Exclusive – Why Did Paraguay Designate Hezbollah as Terrorist?

Hezbollah members carry flags during the funeral of a fellow fighter. (Reuters)
Hezbollah members carry flags during the funeral of a fellow fighter. (Reuters)
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Exclusive – Why Did Paraguay Designate Hezbollah as Terrorist?

Hezbollah members carry flags during the funeral of a fellow fighter. (Reuters)
Hezbollah members carry flags during the funeral of a fellow fighter. (Reuters)

Paraguay designate Hezbollah as a terrorist organization less than a month after Argentina became the first South American country to blacklist the Iran-backed group. Paraguay made its move after authorities gathered enough evidence that confirmed the armed party’s close ties with criminal organizations that are active in its shared border region with Brazil and Argentina. The area is a hub for drug smuggling, money-laundering and human-trafficking.

Hezbollah’s operations in Latin America are a cause for mounting concern in the continent, which will likely mean that more countries will follow in Paraguay and Argentina’s lead and blacklist the party.

Are these developments connected to the ongoing clash between the United States and Iran? Most definitely so.

Tehran is the vital connection for funding all of its proxy terrorist groups, starting with Hezbollah. The party’s secretary general even admitted that the members receive all of their salaries directly from Iran. The renewed sanctions on Tehran have, however, impacted the party, forcing it to set up boxes for donations in Lebanon in order to compensate from the drop in financing. This has led to insignificant results, forcing party members to consider the illicit activity in South America as a possible replacement for Iran’s funds.

The party’s actions have not evaded US attention and many officials in Washington have started to demand that Hezbollah be uprooted from South America given its close proximity to US soil.

Republican Senator Ted Cruz had in July addressed a letter to US Secretary of State Mike Pompeo to underscore Hezbollah’s growing threat in South America. "We must recommit to ensuring that Hezbollah and other Iranian proxies are denied the resources they need to escalate their campaign of global terrorism,” he said on the occasion of the 25th anniversary of Hezbollah’s bombing of the Jewish community center in Argentina. The attack left 85 people dead and 200 wounded.

Cruz’ remarks highlight the major and dangerous project Iran is pursuing through Hezbollah in spreading Shiism in South America. Instilling dogmatic beliefs will pave the way to a future generation that is hostile to the US and that will fuel a major terrorist war against it. Washington has started to realize this threat.

How has Hezbollah, as an Iranian terrorist proxy, managed to reach Latin America?

This did not take place overnight. It began at the end of the Iranian-Iraqi war when Tehran saw in the huge Arab diaspora in South America a fertile ground to recruit agents who will further its revolution and propagate its terrorism. Hezbollah managed to deepen its ties with several populist governments in South America, especially Venezuela with which Iran enjoyed good relations under the rule of late President Hugo Chavez. He believed that the best way to spite the US was to bolster ties with Iran. He therefore, greatly facilitated Hezbollah’s operations in Venezuela and from there, the rest of the continent.

Its spread in South America was made easy by weak governments and border security, as well as rampant corruption.

Matthew Levitt, director of the Stein Program on Counterterrorism and Intelligence at the Washington Institute for Near East Policy, warned of Hezbollah’s drug trade, saying it would soon be able to reap more funds from it than from any other source.

Moreover, he warned of Hezbollah sleeper cells that are waiting for the signal to strike inside the US itself.

The noose is, however, tightening around Hezbollah in Latin America. Brazil, whose President Jair Bolsonaro boasts very good relations with his American counterpart Donald Trump, may very soon designate Hezbollah as terrorist. The US Congress had recently spoken of the party’s strong support in Brazil, where some 7 million people trace their roots back to Lebanon. One million of those people are Shiites who share Hezbollah’s ideology. Most alarming of all is that the party believes that it can exploit these people to infiltrate any Brazilian government or security agency.

Brazil’s general prosecution also found evidence that ties Hezbollah to two notorious criminal organizations, the Primeiro Comando da Capital and Comando Vermelho.



Israel Wary of Egypt's 'Military Infrastructure' in Sinai: Peace Treaty at Risk?

Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
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Israel Wary of Egypt's 'Military Infrastructure' in Sinai: Peace Treaty at Risk?

Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)
Egyptian army chief Ahmed Khalifa inspects troops near Israel's border late last year. (Military spokesman)

Israel has voiced growing concerns over Egypt’s military presence in the Sinai Peninsula, fearing a potential escalation between the two sides amid the ongoing Gaza war.

Israeli media reports said Prime Minister Benjamin Netanyahu’s government has asked both Washington and Cairo to dismantle what it describes as a “military infrastructure” established by the Egyptian army in Sinai.

However, an informed Egyptian source and experts cited by Asharq Al-Awsat insisted that Egypt has not violated its peace treaty with Israel. They argued that Cairo’s military movements are a response to Israeli breaches of the agreement.

Israel’s Israel Hayom newspaper, citing a senior Israeli security official, reported that Egypt’s military buildup in Sinai constitutes a “major violation” of the security annex of the peace treaty.

