Former Spy Chief and Assad’s Cousin Plot Syrian Uprisings from Russia

A member of Hayat Tahrir al-Sham stands guard near an image of Syria's Bashar al-Assad at the fourth division headquarters in Damascus, Syria, January 23, 2025 (Reuters)
A member of Hayat Tahrir al-Sham stands guard near an image of Syria's Bashar al-Assad at the fourth division headquarters in Damascus, Syria, January 23, 2025 (Reuters)
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Former Spy Chief and Assad’s Cousin Plot Syrian Uprisings from Russia

A member of Hayat Tahrir al-Sham stands guard near an image of Syria's Bashar al-Assad at the fourth division headquarters in Damascus, Syria, January 23, 2025 (Reuters)
A member of Hayat Tahrir al-Sham stands guard near an image of Syria's Bashar al-Assad at the fourth division headquarters in Damascus, Syria, January 23, 2025 (Reuters)

Two former loyalists to Bashar al-Assad who fled Syria after his fall are funneling millions of dollars to tens of thousands of potential fighters, hoping to stir uprisings against the new government and reclaim some of their lost influence, a Reuters investigation has found.

Assad, who escaped to Russia last December, is largely resigned to exile in Moscow, say four people close to the family. But other senior figures from his inner circle, including his brother, have not come to terms with losing power.

Reuters found that two of the men once closest to Assad, Maj. Gen. Kamal Hassan and billionaire Rami Makhlouf, are competing to form militias in coastal Syria and Lebanon made up of members of their minority Alawite sect, long associated with the Assad family.

All told, the two men and other factions jostling for power are financing more than 50,000 fighters in hope of winning their loyalty.

Assad’s brother, Maher, who is also in Moscow and still controls thousands of former soldiers, has yet to give money or orders, said the four people close to the Assads.

One prize for Hassan and Makhlouf is control of a network of 14 underground command rooms built around coastal Syria toward the end of Assad’s rule, as well as weapons caches.

Two officers and a Syrian regional governor confirmed the existence of these concealed rooms, details of which appear in photos seen by Reuters.

Hassan, who was Bashar’s military intelligence chief, has been tirelessly making calls and sending voice messages to commanders and advisors. In them, he seethes about his lost influence and outlines grandiose visions of how he would rule coastal Syria, home to the majority of Syria’s Alawite population and Assad’s former powerbase.

Makhlouf, a cousin of the Assads, once used his business empire to fund the ousted President during the civil war, only to run afoul of his more powerful relatives and wind up under years of house arrest. He now portrays himself in conversations and messages as a messianic figure who will return to power after ushering in an apocalyptic final battle.

Hassan and Makhlouf did not respond to requests for comment for this report. Bashar and Maher Assad couldn’t be reached. Reuters also sought comment from the Assad brothers through intermediaries, who didn’t reply.

From their exiles in Moscow, Hassan and Makhlouf envision a fractured Syria, and each wants control of the Alawite-majority areas.

Both have spent millions of dollars in competing efforts to build forces, Reuters found. Their deputies are located in several countries.

To counter the plotters, Syria’s new government is deploying another former Assad loyalist – a childhood friend of new President Ahmed al-Sharaa who became a paramilitary leader for Assad and then switched sides mid-war after the ousted President turned against him. The task of that man, Khaled al-Ahmad, is to persuade Alawite ex-soldiers and civilians that their future lies with the new Syria.

Details of the scheming are based on interviews with 48 people with direct knowledge of the competing plans. All spoke on condition of anonymity.

Reuters also reviewed financial records, operational documents, and exchanges of voice and text messages.

The governor of the coastal region of Tartous, Ahmed al-Shami, said Syrian authorities are aware of the outlines of the plans and ready to combat them. He confirmed the existence of the command-room network as well, but said it has been weakened.

“We are certain they cannot do anything effective, given their lack of strong tools on the ground and their weak capabilities,” al-Shami told Reuters in response to questions about the plotting.

The Lebanese Interior Ministry and the Russian Foreign Ministry did not respond to requests for comment. A UAE official said its government is committed to preventing the use of its territory for “all forms of illicit financial flows.”

