AGP Executive Report

Strait of Hormuz & regional diplomacy: Oman and Japan urged de-escalation and a political solution to ease tensions, while stressing freedom of navigation and energy supply through the Strait of Hormuz. Red Sea security: Yemen’s information minister warned the Houthis are plotting to seize land near Bab El-Mandeb, aiming to expand control of strategic islands and ports and further threaten a key shipping lane. Humanitarian pressure: The World Food Programme warned Afghanistan’s hunger crisis is worsening as aid funding drops, with child mortality expected to rise further. Economy & markets: U.S. Treasury yields jumped to a 19-year high, pushing mortgage rates higher and rattling global markets; oil prices also moved as Iran-U.S. tensions stayed in focus. Local business & infrastructure: dnata said it is investing $110m to deploy 800 new ground support units, including hybrid and electric equipment, to modernise operations at Al Maktoum International Airport. Logistics workaround: A report said Sri Lanka is being used as an alternative transit route for high-value cargo, including luxury vehicles, as Middle East shipping disruptions continue.

UAE-Iran Economic Fallout: The UAE says it intercepted two ballistic missiles launched from Iran and then suspended all trade and financial transactions with Tehran, a move analysts say could squeeze Iran’s imports and sanctions-bypass routes. Strait of Hormuz Tensions: Japan and Turkey reiterated opposition to any toll charges on Hormuz passage as the standoff over navigation fees drags on. Markets Jitter: Renewed Middle East risk helped push the dollar up and rattled investors; the Philippine peso hit a record low near 62 per dollar and local stocks slid as oil prices climbed. Humanitarian Spotlight (Qatar): Qatar marked World Humanitarian Day by highlighting search-and-rescue, medical aid, shelter and longer-term support in crisis-hit countries. AI in MENA Music: The Official MENA Chart rolled out new rules for generative AI eligibility, aiming to separate human creativity from purely synthetic tracks. Local Tech & Education (Kuwait): talabat renewed sponsorship of CODED’s Academy X, backing women’s empowerment in STEM and entrepreneurship.

Middle East Tensions & Markets: Renewed Iran-related worries and Strait of Hormuz uncertainty are rattling investors, with oil prices climbing and the peso sliding to record intraday lows, dragging regional stocks lower. Inflation Pressure: The inflation hit is being felt beyond the region, as policymakers point to Middle East conflict spillovers pushing up costs and squeezing household budgets. UAV Security Boom: A new report forecasts the UAV jammers market could jump to $5.90bn by 2031, driven by demand to counter drones used in military and critical infrastructure settings. Aviation Links: Air Arabia adds a daily flight between Sharjah and Frankfurt, expanding its Germany network. Health Tech Growth: Multiple medical device sectors are seeing strong global forecasts, from neurostimulation and neurosurgical robotics to neonatal and urology equipment—signaling continued investment in healthcare infrastructure. Crypto Payments: Eskimo expands stablecoin payments for its global eSIM plans via Triple-A, aiming to cut checkout friction for travelers.

US-Iran Tensions: Trump says the U.S. has no planned talks with Iran, while insisting the Strait of Hormuz is “open and operating” as traffic remains thin and a reported strike hits a ship in the waterway. Regional Security: The U.S. is trying to set up a deconfliction channel among Israel, Turkey and Syria after an Israeli strike on a Syrian airbase near the Turkish border, with Turkey saying it wasn’t warned. Energy & Prices: Diesel remains a major worry as Middle East conflict keeps refining tightness elevated, pushing up global logistics costs. UAE-Iran Fallout: Abu Dhabi says it has suspended all trade exchanges and financial transactions with Iran after detecting two ballistic missiles launched from Iranian territory. Business & Infrastructure: NESPAK reports a record 180 engineering projects won in 2025-26, including work across Saudi Arabia, Oman and Yemen. Qatar Economy & Society: Women leaders are reshaping Qatar’s business landscape in the AI era, with rising participation and leadership roles backed by national initiatives. Health: Sidra Medicine in Qatar will host RAPID 2026 on primary immunodysregulation disorders, bringing international experts to Doha.

