Economics and Energy

With solid inflows from the United Kingdom (U.K.) and Europe, the United Arab Emirates (UAE) has become the top global destination for wealth, attracting businesses, investors, and high-net-worth individuals (HNWIs) for the third year in a row. The UAE’s strategic blend of political stability, a welcoming cultural environment, a thriving real estate market, favourable tax regulations, and economic stability accounts for its resurgence as the top destination for affluent individuals in 2024. Strengthening its position as a leading hub for investment and wealth migration, the country’s forward-thinking vision and dedication to innovation and development ensure its sustained appeal to global wealth. The UAE is expected to gain significant economic advantages as more wealthy individuals and their families relocate there, thereby increasing the country’s appeal and influence on a worldwide scale.

On June 19 and 22, Hezbollah released two recordings showing high-resolution aerial images, catching Israeli security authorities and regional observers off guard. Apparently captured by a drone flying at medium to low altitudes, the footage highlighted security and strategic sites, including fuel storage facilities, thermal power stations predominantly located in Haifa, and the city's docks. This move underscored the potential reach of Hezbollah's missiles and drones to critical Israeli energy infrastructure.   The release triggered widespread speculation about Hezbollah’s missile capabilities, with analysts suggesting these missiles could directly strike the highlighted facilities. Such an attack could further destabilise Israel's economy, which is already experiencing significant challenges. The current economic situation is considered one of the worst in Israel's history, rivalled only by the first two decades after the state's founding and the Yom Kippur War.   On the other hand, many of these analyses have overlooked the Israeli electrical grid's distribution of generation stations, electrical load, maximum voltage, and generation sources, leaving the assessment incomplete. Even if Hezbollah’s missiles were to reach these stations and hit their targets with enough power and accuracy to disable them, it does not necessarily mean the entire electrical grid would be taken out of service or significantly reduce its capacity to produce electrical energy, which could impact daily life in Israel.   This analysis aims to review the generation stations, their capabilities, and their locations within Israel to investigate the potential impact of Hezbollah’s anticipated attacks on these facilities.

European Parliament (EP) elections have historically garnered less interest from European voters,* as domestic issues have typically dominated their concerns. Consequently, topics such as defence and security have seldom been central to European election campaigns. However, this situation has changed dramatically in recent sessions. The influx of refugees arriving on European shores and the ominous threat of war looming over the continent have shifted the focus. As a result, Europe now finds itself precariously close to a crisis that threatens to undermine the development and reconstruction efforts of the past seventy years.   Therefore, regional issues began to be politicised and exploited in European Parliament elections as security and defence issues became more urgent. Parties shifted away from discussing the Union's broader policies, focusing instead on these pressing issues, which started to play a significant role in shaping voter preferences. Consequently, these topics became more influential in determining electoral outcomes at various local government levels, ultimately impacting decisions at the level of the European Union (EU).   This analysis examines the positions and attitudes of the main groups within the European Parliament on crucial defence issues facing the EU and how these positions are reflected in the political formulation of their policies.

China, despite being the second-largest economy globally, encounters challenges such as a distressed real estate sector, reduced domestic consumption, and high debt levels. In response to these obstacles, the government is enacting policies aimed at encouraging domestic spending, mitigating the real estate downturn, and cultivating innovation to ensure sustainable development. The way these measures are implemented will not only impact the economic trajectory of China, but also that of the entire world.

The world economy is at a turning point, with a visible tendency to reverse the integration that was seen in the last decades of the 20th century. Growing scepticism about the benefits of globalisation, particularly in developed countries, accompanied the sluggish recovery after the Global Financial Crisis (GFC). This uncertainty led to a purposeful policy change away from integration known as geoeconomic fragmentation (GEF). A variety of policies impacting capital flows, worker mobility, and trade are included in GEF. GEF policies are motivated by a variety of factors, such as correcting internal economic inequities, economic competition, and national security concerns. Foreign direct investment (FDI), which has been declining recently, particularly in emerging countries, is another indication of how this trend toward GEF has affected FDI and the need for quick action to reverse it.