For now, the prospects of a successful uprising seem low.

Chief plotters Hassan and Makhlouf are virulently at odds with one another.

Their hopes are fading to win backing from Russia, once Assad’s most powerful political and military supporter. Many Alawites in Syria, who also suffered under Assad, mistrust the pair. And the new government is working to stymie their plans.

In a brief statement in response to the Reuters findings, the government’s Alawite point man al-Ahmad said the “work of healing – of uprooting sectarian hatred and honoring the dead – remains the only path toward a Syria that can live with itself again.”

Hassan claims control of 12,000 fighters, while Makhlouf claims control of at least 54,000, according to their factions’ internal documents. Commanders on the ground said fighters are paid a pittance and taking money from both sides.

The exiles don't appear to have mobilized any forces yet. Reuters could not confirm the fighter figures or determine specific action plans. Tartous governor Al-Shami said potential fighters numbered in the tens of thousands.

In interviews, the people closest to the plotters said they’re aware that tens of thousands of Syrian Alawites could face violent retribution if they implement their plans against the new leadership.

In March, nearly 1,500 civilians were killed across the Mediterranean coast by government-affiliated forces after a failed uprising in an Alawite town.

Both Hassan and Makhlouf promise to protect Syria’s Alawites from the insecurity that has continued since March, including near-daily killings and kidnappings.

Neither Makhlouf nor Hassan were behind the protests, but rather a cleric who opposes both men and publicly called on people to demonstrate peacefully.

Makhlouf attacked the cleric the next day in a social media post, saying, “all these movements will only bring calamity, for the time is not yet right.”
One of Hassan’s top military coordinators told Reuters that fighting is the only way to restore Alawite dignity.

“We are lucky that only this number of our people have died so far,” said the coordinator, a former Assad-era military intelligence officer who is now in Lebanon. “Perhaps thousands more will die, but the sect must offer up sacrificial lambs” to defend the community.

According to January 2025 documents seen by Reuters, Assadist forces drew up initial plans to build a paramilitary force of 5,780 fighters and supply them from the subterranean command rooms. These are essentially large storerooms equipped with arms, solar power, internet, GPS units and walkie-talkies.

Nothing came of that early plan, and the command rooms – along a spine in coastal Syria about 180 kilometers from north to south – remain operational but essentially idle, according to two people with knowledge of them and photos seen by Reuters.

One photo showed a room with five stacked crates, three of which were open to reveal a collection of AK-47s, ammunition and hand grenades. The room also held three desktop computers, two tablets, a set of walkie-talkies, and a power bank. In the center was a wooden table topped with a large map.

For the plotters, “this network is Treasure Island, and they are all boats trying to reach it,” said one of the people, a commander who monitors the readiness of the rooms.

Al-Shami, the Tartous governor, said the network is real but poses little danger.

As senior military officials and ranking government figures escaped abroad in December 2024, many mid-level commanders remained in Syria. Most fled to the coastal regions dominated by Alawites, a Muslim minority that makes up a little over 10% of Syria’s population.

Those officers started recruiting fighters, according to a retired commander involved in the effort.

“The most fertile ground was the military,” the retired commander said. “Thousands of young men from the sect had been conscripted into the army, which was dissolved in December, and they suddenly found themselves exposed.”

Then came the failed uprising on March 6. An Alawite unit operating independently ambushed security forces from the new Syrian government in rural Latakia, killing 12 men and capturing more than 150, according to a brigadier general who was involved with the ambush and has since left for Lebanon.

The new Syrian government says hundreds of its security forces died in the fighting that followed – a claim largely echoed by the pro-Assad fighters.

The brigadier general said 128 pro-Assad forces died in the uprising, which was quelled by the new government. The insurgency sparked reprisals that killed nearly 1,500 Alawites.

The Assadist exiles neither started nor commanded the uprising, according to the officers who were there, but those days marked a turning point. They began to organize.