US-Iran Deadlock & Strait of Hormuz: The 60-day US-Iran peace-talk window has expired without an extension, while Trump again threatened to bomb Oman if it “gets in the way” of efforts around the Strait of Hormuz. Naval Pressure & Crew Welfare: US lawmakers demanded answers after the USS Abraham Lincoln’s extended deployment, as CENTCOM chief Adm. Brad Cooper visited the carrier and said mental-health cases are among the lowest on active carriers—while admitting “all is not perfect.” Red Sea Oil Risks: Houthis claimed a third attack in two weeks on Saudi Aramco’s Jazan refinery, raising fears for regional fuel flows. Markets Watch: European and global trading stayed cautious as Middle East tensions pushed bond yields higher and weighed on risk sentiment. UAE Tourism Push: UAE councils discussed wider “Jaywan” use across tourism, aiming to boost domestic spending and resident benefits. Business & Tech: CleanStart expanded Middle East and Africa operations for software supply-chain security, as AI-native development increases demand for trusted software.

US-Iran Talks: The US-Iran MoU aimed at ending the conflict expired Monday, with no clear plan to restart negotiations as both sides trade accusations. Gulf Security: Oman’s Sultan met UAE President Mohamed bin Zayed in Abu Dhabi as Strait of Hormuz tensions simmered and Washington’s Iran pressure continued. Military Posture: Trump ordered Pentagon to substantially reduce South Korea drills, citing Seoul’s lack of help on Iran, while the US prepares to rotate carriers as concerns grow over conditions aboard USS Abraham Lincoln. Navy Health & Morale: Reports and political backlash intensified over sailors’ mental health and supply problems on the long-deployed carrier. Energy Markets: Oil prices edged higher on Middle East risk, feeding inflation worries and weighing on regional stocks. Business in Qatar: Doha-based MySep Middle East appointed Mohammad Yasser Ramzan as managing director to expand oil-and-gas engineering services from Qatar. Local Economy: Pakistan’s PSX closed higher, supported by energy stocks amid renewed Middle East supply concerns. Community & Culture: Indonesia marked its 81st Independence Day in Doha with a flag-raising ceremony attended by more than 200 people.

Middle East Defense & Security: The USS George Washington is set to replace the long-deployed USS Abraham Lincoln in the Middle East as reports of worsening crew conditions and mental health concerns grow, while Trump orders the Pentagon to scale back joint drills with South Korea amid the Iran war. Gulf Shipping & Energy: Strait of Hormuz traffic has slowed after tanker attacks, keeping oil prices supported and raising risk premiums; Iran and the US remain locked in a tense standoff as a key 60-day talks window nears expiry. Regional Diplomacy: Jordan’s King Abdullah will begin a week-long visit to China on Aug. 18, aiming to deepen political and economic ties as bilateral trade tops $6.7bn. Business & Consumer Markets: Chipotle is preparing its first Saudi Arabia debut in Riyadh with Alshaya, while Emirates plans to double A380 flights to Bali from late March 2027. Local Economy & Prices: Gold prices in Pakistan rose again on Aug. 17 amid Middle East uncertainty, and fuel-price hikes are also being reported in the region.

Mecca Pact: Trump hailed the Saudi-Türkiye-Pakistan Mecca Joint Defence Agreement as a “big, bold” step toward mutual defense, with plans for coordination, exercises and defense-industry ties. Hormuz Disruption: Shipping through the Strait of Hormuz slowed after tanker attacks, with fewer vessels transiting and officials warning the waterway’s reopening hinges on Iran-linked conditions. Gaza Diplomacy: Jared Kushner met Hamas leaders in Egypt as the U.S.-backed Gaza plan pushes for Hamas disarmament and a postwar governance roadmap, while Israel’s stance remains a sticking point. USS Abraham Lincoln Fallout: CENTCOM chief Adm. Brad Cooper defended the carrier’s mental-health record and said relief is coming, as families and lawmakers press for answers over reported food, sanitation and morale problems during a record-long deployment. Oil Prices: Brent edged up as Israel-Iran tensions and possible new U.S. sanctions kept markets jittery. Local Community Support: A Michigan VFW post launched a donation drive after strikes left service members losing personal belongings. Philippines Politics & Inflation: Lawmakers floated delaying SK and barangay polls citing a lingering “energy emergency,” while investors stayed cautious amid Middle East risks and inflation pressure.

