were more stable over this period

Unchanged

🇰🇼 Kuwait, 🇴🇲 Oman, 🇶🇦 Qatar, 🇦🇪 United Arab Emirates

Regional News Summary

In Syria, violence has surged in the southern region, resulting in over 350 deaths as various factions, including the Syrian military, Druze fighters, and Islamist groups, clash amidst deepening sectarian tensions. The Druze and Christian communities are reportedly facing persecution, further complicating the humanitarian situation. President Ahmad al-Sharaa's government struggles to maintain control, with accusations that Israel is exploiting the chaos for its own strategic interests [SOURCE - The Daily Star].

Internationally, the United States has attempted to mediate a fragile ceasefire between Israel and Syria, although reports indicate ongoing clashes. Turkey has called for an end to the conflict, warning of threats to regional stability [SOURCE - Daily Times]. Meanwhile, Israel has conducted airstrikes in southern Syria, purportedly to protect Druze communities, raising alarms among U.S. officials about the potential derailment of peace efforts [SOURCE - Hurriyet Daily News].

In Egypt, the natural gas sector is making strides with the leasing of a floating storage and regasification unit, aimed at boosting energy production capacity [SOURCE - Rigzone]. However, the International Monetary Fund has reported mixed progress on Egypt's economic reforms, highlighting the state's dominance as a significant barrier to growth [SOURCE - TimesLive].

Egypt is also grappling with regional tensions, particularly concerning a proposed "humanitarian city" in Gaza, which it claims violates its peace treaty with Israel [SOURCE - Ynetnews]. Additionally, escalating tensions with Libya have emerged as Libya submitted a map of its maritime zone to the United Nations that encroaches on Egyptian and Greek territories [SOURCE - Protothema].

In Yemen, the conflict continues to pose security threats, with Houthi rebels launching ballistic missiles towards Israel, which have been intercepted by Israeli air defenses [SOURCE - The Yeshiva World]. The Houthis have also claimed to have targeted Ben Gurion Airport, escalating regional tensions further [SOURCE - ABNA24].

The situation is compounded by the ongoing humanitarian crisis, with mass rallies in Yemen supporting Gaza and denouncing Israeli and U.S. actions, reflecting the broader regional discontent [SOURCE - ABNA24].

Carpe tomorrow!