An Assad Family Feud
It was on March 9 that Makhlouf started calling himself “The Coast Boy,” declaring in a statement that he had been entrusted with a divine mission to help Alawites. “I’m back, and blessed be the return,” the statement read. It did not mention that he was in Moscow.

Makhlouf dominated Syria’s economy for more than two decades, with holdings estimated by the British government at well over a billion dollars in industries as varied as telecoms, construction and tourism. He used his money to fund Syrian army units and allied militias during the civil war, which broke out in 2011.

When Assad’s victory seemed assured in 2019, Makhlouf publicly claimed credit. Soon after, Assad seized Makhlouf’s businesses, ostensibly because they were indebted to the state, and put him under years of house arrest.

Makhlouf escaped to Lebanon in an ambulance the night of December 8, 2024, as Damascus fell to Sharaa’s rebels.

Makhlouf’s brother Ehab also tried to flee that night in his Maserati, but was shot to death near the border and robbed of millions of dollars he was carrying in cash, according to four close associates of the family and a customs officer with direct knowledge of the events. Reuters could not independently verify the events of that night.

Makhlouf now lives on a private floor in a luxurious Radisson hotel in Moscow under tight security, according to nine aides and relatives.

The Radisson in Moscow and group headquarters in Brussels did not respond to a request for comment.

According to Makhlouf’s Facebook posts and WhatsApp messages to associates, he believes God gave him money and influence so he can play a messianic role in a prophecy involving the battle of Armageddon in Damascus.
In his interpretation, the apocalypse will arrive after the end of US President Donald Trump’s term.

Using trusted business administrators three countries, Makhlouf is transferring money to Alawite officers for salaries and equipment, according to a financial manager and receipts and payroll tables seen by Reuters.

The documents show the money is funneled through two prominent Syrian officers who reunited with Makhlouf in Moscow: Suhail Hassan and Qahtan Khalil, who both held the rank of major general. Hassan and Khalil claimed to have created a force for Makhlouf totaling what they said were 54,053 willing fighters, including 18,000 officers, organized into 80 battalions and groups in and around the cities of Homs, Hama, Tartous and Latakia.

Many rank-and-file soldiers conscripted under Assad, however, gave up fighting when his government fell.

Hassan and Khalil didn’t reply to requests for comment about their role in transferring money.

An UAE official said the government maintains strict oversight over its economic sectors and fully “supports Syria’s efforts to safeguard its security, stability, and sovereignty over all territories.’

One of his financial managers told Reuters that Makhlouf has spent at least $6 million on salaries. Payroll tables and salary receipts created by financial aides to Makhlouf in Lebanon claimed he spent $976,705 in May, and that one group of 5,000 fighters received $150,000 in August.

The total force numbers are real, according to five leaders of military groups in Syria who are on Makhlouf’s payroll and lead about a fifth of his following. But Makhlouf’s funding falls short of their needs, amounting to just $20 to $30 a month per fighter.

In addition, Makhlouf’s staff has sought to provide weapons. They have mapped the possible location of dozens of caches hidden during the Assad era totaling a few thousand firearms, according to schematics Reuters viewed.

These stockpiles are separate from the hidden command rooms.

They have also been in discussions with smugglers in Syria for new weapons.

People familiar with the discussions said they didn’t know if new weapons were actually purchased or delivered.

Altogether, the five local military leaders said they command about 12,000 men in various stages of readiness. One of them told Reuters the time wasn’t yet right for action.

Another of the five commanders derided Makhlouf as trying to buy loyalty with “crumbs of money.”

All five said they had accepted money from both Makhlouf and Hassan, the spy chief. They saw no issue with overlapping paymasters.

Mass Grave and Hiding Atrocities
Hassan ran the Assad dictatorship’s military detention system, which was notorious for extorting money at scale from prisoners’ families, according to a 2024 United Nations report about the system.

A Reuters investigation this year found it was Hassan who proposed moving a mass grave containing thousands of bodies in 2018 to the Dhumair desert outside Damascus to hide the scope of the Assad government atrocities.

With Assad’s fall, Hassan took refuge in the Russian embassy in December 2024 for nearly two weeks.

