US Launches Red Sea Force as Ships Reroute to Avoid Attacks 

Armed men stand on the beach as the Galaxy Leader commercial ship, seized by Yemen's Houthis last month, is anchored off the coast of al-Salif, Yemen, December 5, 2023. (Reuters)
Armed men stand on the beach as the Galaxy Leader commercial ship, seized by Yemen's Houthis last month, is anchored off the coast of al-Salif, Yemen, December 5, 2023. (Reuters)
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US Launches Red Sea Force as Ships Reroute to Avoid Attacks 

Armed men stand on the beach as the Galaxy Leader commercial ship, seized by Yemen's Houthis last month, is anchored off the coast of al-Salif, Yemen, December 5, 2023. (Reuters)
Armed men stand on the beach as the Galaxy Leader commercial ship, seized by Yemen's Houthis last month, is anchored off the coast of al-Salif, Yemen, December 5, 2023. (Reuters)

Defense Secretary Lloyd Austin on Tuesday said the United States was leading a multinational operation to safeguard commerce in the Red Sea as attacks by Iran-backed Yemeni Houthi militias forced more major shipping companies to reroute. 

The Houthis have stepped up the missile and drone attacks they began last month against international vessels sailing through the Red Sea, in response to Israel's assault on the Gaza Strip. 

The attacks this week forced oil major BP and a slew of freight firms including Maersk to divert shipments normally made through the Suez Canal around the Cape of Good Hope, adding days to journey times and incurring higher costs. 

Israel's 10-week-old war with Hamas, the Palestinian group that controls Gaza, has drawn in the United States and its allies on the side of Israel, and Iran and its proxy forces on the side of Hamas, risking a wider regional conflict. 

Austin, who is on a trip to Bahrain, home to the US Navy's headquarters in the Middle East, said the United Kingdom, Bahrain, Canada, France, Italy, Netherlands, Norway, Seychelles and Spain were among nations involved in the Red Sea security operation. 

The group will conduct joint patrols in the southern Red Sea and the Gulf of Aden. 

"This is an international challenge that demands collective action," Austin said in a statement, announcing the initiative as "Operation Prosperity Guardian". 

In a virtual meeting with ministers from more than 40 nations, Austin called on other countries to contribute as he condemned "reckless Houthi actions." 

Austin's announcement however leaves many questions unanswered, including how many other countries are willing to do what mostly US warships have done in recent days -- shoot down Houthi missiles and drones, and rush to the aid of commercial ships under attack. 

France later said it would join the effort to stop Houthi attacks. 

Shipping companies continued to reroute on Tuesday despite Austin's announcement. Denmark's Maersk, which had paused Red Sea shipping, said it would sail its ships around Africa until further notice. 

"We have faith that a solution enabling a return to using the Suez Canal and transiting through the Red Sea and Gulf of Aden will be introduced in the near future, but at this time it remains difficult to determine exactly when this will be," it said in a statement. 

Many other ships were still plying the waterway. Several ships underway have armed guards on board, LSEG data showed. 

Industry sources said the impact on global trade would depend on how long the crisis persists, but insurance premiums and longer routes would be immediate burdens. 

Attacks persist, ships reroute 

The Houthis have threatened to target all ships heading to Israel, regardless of their nationality, and warned international shipping companies against dealing with Israeli ports. They have also fired missiles at Israel more than 1,000 miles away. 

The group said on Tuesday the US-led security initiative would not deter them. 

British maritime security firm Ambrey said on Tuesday it received information of a potential boarding attempt 17 miles west of Yemen's Aden port city, adding that the attack was unsuccessful and all crew were safe. 

The United Kingdom Maritime Trade Operations said in an advisory it had received a report of an incident 80 nautical miles northeast of Djibouti, at the mouth of the Red Sea. 

The US Navy already had a Red Sea task force that had bolstered its presence in the critical waterway, and it is unclear how many countries will send additional ships or patrol aircraft following the creation of the new maritime operation. 

The leadership of the new US-led operation will also fall under existing command structures, officials say. 

The Houthis on Monday claimed a drone attack on two cargo vessels in the region. The Houthis have said that they were prepared to confront any coalition formed by the United States. 

About 12% of world shipping traffic normally transits via the Suez Canal, the shortest shipping route between Europe and Asia, passing then as well into the Red Sea waters off Yemen. 

Oil major BP's decision to temporarily pause all transit through the Red Sea, and oil tanker group Frontline saying its vessels would avoid passage through the waterway, showed the crisis was broadening to include energy shipments. Crude oil prices rose on those concerns on Monday. 