The Iranian Revolutionary Guard's Air Force made a historic move by launching a direct assault on Israel in an operation dubbed "The True Promise," marking the first instance of such an attack originating from Iranian territory. Late on Saturday, April 13, 2024, Israeli cities were subjected to a relentless barrage of drones and ballistic missiles, signalling a significant escalation in tensions between the two nations. This offensive action follows Iran's earlier pledge to retaliate against Israel for its targeting of the Iranian consulate in Damascus, an incident that resulted in the deaths of seven Revolutionary Guard members, including two high-ranking leaders, on April 1.   This calculated escalation underscores Iran's unwavering commitment to defending its sovereignty and national interests while bolstering regional security. The global spotlight now shifts to the scale, sophistication, and broader implications of Iran's strike against Israel.   The Iranian assault on Israeli soil marks a pivotal moment in the ongoing conflict between the two adversaries, thrusting their hostilities from the shadows into the open arena of direct confrontation.   Against this backdrop, the Israeli response hinges on several key factors. Firstly, the extent to which Iranian proxies, such as the Houthis and Hezbollah, may actively participate in the conflict will influence Israel's strategic calculus. Secondly, the response will be shaped by the presence or absence of casualties among Israeli forces, as well as the effectiveness of its defence systems, bolstered by support from the United States, in mitigating potential damage. Lastly, how Israel opts to retaliate will be of paramount importance in determining the trajectory of the conflict.   Consequently, this analysis aims to elucidate the attack's ramifications and its economic repercussions on the parties involved in the conflict.

The dynamics between the Haredi Jewish community and the state of Israel are intricate and peculiar, shaped by many complex factors. Despite their historical opposition to the state's establishment and its Zionist underpinnings, they have emerged as prominent beneficiaries within Israeli society. Despite their active involvement in politics, with dedicated parties and ministerial representation in successive Israeli governments, the Haredi community seeks to diminish government authority over them. They maintain superficial compliance while preserving their self-organised societal structures.   These contradictions have been a continual source of critique within Israeli society since the State's inception. Successive Israeli administrations have consistently granted numerous privileges to the Haredi Jewish community, influenced by their political and religious sway. Chief among these privileges is their exemption from mandatory conscription, unlike other societal groups, accompanied by various financial incentives. However, the landscape is poised for significant transformation following the Gaza war.   This analysis aims to delve into the economic traits of the Haredi Jewish community and explore their broader economic impacts on Israeli society.

Globally, an estimated 4.2 billion people lack access to the internet, highlighting a major technological disparity. This digital divide disproportionately impacts rural and remote communities, hindering their access to essential healthcare, education, and economic opportunities. Traditional terrestrial infrastructure expansion often faces financial and geographical limitations in these regions. As satellite technology becomes increasingly accessible, space-based internet solutions emerge as a potential alternative.   However, the lowering cost of satellite production and launch, coupled with the availability of technological complexities of operating in low-earth orbit (LEO) create a competitive landscape. Developed nations and corporations are vying for dominance in LEO, raising concerns about the future accessibility of this technology for developing countries. This article investigates the challenges arising from this intensifying competition and its potential consequences for the digital inclusion of developing nations.

The global economy has been struggling to recover since the impact of the COVID-19 pandemic, which has had significant repercussions worldwide. The European Union (EU) has been particularly affected by the Russia-Ukraine war due to its reliance on Russian energy. Following this conflict, the EU is gradually moving toward recovery, with an anticipated mild growth rate in 2024. However, the ongoing Middle East conflict and concerns about its potential escalation raise doubts about whether the EU can withstand the challenges posed by such an escalation.

