Investors are cautiously returning to the Middle East, betting on economic recovery and political stability following a fragile ceasefire and shifting regional dynamics. However, President Donald Trump’s proposal to take over Gaza has injected new uncertainty.
A historic shake-up in the region is attracting fresh investment. The end of the Israel-Hamas war, political changes in Lebanon and Syria, and a weakened Iran have fueled hopes for economic stabilization.
In Egypt, where economic collapse once loomed, the government successfully executed its first dollar debt sale in four years. Investors have also begun buying Israeli bonds again, while Lebanon’s debt markets are seeing renewed interest as Beirut moves toward financial restructuring.
Trump’s proposal to “clean out” Gaza and develop a Middle East "Riviera" was widely condemned. Egypt has called an emergency Arab summit on February 27 to address the implications.
Bond investors initially welcomed the ceasefire but reacted negatively to Trump’s plan. Amundi, Europe's largest asset manager, reduced exposure to Egyptian bonds, fearing U.S. pressure on Cairo to accept Palestinian refugees.
Credit rating agency S&P Global has signaled that Israel's downgrade warning could be lifted if stability holds. Meanwhile, Michael Fertik, a U.S. venture capitalist, cited reduced geopolitical risk in his decision to expand operations in Israel’s AI sector.
However, risks remain. Yemen’s Houthi attacks have cost Egypt’s Suez Canal $7 billion in lost revenue, forcing shipping routes around Africa. Investors warn that any escalation could reverse economic gains.
Rebuilding efforts in Syria, Gaza, and Lebanon present opportunities for Turkey’s construction firms, with Trump’s envoy estimating a 10-15 year timeline for Gaza’s reconstruction. The World Bank estimates Lebanon’s war damage at $8.5 billion—about 35% of its GDP.
Lebanon’s defaulted bonds have more than doubled in price since Hezbollah’s influence weakened. New President Joseph Aoun is set to visit Saudi Arabia, a potential backer of Beirut’s restructuring, though $45 billion in debt still needs renegotiation.
The Middle East is entering a crucial economic phase, with peace prospects driving investment interest. Yet, uncertainty over Gaza, U.S. policy shifts, and regional tensions continue to shape the financial landscape.
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Dutch voters headed to the polls on Wednesday to decide whether to continue the anti-immigration nationalism championed by populist leader Geert Wilders, who collapsed the previous conservative coalition after two turbulent years, or to steer the country back towards the political centre.
U.S. President Donald Trump said the U.S.-brokered ceasefire in Gaza remains intact despite Israeli airstrikes that killed dozens, as Israel and Hamas accused each other of violating the fragile truce.
Pakistan's defence minister has warned of military action against the Afghan Taliban after peace talks in Istanbul broke down, raising fears of a broader regional conflict.
The British government announced on Wednesday that it had struck a series of trade and investment agreements worth $8.6 billion with Saudi Arabia, marking a major step in the UK’s efforts to boost economic relations across the Gulf.
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At least 69 people have died and almost 150 injured following a powerful 6.9-magnitude earthquake off the coast of Cebu City in the central Visayas region of the Philippines, officials said, making it one of the country’s deadliest disasters this year.
A tsunami threat was issued in Chile after a magnitude 7.8 earthquake struck the Drake Passage on Friday. The epicenter was located 135 miles south of Puerto Williams on the north coast of Navarino Island.
The war in Ukraine has reached a strategic impasse, and it seems that the conflict will not be solved by military means. This creates a path toward one of two alternatives: either a “frozen” phase that can last indefinitely or a quest for a durable political regulation.
A shooting in Nice, southeastern France, left two people dead and five injured on Friday, authorities said.
As part of his official visit to the Sultanate of Oman, Azerbaijan’s Foreign Minister Jeyhun Bayramov met with Sayyid Asaad bin Tariq Al Said, Special Representative of the Sultan of Oman.
According to Report, the U.S.-Azerbaijan Strategic Working Group is set to begin its work soon, the press service of the U.S. Department of State said.
Hamas on Tuesday (October 28) denied responsibility for an attack on Israeli forces in the southern Gaza city of Rafah, which triggered renewed Israeli strikes across the enclave.
Türkiye has officially delivered its first domestically produced Altay tanks to the armed forces, President Recep Tayyip Erdoğan announced on Tuesday at the opening ceremony of BMC’s Ankara Tank and New Generation Armoured Vehicles Production Facility.
Kazakhstan's Minister of Foreign Affairs Yermek Kosherbayev met with his Chinese counterpart Foreign Minister Wang Yi in Beijing where the duo held all important bilateral talks.
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