Western countries back Israel's fight against Hamas after the group killed 1,200 Israelis in an Oct. 7 attack. Israel's military response, a heavy bombardment and invasion of Gaza, has killed more than 19,000 Palestinians. 

During a visit to Israel on Monday, Austin squarely blamed Iran for the Houthi attacks. 

"Iran's support for Houthi attacks on commercial vessels must stop," he said. 

In addition to the Houthi attacks, Iran's ally Hezbollah in Lebanon has fired rockets across the frontier with Israel. Israel has launched air strikes in response in the worst violence at the frontier since a 2006 Israel-Hezbollah war. 

At a news conference in Tel Aviv, Austin said: "As we are driving to stabilize the region, Iran is raising tensions by continuing to support terrorist groups and militias."  



Hamas Urges Iran to Stop 'Targeting Neighboring' Countries

FILED - 20 February 2025, Palestinian Territories, Khan Younis: Hamas fighters stand guard at the site where Hamas handed over the bodies of four Israeli hostages to the Red Cross in Khan Yunis. Photo: Abed Rahim Khatib/dpa
FILED - 20 February 2025, Palestinian Territories, Khan Younis: Hamas fighters stand guard at the site where Hamas handed over the bodies of four Israeli hostages to the Red Cross in Khan Yunis. Photo: Abed Rahim Khatib/dpa
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Hamas Urges Iran to Stop 'Targeting Neighboring' Countries

FILED - 20 February 2025, Palestinian Territories, Khan Younis: Hamas fighters stand guard at the site where Hamas handed over the bodies of four Israeli hostages to the Red Cross in Khan Yunis. Photo: Abed Rahim Khatib/dpa
FILED - 20 February 2025, Palestinian Territories, Khan Younis: Hamas fighters stand guard at the site where Hamas handed over the bodies of four Israeli hostages to the Red Cross in Khan Yunis. Photo: Abed Rahim Khatib/dpa

Hamas on Saturday called on Iran to refrain from targeting neighboring countries, while affirming Tehran's right to defend itself against Israel and the United States.

"While affirming the right of the Islamic Republic of Iran to respond to this aggression by all available means in accordance with international norms and laws, the movement calls on the brothers in Iran to avoid targeting neighboring countries," Hamas said in a statement.

Hamas, which fought a devastating two-year war with Israel in Gaza, also called on the international community to "work towards halting" the ongoing war immediately.

The group previously condemned the killing of Iran's supreme leader, Ali Khamenei, on the first day of the war as a "heinous crime", openly acknowledging his longstanding support for the Palestinian movement.

"He provided all forms of political, diplomatic and military support to our people, our cause, and our resistance," the movement said soon after the killing of Khamenei.


Ongoing Strikes in Iraq Expose Political, Security Divisions

Mourners attend the funeral of members of Iraq's PMF, who were killed in an airstrike in the town of al‑Qaim near the Syrian border, amid heightened regional tensions due to the US-Israel conflict with Iran, in Baghdad, Iraq, March 12, 2026. REUTERS/Stringer
Mourners attend the funeral of members of Iraq's PMF, who were killed in an airstrike in the town of al‑Qaim near the Syrian border, amid heightened regional tensions due to the US-Israel conflict with Iran, in Baghdad, Iraq, March 12, 2026. REUTERS/Stringer
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Ongoing Strikes in Iraq Expose Political, Security Divisions

Mourners attend the funeral of members of Iraq's PMF, who were killed in an airstrike in the town of al‑Qaim near the Syrian border, amid heightened regional tensions due to the US-Israel conflict with Iran, in Baghdad, Iraq, March 12, 2026. REUTERS/Stringer
Mourners attend the funeral of members of Iraq's PMF, who were killed in an airstrike in the town of al‑Qaim near the Syrian border, amid heightened regional tensions due to the US-Israel conflict with Iran, in Baghdad, Iraq, March 12, 2026. REUTERS/Stringer

Strikes targeting armed groups in Iraq are continuing amid the US-Israel war on Iran, piling pressure on decision-makers in Baghdad to maintain a unified stance even as factions declare their participation in the fighting alongside Tehran.

Over the past two weeks, the Iraqi government has repeatedly called for “distinguishing targets” and avoiding “mixing up the cards,” a reference to the need not to target Iraqi state institutions or official forces. The stance clashes with announcements by prominent armed factions declaring their involvement in military operations supporting Iran.