The official said the issue is a top priority for Israeli Defense Minister Israel Katz, stressing that Israel “will not accept this situation” amid what it views as Egypt’s growing military footprint in the peninsula.

The official added that the issue goes beyond the deployment of Egyptian forces in Sinai exceeding the quotas set under the military annex of the Camp David Accords.

The real concern, he said, lies in Egypt’s continued military buildup in the peninsula, which Israel views as an irreversible step.

Moreover, he stressed that while Israel is not seeking to amend its peace treaty with Egypt or redeploy troops along the border, it believes the current situation requires urgent action to prevent a potential escalation.

Egypt-Israel relations have not seen such tensions since the outbreak of the Gaza war, particularly after Israel violated a ceasefire agreement with Hamas brokered primarily by Egypt. Israeli forces resumed airstrikes on Gaza last month and failed to fulfill their commitments to withdraw from the Philadelphi Corridor and Palestinian border crossings.

A senior Egyptian source dismissed Israel’s accusations, telling Asharq Al-Awsat that “these repeated Israeli pretexts ignore the fact that Israeli forces have violated the peace treaty, seizing control of areas where Egypt objects to their presence without the necessary coordination with Cairo.”

Egypt has the right to take all necessary measures to safeguard its national security against any threats, emphasized the source.

“Nevertheless, Cairo remains fully committed to the peace treaty and has no intention of aggression against any party,” it added.

Israeli forces seized control of the Gaza-Egypt border, including the Philadelphi Corridor and the Rafah crossing, in May 2024. Israel has accused Egypt of not doing enough to stop weapons smuggling into Gaza through border tunnels—an allegation Cairo has denied.

Under the terms of the ceasefire agreement with Hamas, which Israel later broke, Israeli forces were supposed to begin withdrawing from the Philadelphi Corridor on March 1, completing the pullout within eight days. However, Israel failed to do so and instead resumed airstrikes on Gaza.

Israel also announced the creation of an administration aimed at facilitating the “voluntary departure” of Gaza residents, a move Cairo strongly rejected and formally condemned.

Egypt has insisted that Palestinians must remain in their homeland and has put forward a reconstruction plan for Gaza and called for the implementation of the two-state solution. The plan was endorsed at an emergency Arab summit three weeks ago.

Media reports have indicated that Egypt responded to Israel’s control of the Gaza border by increasing its military presence near the frontier—an act that some Israeli officials claim violates the peace treaty and threatens Israel’s security.

Former Egyptian intelligence official Gen. Mohammed Rashad told Asharq Al-Awsat that Israel itself violated the peace treaty by seizing the Philadelphi Corridor, controlling border crossings, and blocking aid to Gaza while seeking to forcibly displace Palestinians into Egypt.

“Every Israeli action along Gaza’s border with Egypt constitutes hostile behavior against Egypt’s national security,” said Rashad, who previously headed the Israeli military affairs division in Egypt’s intelligence service.

“Egypt cannot sit idly by in the face of such threats and must prepare for all possible scenarios.”

The Philadelphi Corridor is a strategically sensitive buffer zone, serving as a narrow 14-kilometer passage between Egypt, Israel, and Gaza, stretching from the Mediterranean Sea in the north to the Kerem Shalom crossing in the south.

Military expert General Samir Farag insisted that Egypt has not violated the peace treaty or its security annex in over 40 years, arguing that Israel has repeatedly breached the agreement and is attempting to shift blame onto Cairo.

“Israel is doing this to distract from its internal problems, including public discontent over its ballooning defense budget,” Farag told Asharq Al-Awsat.

“It also wants to deflect attention from Egypt’s reconstruction plan for Gaza and leverage its claims to pressure the United States for more military aid by portraying Egypt as a threat.”

Farag emphasized that Egypt’s actions are solely aimed at protecting its national security, adding: “There is no clause in the peace treaty that prevents a country from defending itself.”

“The so-called ‘military infrastructure’ Israel refers to consists of roads and development projects in Sinai.”

“The US has satellite surveillance over the region—if Egypt had violated the treaty, Washington would have flagged it. Moreover, security coordination between Egypt and Israel continues daily,” he explained.

Egypt and Israel signed their landmark peace treaty on March 25, 1979, committing to resolving disputes peacefully and prohibiting the use or threat of force. The agreement also established military deployment guidelines and a joint security coordination committee.

Meanwhile, US Republican Party member Tom Harb told Asharq Al-Awsat that Washington has received intelligence from multiple sources indicating that Egypt has amassed a significant military force in Sinai.

Israel considers this a breach of the peace treaty, which designates Sinai as a demilitarized zone to prevent surprises like the 1973 war, Harb said.

While the US fully supports Israel’s concerns, it also wants to prevent further escalation, as that would destabilize the region, he added.

Ultimately, Egypt must clarify whether its troop movements are aimed at threatening Israel or preventing Palestinians from crossing into Egyptian territory, he stated.