Gaza Ceasefire Talks: Hamas political chief Khalil al-Hayya led a delegation to Cairo for talks with Egypt’s intelligence chief as mediators scramble ahead of White House envoy Jared Kushner’s planned regional trip. Lebanon Escalation: Lebanon condemned fresh Israeli strikes in southern Lebanon that killed at least 11, including children, despite a fragile ceasefire framework. Hormuz Pressure & Shipping: The UAE blamed Iran after an ADNOC vessel was attacked in the Strait of Hormuz; shipping disruptions continue as the waterway remains a key flashpoint. US Carrier Swap: US lawmakers and families raised concerns over conditions aboard USS Abraham Lincoln, prompting the Navy to send USS George Washington to relieve it. Regional Defense Pact: Saudi Arabia, Türkiye and Pakistan signed the Mecca Joint Defence Pact, drawing NATO comparisons but framed as strategic insurance. Gulf Politics: A report says Arab Persian Gulf states are frustrated with Trump’s handling of the Iran crisis and fear the cost of hosting US forces. Health in Conflict: Israel’s human milk bank activity reportedly tripled after Oct 7, helping feed wartime babies. Infrastructure & Trade: AD Ports expanded routes and cargo capacity to bypass Hormuz disruption, while major airports reported hundreds of delays.

Hormuz Tensions: Iran says the Strait of Hormuz “will remain Iranian” after Trump claimed it would become U.S. territory, as shipping grinds to near-standstill and fuel fears ripple across the region. Maritime Security: The UAE blamed Iran for an attack on an ADNOC-linked vessel in the strait, calling it piracy and warning it won’t deter Abu Dhabi’s freedom-of-navigation stance. U.S. Military Posture: The USS George Washington is heading to the Middle East to relieve the USS Abraham Lincoln after a prolonged deployment sparked mental-health and supply concerns. Humanitarian Health: A Scottish charity opened the first paediatric operating room in the West Bank at Al-Ahli Hospital in Hebron, with more planned for Bethlehem and Jericho. Local & Regional Development: Kuwait says global investors are backing its diversification push, highlighting a major KPC project deal. Culture & Sports: Qatar’s Al Janoub Arena is set to open with Qatar vs China on Aug. 27 ahead of the FIBA World Cup Qatar 2027.

Lebanon-Israel Escalation: Lebanon says Israeli strikes in the south killed nine people, including three children, as Israel claims it targeted Hezbollah infrastructure, with Lebanon’s PM warning of “extremely dangerous” escalation. Hormuz Standoff: Iran rejected Trump’s claim that the Strait of Hormuz will become U.S. territory, saying it “will remain Iranian,” as fuel prices stay pressured by ongoing attacks and stalled diplomacy. U.S. Carrier Crisis: Reports of deteriorating conditions aboard the USS Abraham Lincoln have triggered political backlash and a planned replacement with the USS George Washington, while CENTCOM and U.S. officials deny deaths and say mental-health resources are available. U.S.-Led Drone Push: CENTCOM launched Task Force Falcon Strike, a multinational effort to coordinate one-way attack drones across air and maritime domains in the Middle East. Trade & Investment (MENA): The UAE says 38 trade deals under its CEPA programme have entered into force since 2021, boosting non-oil foreign trade, while Advanta Seeds plans to acquire Egypt’s Misr Hytech seed business for about $110m. Business/Markets: U.S. consumer sentiment fell to 51 amid inflation worries and Middle East-linked uncertainty, adding pressure to risk appetite.

US-Iran Tensions: Trump says he’ll “soon” declare the Strait of Hormuz US territory and threatens “never been seen” economic isolation as the US maintains an indefinite blockade; Iran’s deputy FM rejects it, insisting Hormuz “will remain Iranian.” Naval Fallout: The USS Abraham Lincoln’s record deployment is being replaced as reports of mental health strain and supply problems spark lawmakers’ demands for answers, while Trump dismisses families’ concerns. Regional Security Tech: CENTCOM moves to launch a multinational one-way attack drone task force to expand unmanned strike capability across the Middle East. Humanitarian Pressure in Afghanistan: The UN warns donors not to cut women’s aid in Taliban-ruled Afghanistan, citing severe funding gaps and worsening restrictions on education, work, and healthcare. Business Impact: Megawide says the Middle East conflict is hitting margins via higher logistics and operating costs.