Those factions include Kataib Hezbollah, Harakat al-Nujaba and Ansar Allah al-Awfiya. In statements, they said “collaborators” were providing coordinates to what they described as the “enemy.”

Akram al-Kaabi, leader of Harakat al-Nujaba, said in a statement that recent strikes resulted from information provided by “informants,” without identifying them.

A leader in one of the factions fighting alongside Iran, however, claimed the person in question could be linked to a security agency.

Popular Mobilization sites

According to faction statements, some recent strikes targeted sites linked to the Popular Mobilization Forces (PMF), a security institution that includes several brigades affiliated with armed factions.

Observers say strikes on PMF-linked sites, alongside locations belonging to other factions, have created confusion in the political discourse over the nature of the targets and whether the strikes are aimed at specific factions or at an official security structure.

The Iraqi presidency and the prime minister’s office issued statements in recent days stressing the need to avoid dragging Iraq into the regional conflict, while reaffirming their rejection of using Iraqi territory as an arena for settling scores.

Political divisions

At the same time, divisions are widening among the armed factions themselves and between some factions and the government. Analysts say the rifts appear on two levels: military, over the extent of involvement in the war, and political, over the future of power in Baghdad.

Some factions have announced direct participation in military operations. Others have limited themselves to statements of support for Iran, while a third group has remained silent, awaiting developments in the confrontation.

The divisions are also visible within the Coordination Framework alliance, which includes the main Shiite political forces, particularly over the selection of the next prime minister.

Government formation

Iraqi politicians say the regional military escalation is further complicating an already deadlocked political scene, with parties still unable to agree on a new prime minister.

Former Prime Minister Nouri al-Maliki is the declared candidate of the Coordination Framework alliance. But sources say international objections, including from the United States, are hindering his nomination to form a government.

According to those sources, Maliki has stipulated that if he withdraws from the race, neither the current Prime Minister, Mohammed Shia al-Sudani, nor the former Prime Minister, Haider al-Abadi, should be tasked with forming the government.

Analysts say rising regional tensions could push some political forces to exploit the war to strengthen their negotiating positions inside Iraq, particularly as pressure on Tehran grows, and prospects for regional understandings that previously influenced power arrangements in Baghdad diminish.

Additional complications

The picture is further complicated by ongoing disagreements among Kurdish parties over who should be named the presidential candidate. Under the constitution, the president appoints the nominee of the largest parliamentary bloc to form the government.

Observers say delays by Kurdish parties in agreeing on a presidential candidate are effectively obstructing the formation of a new government, while some political forces are using the delay to justify postponing a decision on the premiership.

Tensions have also risen after reports that areas in the Kurdistan region were struck in connection with the escalation between armed factions and their opponents, potentially adding a new dimension to political disputes between Baghdad and Erbil.


Hezbollah-linked Financial Institution Faces Systematic Israeli Military Campaign

Part of the building struck by an Israeli air strike in the Bashoura area, where the Israeli military said Hezbollah stores money beneath it (Asharq Al-Awsat)
Part of the building struck by an Israeli air strike in the Bashoura area, where the Israeli military said Hezbollah stores money beneath it (Asharq Al-Awsat)
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Hezbollah-linked Financial Institution Faces Systematic Israeli Military Campaign

Part of the building struck by an Israeli air strike in the Bashoura area, where the Israeli military said Hezbollah stores money beneath it (Asharq Al-Awsat)
Part of the building struck by an Israeli air strike in the Bashoura area, where the Israeli military said Hezbollah stores money beneath it (Asharq Al-Awsat)

The Al-Qard Al-Hasan Association, a financial institution linked to Hezbollah, is facing a systematic military campaign as part of what appears to be a renewed Israeli strategy aimed at undermining the group’s economic infrastructure and cutting off its funding sources.

After the association’s branches were targeted during the 2024 war between Israel and Hezbollah, the institution has once again become a primary target in the current conflict.

The renewed campaign appears aimed at eliminating its role entirely, after it resumed operations following the previous war.

Ongoing campaign

In addition to years of political pressure and sanctions, the Israeli army targeted several of the association’s branches in Beirut, the Bekaa Valley and southern Lebanon during the 2024 war, making the institution part of a broader multi-level confrontation involving military strikes, financial sanctions and political pressure.

During the 66-day war, most of the association’s branches were hit by Israeli air strikes. Despite this, the institution was able to resume operations after the ceasefire and continued to provide financial services.