He was infuriated at what he perceived as ill-treatment by his hosts, who provided a single room with just one hard chair to sit on, according to two people close to him.

“Kamal Hassan is not one to sit on a wooden chair for days!” he said in one WhatsApp voice message to his inner circle from this spring, reviewed by Reuters.

Hassan ultimately took up residence in a three-story villa in suburban Moscow, according to an officer who met him over the summer.

Since then, he has seen Maher al-Assad once and maintains close ties with Bashar’s Russian protectors, according to the two people aware of Hassan’s movements.

According to Hassan’s operations coordinator in Lebanon, Hassan has spent $1.5 million since March on 12,000 fighters in Syria and Lebanon.

“Be patient, my people, and don’t surrender your arms. I am the one who will restore your dignity,” he said in another WhatsApp voice message from April that appeared aimed at commanders. Two recipients confirmed the message was from him.

In mid-year, a charity called the “Development of Western Syria” announced its creation and said it was funded by “the Syrian citizen Maj. Gen. Kamal Hassan,” according to one of its initial Facebook posts.

Three officers linked to Hassan and a manager in the organization described it as a humanitarian cover so Hassan could build influence among Alawites.

In August, the charity paid $80,000 to shelter 40 Syrian Alawite families, according to an announcement of its first action. That same month, Hassan sent $200,000 in cash to 80 officers in Lebanon, according to a payroll document seen by Reuters.



From Wells to Budget: Where Does Libya’s Oil Money Go?

Tugboat Al-Hani begins operations at Zueitina port (National Oil Corporation)
Tugboat Al-Hani begins operations at Zueitina port (National Oil Corporation)
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From Wells to Budget: Where Does Libya’s Oil Money Go?

Tugboat Al-Hani begins operations at Zueitina port (National Oil Corporation)
Tugboat Al-Hani begins operations at Zueitina port (National Oil Corporation)

Libya depends on oil for nearly 98% of its income. Yet a central question persists: How are those revenues collected and spent in a country divided between rival governments? And why do Libyans complain of poverty when their country holds Africa’s largest oil reserves and produces and exports about 1.4 million barrels a day?

The process starts with the National Oil Corporation, which collects proceeds from crude oil and gas sales in US dollars and deposits them in accounts at the Libyan Foreign Bank. The money is then transferred to the Central Bank of Libya's accounts in Tripoli, recorded as state budget sovereign revenue, and converted into Libyan dinars.

The dollar trades at 6.36 dinars at the official rate, compared with 9.12 on the parallel market.

The Finance Ministry in Tripoli then issues spending authorizations under approved financial arrangements, after which the central bank releases funds to ministries and other state bodies through the main budget chapters.

Libya’s oil export revenues have swung sharply in recent years, ranging between $18 billion and $22 billion. They rose to about $18 billion in the first half of this year, nearly double the level in the same period last year, according to the Economy Ministry in the interim Government of National Unity.

Libyan oil expert Mohamed al-Shahati attributed the increase during that period to the war involving Iran.

Where is the breakdown?

Economists say Libya’s dependence on oil as its near-exclusive source of income lies at the heart of the crisis.

Ayoub al-Farsi, an economics professor at the University of Benghazi, said Libya showed how excessive reliance on natural resources could turn into a complex financial crisis when combined with political fragmentation and a lack of economic diversification.

“The Libyan economy is a clear example of how excessive dependence on natural resources can become a complex financial crisis,” he said, adding that political fragmentation and the absence of diversification had created conditions that directly affected people’s lives.

Al-Farsi, a member of the Central Bank of Libya’s Monetary Policy Committee, said the economy was built around a rentier-state model that depended almost entirely on oil exports to fund the treasury and provide foreign currency.

That dependence, he told Asharq Al-Awsat, had created deep structural distortions.

Agriculture and industry had been marginalized, the state bureaucracy had expanded to absorb workers into unproductive public-sector jobs, and the country had grown heavily dependent on imports for most consumer goods, he said.