Hormuz & Oil Shock: The U.S. says it can keep an “indefinite” naval blockade on Iran and step up economic pressure as Strait of Hormuz traffic grinds to a near standstill, with more tanker attacks reported and oil prices ticking up. US Military Posture: The USS George Washington is heading to the Middle East to relieve the long-deployed USS Abraham Lincoln, as lawmakers and families raise alarms over sailors’ conditions and mental health. Economic Pressure on Iran: Washington is set to announce major new “economic isolation” measures, while Iran insists it has “complete and decisive” control over Hormuz. Local Fallout: Energy costs remain a regional headache, with reports linking Middle East conflict to higher fuel and electricity prices, including a near-10% electricity hike in Ireland tied to wholesale volatility. Regional Politics: Turkey’s Erdoğan marked the AKP’s 25 years, saying Türkiye now shapes its future through its own will.

US-Iran Tensions: The US says it could keep an Iran naval blockade in place indefinitely, as ceasefire talks stall and oil supply fears grow. Carrier Rotation & Crew Welfare: The USS George Washington is set to replace the long-deployed USS Abraham Lincoln after lawmakers and families raised alarms over food, sanitation and mental health; Defense Secretary Pete Hegseth calls the reports “misrepresented.” Middle East Shipping: Shipping leaders say the industry is showing resilience despite Iran-war disruption and Strait of Hormuz constraints. Regional Security: Turkey, Saudi Arabia and Pakistan signed the “Mecca” joint defence pact, setting up coordination mechanisms and collective response rules. Oil & Markets: Oil prices eased on hopes of reduced Middle East supply pressure, while Wall Street climbed on softer inflation data. Qatar Finance: Qatar Investment Authority invested in Lesha Bank’s Lesha Qatar Opportunities Fund, backing local Sharia-compliant capital market growth. Aviation: Flyadeal added Riyadh–Mumbai flights from Oct 3, boosting weekly capacity. Tech & Education (Kuwait): talabat ran its Next Tech Gen session with AIESEC to train young talent in AI and digital platforms.

Aviation & Travel: South Korea’s Incheon Airport overtook Heathrow to become the world’s busiest international hub in the first half of 2026, with 38.4 million international passengers, as Middle East disruption reshuffled routes. US–Middle East Security: US lawmakers are demanding answers over the USS Abraham Lincoln’s record-long Middle East deployment, citing reports of shortages, water and plumbing problems, and mental health strain. Energy & Markets: Oil prices slipped after weaker demand forecasts tied to the Iran war, but supply risks kept prices elevated. Regional Defense: Türkiye, Saudi Arabia and Pakistan signed a NATO-like Mecca Joint Defence Agreement, setting up joint exercises and deeper defense industry cooperation. Trade & Infrastructure: A report argues the India–Middle East–Europe corridor (IMEC) should expand beyond a single route to multiple links via Oman, Saudi Arabia, Egypt and Syria to reduce chokepoint risk. Finance & Tech (UAE): Abu Dhabi’s ADX became the first MENA exchange to share live market data through conversational AI tools like ChatGPT and Claude. Payments (Jordan): valu partnered with Hypermax to roll out BNPL payments across Jordan’s stores and e-commerce.

Strait of Hormuz Tensions: The US says it’s enforcing a “steel wall” blockade on Iran, redirecting 59 vessels, as talks stall and shipping attacks keep oil markets jumpy. Oil & Shipping Impact: Separate reports cite attacks in the Strait of Hormuz and Bab el-Mandeb, with transits down sharply and demand forecasts revised lower. West Bank Pressure: UN officials warn Israeli settler violence has reached a “breaking point,” with more than 1,430 incidents this year affecting hundreds of Palestinian communities. Gaza Peace Politics: Qatar pushes for moving to Phase Two of a Gaza ceasefire roadmap while Netanyahu rejects the US-backed plan. Regional Security Pact: Erdoğan says the Mecca Joint Defense Agreement signed by Turkey, Saudi Arabia and Pakistan is not aimed at any country, framing it as collective deterrence. Food Supply Shock: Ukraine’s drone strike on Russia’s Novorossiysk targets grain terminals, halting exports and raising wheat-price fears. Aviation Safety: India is investigating an Air India captain after a suspected marijuana test result, with both pilots grounded pending inquiry.