How Economic Fragmentation Has Insulated the Region From the War in Gaza
Prime Minister Benjamin Netanyahu’s recent visit to Washington highlighted the growing rift between Israel and the United States, particularly within the Democratic Party. This alliance, once solid, now faces significant discord over three critical issues: ending the war in Gaza, addressing the humanitarian crisis, and recognizing Palestinian self-determination.
Read MEI’s weekly briefing featuring expert analysis of key regional developments for the week ahead.
Although Russia and China are in regular dialogue with the Houthis, the motivations that undergird the engagements of both countries differ markedly. The Houthis regard both Russia and China as partners against American unilateralism but have a warmer relationship with Moscow.
The current situation is not only intolerable – it is unsustainable. It is time to recognize that the Houthis, with strong and persistent support from Iran, are in a position to hold not only the US but virtually the entire global system hostage.
US President Joe Biden will meet with Israeli Prime Minister Benjamin Netanyahu during his visit to Washington this week. The meeting provides an opportunity to double down on considerations of what a “day after” might look like and how best to promote moderate Palestinian voices in the effort to rebuild Gaza.
Read MEI’s weekly briefing featuring expert analysis of key regional developments for the week ahead.
Read MEI’s weekly briefing featuring expert analysis of key regional developments for the week ahead.
For Egyptian officials, June should have been a month to celebrate. And yet none of the seeming macroeconomic successes that the government recorded brought much reassurance to the average Egyptian, who has continued to experience currency shortages, an unreliable energy grid, and fears of a resurgent spike in inflation.
After two decades in power and following the Justice and Development Party’s historic defeat in the 2024 local elections, Turkish President Recep Tayyip Erdoğan is now at his most vulnerable. What comes next is not only important for the future prospects of Turkish democracy but also holds important lessons for autocrats across the world. Scholars Evren Balta, Seda Demiralp, Edgar Şar, and M. Murat Kubilay seek to answer key questions about the country’s political, economic, and foreign policy trajectory in a new report from the Middle East Institute.
For years under President Recep Tayyip Erdoğan, Turkey pursued an unconventional monetary policy. The situation, long untenable, finally became unsustainable in the run-up to the presidential and parliamentary elections in May 2023. In the immediate aftermath of the vote, President Erdoğan announced a dramatic shift, returning to orthodox monetary policy. While there have been tangible improvements on a number of fronts as a result, the country faces both declining household purchasing power in the short term and a range of broader economic challenges in the longer run.
When Russia launched its full-scale invasion of Ukraine in late February 2022, it prompted the Central Asian states, and others, to reconsider Iran’s potential role as a transit country. In a little more than two years, Central Asia’s view of Iran has changed from international pariah to key link in lucrative trade routes.
On June 29, at an aid and investment conference in Cairo, Egypt and the EU reached a €1 billion investment deal, and over 20 MoUs, collectively worth approximately €40 billion in private investment, were signed on the sidelines. Little mention has been made of migration in the new European agreement with Egypt, but there is little doubt that it is a pivotal factor.
Read MEI’s weekly briefing featuring expert analysis of key regional developments for the week ahead.
Pakistan’s government is pursuing a two-track approach to stabilize the country’s long-troubled economy. It is engaged in lengthy negotiations with the IMF to secure at least $6 billion in loans to shore up its ability to service its external debt. At the same time, Islamabad is also trying to woo its Gulf allies, most notably Saudi Arabia and the UAE, in a bid to diversify its sources of external financing, address the lingering threat of insolvency, and put its economy on an upward trajectory of sustainable growth.