Industrial activity remains limited, largely confined to the private sector and small-scale production. Critics also point to a market dominated by a small number of traders and importers, helping imported goods crowd out local production.

At protests across Libyan cities, the question is often the same: Where is the oil money going? Why are people struggling in an energy-producing country?

Al-Shahati said part of the answer lies in the difference between the value of the oil Libya produces and the amount that actually reaches the state treasury.

“Not every barrel produced in Libya is converted directly into a dollar entering the public treasury, because foreign partners have a share,” he told Asharq Al-Awsat.

Foreign companies have become production partners under various contractual arrangements, he said.

He also pointed to a stark contradiction: Libya produces oil, yet depends heavily on imports of gasoline, diesel, and other petroleum products to meet domestic demand.

That means a growing share of the country’s resources is converted into foreign currency to pay for fuel imports.

Al-Shahati said another problem was the lack of a regularly published, unified, and easy-to-read account that answers basic questions, such as: What was the total value of the oil produced? How much went to foreign partners? How much was exported for the state? How much went to the domestic market? And how much net revenue was actually available for public spending?

“The figures in circulation provide parts of the picture,” he said, “but they do not always show the full flow of revenues from the wellhead to the state’s public accounts.”

Libya’s oil fields are concentrated mainly in the eastern Sirte Basin, which holds about 82% of its oil reserves, as well as in the Murzuq Basin in the southwest and offshore areas along the coast.

Fuel and power crises

Those weaknesses in the oil revenue chain are unfolding as Libya grapples with a severe electricity crisis.

The country has suffered several “blackouts” in recent days, with some areas going without electricity for more than 17 hours a day.

Researcher Ezzedine Mokhtar sees the power cuts as one part of a wider pattern of recurring financial failures, including fuel shortages.

He blamed the hardship facing many Libyans on “corruption” and “unlimited spending” by two rival governments competing for power in the country’s east and west.

He also cited “oil smuggling through Arkenu, whose revenues go to specific individuals rather than the state treasury.”

Mokhtar said Libya’s subsidy system was another core problem, with more than 60% of the country’s budget going to fuel subsidies.

He called on the Tripoli government to phase out those subsidies gradually and to draw up a national plan to develop the workforce.

“We have no industrial skills in anything,” he said. “We import everything — yogurt, dairy products, fruit, vegetables, frozen fish, and even underwear. Everything comes from abroad.”

Libya ranks 10th globally in proven oil reserves, with about 48.3 billion barrels, according to Worldometer.

The UN Panel of Experts said in its latest report on Libya, covering October 2024 to February 2026, that Arkenu had moved at least $3 billion in oil revenues to bank accounts outside Libya between January 2024 and November 2025.

According to the report, Arkenu was established in 2023 as a private company and is indirectly controlled by Saddam Haftar, deputy commander-in-chief of the Libyan National Army. It faces accusations of “oil smuggling.”

Reuters previously investigated the company and concluded, based on shipping documents, London Stock Exchange Group data, and information from Kpler, that some oil revenues were being diverted away from the Central Bank of Libya.

How are revenues distributed?

Oil revenues are distributed across the four main chapters of the state budget, according to experts and economists.

Chapter One, salaries and wages, takes the largest share. It covers public-sector employees across eastern, western, and southern Libya through the unified national identification number system.

Chapter Two covers operating expenses for ministries and public institutions.

Chapter Three covers subsidies, including fuel, water, and electricity.

Chapter Four covers development and projects, including infrastructure, as well as allocations to the National Oil Corporation to sustain and increase production.

Al-Shahati said 26% of oil revenues went toward importing fuel products, equivalent to about $7 billion if crude traded at $70 a barrel.

This year, he said, the figure could rise to between $8 billion and $9 billion because oil prices had climbed above $85 a barrel and the gap between crude prices and diesel and gasoline prices had widened amid shortages.

He also pointed to higher domestic consumption driven by economic growth and a rise in smuggling.

A second problem, al-Shahati said, is the absence of an approved national budget, which would make it possible to determine how spending should be allocated among population groups and regions.

“What is clear is that the main cities control most spending,” he said.