Hezbollah also used the association to distribute aid and compensation to people affected by the war through checks issued in the group’s name. The group attempted to circumvent sanctions through an entity it called the Joud Foundation, intended to serve similar financial purposes.

But in February, the United States imposed sanctions on it, saying it was being used to ensure the flow of funds from Iran to Hezbollah.

Attempt to eliminate it completely

In the current war, Israel has intensified its strikes against the association in a systematic manner. The Israeli military has clearly stated that all Al-Qard Al-Hasan branches are considered targets, a pledge it has carried out through strikes on most buildings housing its offices.

This has become a source of concern for residents, particularly because many of the association’s offices are located in residential buildings. Residents have therefore demanded that the offices be closed.

Lebanese security authorities have attempted to limit losses resulting from attacks on the association’s branches.

In this context, a decision was taken to close its branch in Sidon, southern Lebanon, and remove its sign on Thursday, following demands from business owners and institutions on the street and in neighboring buildings.

Authorities also evacuated the association’s branch building in Beirut’s Noueiri district on Friday following a decision by the interior minister.

It is also clear that the Israeli army is no longer only pursuing the association’s branches but also money storage facilities. Israeli military spokesman Avichay Adraee said on Thursday, after a strike on a building in the Bashoura area near central Beirut, that Hezbollah had hidden millions of dollars beneath the civilian building to fund its “terrorist activities.”

He added that the site was guarded by armed men and that access to the storage facility was through the building’s parking lot.

While Israeli strikes in 2024 failed to destroy what is often described as “Hezbollah’s central bank,” Israel, which views the association as a central element in financing Hezbollah’s activities and harmful to the Lebanese economy in the service of Iranian interests, now appears intent on weakening it fundamentally.

The goal appears to be depriving the group of one of its most important sources of economic and social influence in Lebanon.

Drying up resources a long and complex process

However, financial and economic affairs researcher Professor Maroun Khater said it is unlikely that Al-Qard Al-Hasan could be completely eliminated.

“Experience shows that such networks are often capable of adapting and finding alternative channels, which makes the process of cutting off resources long and complex,” Khater told Asharq Al-Awsat.

“For this reason, it is difficult to conclude that the blows suffered by Al-Qard Al-Hasan have led to the complete collapse of Hezbollah’s financial system, due both to the nature of the association itself and the diversity of funding sources that international reports say the group relies on.”

Khater added that despite the pressure, the association relies on a broad social network of depositors and borrowers who have used its services as an alternative to the traditional banking system, even before Lebanon’s banking sector effectively collapsed in 2019.

“This social base, along with political and security protection, has given it a certain capacity to endure, albeit within a limited scope, and has so far allowed it room to reorganize its activities whenever it is hit,” he said.

Fate of funds unclear

Khater also stressed that it would be simplistic to view the association as Hezbollah’s only source of funding.

Research centers and international institutions estimate that the group’s financing relies on a mix of sources, including foreign support, local economic networks, and donations, as well as various financial and commercial activities.

Some resources are also believed to move through individuals or private institutions that may remain outside full regulatory oversight, whether inside Lebanon or abroad.

For this reason, Khater said, it remains difficult to determine the true scale of the wealth accumulated by Hezbollah over past decades or to know what has happened to portions of its funds, gold reserves or other assets.

A parallel banking system under pressure

The Al-Qard Al-Hasan Association was founded in 1983 and operates more than 30 branches across Lebanon, including in Beirut, southern Lebanon and the Bekaa Valley. A broad segment of the public relies on it to obtain small loans or cash liquidity in exchange for gold or other assets pledged as collateral.

As Lebanon’s financial crisis worsened after 2019, the association’s role expanded, functioning in many ways as Hezbollah’s “parallel banking system.”

While banks suspended lending, Al-Qard Al-Hasan said it had issued 212,000 loans totaling $553 million in 2020 and 2021.

The US Treasury froze the association’s assets in 2007 and imposed additional sanctions in 2021 on several individuals linked to it, accusing the organization of collecting foreign currency to help Hezbollah build a support base.

The Treasury says that although the association claims to serve the Lebanese public, it actually transfers funds illegally through fictitious accounts and intermediaries, exposing Lebanese financial institutions to potential sanctions.

Lebanese authorities have also tightened restrictions. In 2025, Lebanon’s central bank instructed banks and financial institutions not to deal with unlicensed entities subject to sanctions, including Al-Qard Al-Hasan.