Research & Commentary Results

A fragile cease-fire between Lebanon and Israel is barely holding as military delegations from both countries arrive in Washington for a new round of direct talks scheduled for this Friday. But diplomatic success could mean new strategic opportunities for the Lebanese nation. Guest host and MEI Senior Fellow Brian Katulis is joined by Lebanese Member of Parliament Fouad Makhzoumi to unpack the challenges facing the Lebanese government today, Hizballah’s influence over state institutions, and what all of this means for the country’s future. Makhzoumi also reflects on his personal journey and what inspired him to transition from business to politics in an effort to help shape a better life for his granddaughters in Lebanon.

This is a special edition of the MENA Energy Recap — a quarterly review of key energy developments that took place in the region from January through March of 2026 and what they signal in the months ahead. For Q1-26, the recap considers some of the long-term implications of the ongoing war in the region, which have caused the largest energy supply disruption in history, and what lessons these events hold for both near- and long-term energy dynamics in both the Middle East and the wider world.

The news from Lebanon reads like a litany of loss. Since the war began more than two months ago, not only have 2,882 people been killed and 8,768 wounded, according to Lebanon’s Health Ministry, but once again multiple heritage sites — especially those in the south — have been damaged and destroyed. Indeed, Lebanese heritage, inexorably linked to its peoples, shares in their vulnerability and suffering.

The Middle East is both central to key United States interests and prone to instability. Yet US national security and defense strategic guidance has struggled to account for the unique demands of the region. Calls for strategic divestiture from the region have grown in prominence among analysts and policymakers alike in recent years.

Despite efforts to extend the cease-fire in Lebanon and disarm Iranian proxy Hizballah, fighting continues between the militant group and Israeli forces. Hosts Alistair Taylor and Matthew Czekaj are joined by MEI Senior Fellow Fadi Nicholas Nassar to examine what the renewed fighting means for attempts to counter Iranian influence in Lebanon and what could lie ahead. They discuss the prospects for a lasting agreement, Iran’s broader proxy strategy, and how Washington can help strengthen the sovereignty of the Lebanese state.

While Egypt is not in the direct line of fire in the US-Israeli war with Iran, its economy is acutely vulnerable to the conflict. In addition to the rising energy prices and shortages that have affected much of the world, it also struggled with issues that reflected its economy’s own underlying structural vulnerabilities.

President Donald Trump has an opportunity to do something no American president has managed in nearly half a century: end the war between Israel and Lebanon for good.

Last Thursday, the US announced a 10-day cease-fire “to enable peace negotiations between Israel and Lebanon”. The State Department statement – reportedly agreed to by both governments – marked a significant diplomatic shift. It included an affirmation that “the two countries are not at war,” a commitment to work toward “full recognition of each other’s sovereignty and territorial integrity,” as well as “achieving a permanent agreement that ensures lasting security, stability, and peace.”

As Lebanese, Israeli, and American teams prepare for their first-ever trilateral leaders summit, it is time to reflect on this opportunity and lessons from the past.

The following study discusses the role of Lebanon’s gold reserves in the establishment of a currency board and evaluates four policy options: a true currency board, constrained central bank reform, full dollarization, and a unified managed float. Gold reserves are relevant under all four. The conclusion is consistent across them: no monetary framework, however carefully designed and however well backed, can substitute for the prior political decision on who bears Lebanon’s losses and how the state will finance itself sustainably.

Israel’s escalating campaign against Iran-backed Hezbollah is rapidly turning Lebanon into one of the most unstable fronts in the wider US-Israel confrontation with Iran — pushing an already fragile state to the brink. The war is tearing at Lebanon’s sectarian and political fabric, displacing Shiite communities and deepening polarization between Hezbollah and its rivals.

China’s expanding role in the Middle East is often framed as geopolitical rivalry with other global powers, including the United States, Russia, India, and others; but this lens obscures the strategic subtlety of Beijing’s approach.

Operation Epic Fury has created a dramatic opportunity in Lebanon that the US cannot afford to miss. Sustained leadership and support for the Lebanese Armed Forces can result in real disarmament, eliminating Hizballah as an Iranian proxy, and dealing Tehran another massive defeat that would further undermine the Iranian regime and help bring about its collapse.