He also pointed to “a large and obvious imbalance” in salaries across Libya’s three regions, job grades, and types of employment.

Those gaps, he said, risk widening financial divisions between social groups.

Even an agreement to unify development spending did not appear to be properly implemented because there were no clear standards and no comprehensive budget.

“There are no criteria for distributing oil revenues,” al-Shahati said. “The distribution process is random and unsustainable.”

Libya fell to 177th out of 182 countries in the 2025 Corruption Perceptions Index, from 173rd out of 180 countries in 2024, reflecting worsening corruption and no tangible improvement over the past two years.

Pressure on the local economy

A report by UN Secretary-General Antonio Guterres on Libya highlighted deep structural strains in the economy, driven by high public spending, near-total dependence on oil and gas revenues, and mounting pressure from food, fuel, and electricity prices.

The report, submitted to the UN Security Council on Aug. 17, covers the period from April 1 to July 28.

Citing the International Monetary Fund, it said Libya’s fiscal deficit reached 30% of gross domestic product last year, while public debt climbed to 146% of GDP.

Inflation also rose into double digits, eroding purchasing power.

The UN report noted unjustified increases in fuel consumption by military and security agencies and the energy sector, as well as repeated double purchasing.

The cost of institutional division

Libya’s political and institutional split and the presence of multiple authorities have made the economic crisis worse, al-Farsi said.

The distortions, he said, were no longer merely structural.

They had created parallel public finances and pushed consumer spending higher to meet the demands of rival authorities, sending salaries and subsidies to unprecedented levels.

Repeated shutdowns of oil fields in previous years, combined with lower actual revenues, pushed financial authorities toward deficit financing and higher public debt, al-Farsi said.

That flooded the market with money without a corresponding rise in domestic production.

Oil revenues reached $21.9 billion in 2025, according to the National Oil Corporation, up from $18.6 billion in 2024, an increase of 15%.

Al-Farsi said the deterioration in public finances had left monetary authorities in a difficult position and forced them into emergency measures to protect reserves and contain the deficit.

The result, he said, was a weaker national currency, liquidity shortages and a collapse in confidence.

Development tools had also been paralyzed.

“Monetary policy shifted from an instrument for stimulating growth and investment into a tool for managing daily crises,” he said.

Why has the crisis not been solved?

Economists point to several reasons.

Al-Shahati put “corruption spreading on an unprecedented scale” near the top of the list.

“Corruption is no longer confined to the margins,” he said. “It has come to dominate the core of public finances in key sectors, obstructing any attempt at reform.”

He also blamed the absence of an institutional vision following the breakdown of middle management, which had once linked fiscal and monetary policy to economic realities and provided unified political backing.

Policies, he said, had become detached from the economy and lost their ability to restore balance.

Conventional reforms that had worked elsewhere would not work in Libya, al-Shahati said, because the country lacked a central political authority capable of building an institutional vision and curbing corruption that had spread through both the state and private sector.

Al-Farsi said Libya could not escape its fiscal and monetary crisis without addressing the roots of the problem.

That meant unifying the management of public finances, curbing government spending, and launching genuine structural reforms that would gradually shift Libya from consuming oil rents to building a diversified economy.

Mokhtar also called on the Tripoli government to develop a strategic plan to make better use of human resources and support small and medium-sized industries.

For him, breaking Libya’s dependence on oil revenues is part of the way out.

Masoud Suleiman, chairman of Libya’s National Oil Corporation, said in media remarks last week that the country needed between $30 billion and $40 billion in investment to develop untapped oil and gas resources.

The corporation, he said, aims to raise production to 2 million barrels a day by 2030.