The documented history of employing a boycott as an economic weapon traces its origins to 432 B.C., Athens enacted the Megarian Decree, named after the city of Megara in ancient Greece. This decree comprised a series of economic sanctions, with a pivotal measure prohibiting Megarian goods from entering Athens. It extended to restricting Athenian ships from docking in Megara and, ultimately, barred Megarians from trading within the Athenian market.   In response, Megara and its allies in the Peloponnesian League took retaliatory economic actions, prominently featuring a boycott of Athenian goods. This reciprocal economic pressure adversely affected both entities, culminating in the onset of the Peloponnesian War. Lasting approximately 27 years, this conflict subsequently impeded the growth and continuity of Greek civilisation.   The following centuries witnessed the global utilisation of economic boycotts for various political purposes, primarily targeting the party subject to the sanctions, causing it to abandon a particular policy. Noteworthy instances include the Jews' first-century B.C. boycott of Roman goods, a protest against Roman occupation. In the 16th century, the Dutch Republic boycotted Spanish goods in opposition to Spanish rule. Additionally, during the 18th century, the U.S. colonies boycotted British goods as a protest against exorbitant taxes.   Contrary to common belief in the Arab world, the weaponisation of economic boycotts is not a recent phenomenon. Over the past two centuries, numerous academic studies have comprehensively examined and analysed its impact on both the boycotting and boycotted economies. These studies aim to gauge the effectiveness of economic boycotts in realising their intended goals.   The tactic of economic boycotts made its debut in the context of the Arab-Israeli conflict in 1922, when Palestinian Arab leaders initiated a boycott targeting Jewish-owned businesses in Palestine, aiming to inflict economic harm upon the Jewish population. These boycott attempts persisted sporadically throughout the 1930s and 1940s, with a notable instance occurring in 1936 when Palestinian Arab leaders advocated for a comprehensive boycott of all things associated with Jewish identity, even resorting to physical violence against Arabs who disregarded the boycott. Despite these efforts, the boycott proved unsuccessful, given the significant reliance of the Palestinian population on Jewish professionals such as lawyers, doctors, and hospitals.   Subsequently, the boycott assumed a regional dimension in December 1945 when the six states comprising the Arab League jointly issued the initial call for an economic boycott against the Jewish community in Palestine. This declaration went beyond mere encouragement and urged all Arab countries, regardless of their League membership status, to prohibit the trade of Jewish products.   In 1946, the situation evolved with the Arab League establishing the Permanent Boycott Committee, intending to heighten the implementation of the boycott. Despite these efforts, the boycott's lack of success became evident, as outlined in the first annual report of the Boycott Committee.   Following the committee's shortcomings, the League swiftly bolstered its structure, transforming it into the Central Boycott Office. Headquartered in Damascus, it established branch offices in every member state of the Arab League. The pivotal role of the county commissioner was instituted to lead the office, accompanied by appointed deputies serving as liaison officers accredited by each member state of the Arab League.   The Central Office in Damascus assumed the pivotal role of coordinating the boycott in tandem with its affiliated offices. It was responsible for presenting regular reports to the Council of the Arab League. Starting from 1951, semiannual meetings were scheduled to synchronise boycott policies and formulate blacklists of individuals and companies breaching the boycott. The punitive measures were executed locally, with each member state implementing decisions through legal and administrative executive procedures.   From 1951 to the present moment of composing this analysis, calls for boycotts have been recurrent with each political conflict between Palestinians and Israelis. They have been wielded as a means of resistance against Israeli occupation and its perceived unjust policies toward the Palestinian population. However, these calls have generally manifested in three distinct patterns, as explained below.

The conflict between Hamas and Israel has been ongoing for the past four weeks, resulting in a devastating loss of life. Over 9,056 Palestinian casualties have been reported, while the Israeli side has suffered approximately 1,728 casualties. In addition to the profound human casualties, the conflict has negatively impacted the Israeli economy and is testing its resilience.

Automation is becoming more common in a lot of different fields all over the world. The rise of automation has been caused by a mix of new technologies, changes in the economic conditions, and changes in society. The healthcare sector was not far from such automation where the market for medical robots has grown a lot in recent years, especially after the COVID-19 Pandemic, and it is likely to grow even more in the coming years. Medical robots help with surgeries, make medical logistics easier, and give doctors and nurses more time to focus on patients. As they become more important, the question is whether medical robots can replace doctors or just help them do their jobs better and keep patients safe.