Lebanon Economy Watch: An IMF mission in Beirut warned that the Hezbollah-Israel conflict and wider regional security shocks are pushing Lebanon toward a sharper 2026 contraction, with inflation still in double digits, a widening current-account deficit, and major damage to infrastructure and housing. The IMF said authorities preserved some macro stability, but urged more work to align banking and deposit-recovery rules with international standards. Regional Security & Trade Risk: US officials issued fresh alerts across the Middle East, warning of possible flight cancellations and airspace closures as Iran sets seven conditions for talks via Qatar and tensions with Iran-backed Houthis keep rising. Saudi Arabia confirmed a Houthi attempt to hit Riyadh with a ballistic missile and reported threats to Red Sea infrastructure—raising the stakes for shipping and energy costs that can quickly spill into Lebanon’s economy. Lebanon Business & Diplomacy: Lebanon’s army and state institutions remain central in international discussions, with France and regional partners backing efforts tied to southern security and de-escalation. Publishing & Commerce: Beirut-linked industry voices highlighted how the Sharjah Booksellers Conference is connecting publishers, distributors and e-commerce players from 99 countries—an example of cross-border trade opportunities for Lebanon’s cultural and publishing sector.