Bandar Abbas, Iran’s Trade Hub on Hormuz Thrust to Frontline of US War

Fishermen check their nets and small boats on the seashore in the port city of Bandar Abbas, in southern Iran on August 10, 2026. (AFP)
Fishermen check their nets and small boats on the seashore in the port city of Bandar Abbas, in southern Iran on August 10, 2026. (AFP)
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Bandar Abbas, Iran’s Trade Hub on Hormuz Thrust to Frontline of US War

Fishermen check their nets and small boats on the seashore in the port city of Bandar Abbas, in southern Iran on August 10, 2026. (AFP)
Fishermen check their nets and small boats on the seashore in the port city of Bandar Abbas, in southern Iran on August 10, 2026. (AFP)

With a long shoreline on the Strait of Hormuz, Iran's southern trade hub of Bandar Abbas has found itself at the frontlines of the war with the United States, with residents struggling to revive livelihoods battered by months of fighting.

Like elsewhere in Iran, economic strain has squeezed households since US-Israeli strikes triggered the Middle East war on February 28. But unlike much of the country, the port city of around half a million people has remained exposed to fighting even after an April 8 ceasefire brought relief elsewhere.

But despite a lull in hostilities in July, residents still feel squeezed. Saeed Tajik, 42, used to work at a shipyard before losing his job and turning to driving a taxi.

"The prices of housing and food have become extremely high. Almost all the basics -- rice, yoghurt, and oil -- have doubled," said Tajik.

Fuel shortages have long been common in southern Iran, where authorities restrict supplies in an effort to curb widespread fuel smuggling.

But now, "the queues have become longer ... it happens that we wait in the long line for fuel only to get told 'there is none' upon arriving," Tajik said as he drove past a station where motorists waited under the punishing summer heat.

Hormuz has emerged as a central flashpoint after an April ceasefire and June framework deal failed to resolve disagreements between Washington and Tehran over the future management of the strait.

During the war, US strikes hit bridges, highways and railway infrastructure around Bandar Abbas until mid-July, in what analysts saw as attempts to cut off the city and disrupt Iranian military logistics in the south.

- 'Nothing left' -

Inside the city, under a towering concrete statue of two armed men with their arms trained towards Hormuz waters, economic strains play out in long queues snaking outside petrol stations and soaring prices squeezing shoppers in local markets.

The city's repeatedly hit airport remained largely closed until August 15, leaving travelers facing arduous road journeys, sometimes combined with flights and boat crossings.

Outside the city, construction crews still toil under the sweltering summer sun to repair the Gachin bridge, split by a US strike, as cars rumble along a dusty detour below.

Along the waterfront, traditional wooden vessels known as lenjes sit moored alongside fishing and commercial boats, part of a centuries-old trading network linking southern Iran with Arab states across the Gulf.

Arash Tondro, 45, used his lenj to carry Iranian fresh and dried fruit to the United Arab Emirates and return with household goods and other imports.

"My income dropped to zero at the beginning of the war," said Tondro, who later rerouted some trade through Oman's Khasab port as regional seaways were disrupted and "many of the lenjes were hit by drones".

After the UAE suspended trade with Iran on Tuesday following a missile attack on a ship that Tehran denied carrying out, Tondro said he was again unsure how his work would be impacted.

"People in the south mostly rely on trade or fishing. If you take the sea and trade away from them, there is practically nothing left. We don't have agriculture here; whatever there is comes from the sea," he said.

- 'No sales' -

As night falls and August's oppressive heat begins to ease, fish vendors set up along a busy street, laying out shark, tuna and shrimp as the smell of the day's catch hangs in the humid air.

Among them is 22-year-old Anoush Mallah, who recently moved onto the street after soaring rents forced him to close his shop in one of the city's bazaars.

"Business has been terrible since the war started. There are no sales, it's very weak," he told AFP.

"People are short of money. The fishermen aren't going fishing either."

Many fishermen around Bandar Abbas only began returning to sea in recent weeks, after months ashore for fear of being caught in the crossfire of US-Iran fighting.

Diplomatic efforts have so far failed to end the war. For Mallah, the uncertainty only adds to the strain.

"Let it (the war) start and get some result; right now, we're just left in limbo," he said.


The Ethiopian Dam Dispute and Egypt’s ‘Right to Self-Defense’

Egyptian Foreign Minister Badr Abdelatty. Photo: Foreign Ministry
Egyptian Foreign Minister Badr Abdelatty. Photo: Foreign Ministry
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The Ethiopian Dam Dispute and Egypt’s ‘Right to Self-Defense’

Egyptian Foreign Minister Badr Abdelatty. Photo: Foreign Ministry
Egyptian Foreign Minister Badr Abdelatty. Photo: Foreign Ministry

Over the past two weeks, Egypt has repeatedly stressed its right to prevent any actions by Addis Ababa on the Nile River that could harm its water interests, stressing that it possesses the “right to self-defense” over Ethiopia’s Grand Ethiopian Renaissance Dam (GERD).

According to experts who spoke to Asharq Al-Awsat, Egypt’s signaling means that it “will not hesitate to use all legitimate means to safeguard its water security.”

They explained that the message is a stern warning to Ethiopia and suggests that Cairo is seeking to shift from a policy of protesting Ethiopian measures to preventive deterrence, aimed at stopping the establishment of a new status quo on the Nile.

New Egyptian Warning

Egyptian Foreign Minister Badr Abdelatty said that “Egypt will not allow the construction of additional dams ... that affect its water interests,” stressing Cairo’s commitment to a legally binding agreement that guarantees its water rights.

In a television interview on Wednesday evening, Abdelatty said that Egypt does not oppose African countries’ right to development, noting Cairo’s participation in dam and infrastructure projects in several Nile Basin states. However, he stressed the need to balance the right to development with the rights of downstream countries.

He also underscored Egypt’s commitment to protecting its water interests. “We have the right to self-defense to protect our interests and water security,” said the minister. “We will not accept any agreement regarding the Nile River unless it is legally binding,” he reiterated.

Mohamed Hegazy, a member of the Egyptian Council for Foreign Affairs and a former assistant foreign minister, says the right of self-defense is protected under international law after all peaceful means have been exhausted.

According to Hegazy, the core message is that Cairo still prefers agreement and negotiation, but it no longer accepts using negotiations to impose a fait accompli.

He argued that the most significant aspect of Abdelatty’s statements is that they send three simultaneous messages - Rejection of unilateral measures, rejection of additional dams, and insistence on the right of self-defense to protect water security.

Hussein El-Behairy, an African affairs expert at the National Center for Middle East Studies, said the minister’s recent statements reaffirm Egypt’s right to defend its historical and water rights in the Nile by whatever means the Egyptian state deems appropriate to preserve what Egyptians view as a matter of life and death.

Ethiopia’s Grand Ethiopian Renaissance Dam (GERD). Reuters

Escalating Egyptian Position

This is the third time Egypt has signaled the possibility of using its “right to self-defense” and preventing dam construction on the Nile.

On August 16, Egypt’s state news agency quoted an unnamed Egyptian official as saying that Cairo “will neither accept nor allow any party to control the flow of Nile waters to downstream countries,” stressing that the Egyptian state possesses multiple tools capable of protecting its people’s interests in the Nile.

The statement came in response to remarks attributed to Ethiopian Minister of Water and Energy Habtamu Itefa concerning the construction of additional dams on the Nile and control over water flows to downstream states, namely Egypt and Sudan.

Earlier, on August 4, Egyptian Minister of Water Resources and Irrigation Hani Sewilam stated during a press conference that Egypt “will not allow the construction of new Ethiopian dams on the Nile River.”

He said: “It is well known that Ethiopia has plans to build additional dams, but will the Egyptian state allow this? No.”

According to Hegazy, the ball is now in Ethiopia’s court. If Addis Ababa agrees to resume serious negotiations leading to a legally binding agreement on GERD, the crisis can be contained.

However, if Ethiopia continues to create new realities on the Nile, the scope for a diplomatic solution will narrow, making risk management and deterrence a more prominent part of Egypt’s strategy.

El-Behairy does not expect the escalation to pave the way for new negotiations on GERD unless the Ethiopian government is willing to make concessions in response to Cairo’s demands. These demands include reaching a legally binding agreement that guarantees Egypt’s water rights during periods of drought and severe drought, and providing Egypt with information regarding the operation of the dam in a manner that does not harm its water interests.