A modern dome structure with geometric patterns surrounded by visitors outdoors, by This And No Internet 25 via Pexels
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Mena project momentum holds despite conflict disruption
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MEED – 10 June 2026
A modern dome structure with geometric patterns surrounded by visitors outdoors, by This And No Internet 25 via Pexels
MEED – 10 June 2026

The Middle East and North Africa’s construction project pipeline has demonstrated considerable resilience in the months since the military conflict between the US, Israel and Iran began in late February, although the regional performance has softened from its early-year highs and the full effects of the geopolitical shock continue to ripple through the project market.
GlobalData’s Construction Projects Momentum Index (CPMI) for the Mena region recorded 0.86 in April 2026, placing the region third globally behind North-east Asia and South Asia. The Mena score represents a 12% decline from 0.98 in March, which itself was unchanged from February. The regional three-month moving average eased modestly to 0.96 in April from 0.97 in March, suggesting that while momentum has nudged lower, the pipeline has not experienced the kind of sustained deterioration that might have been expected given the severity of the geopolitical disruption.
The resilience partly reflects the composition of the regional project market. The Mena region’s largest markets, the UAE and Saudi Arabia, have both continued to record solid momentum in the months following the start of hostilities in February. The UAE led the region in April with a CPMI of 1.20, easing only slightly from 1.30 in March, while Saudi Arabia recorded 0.94.
The impact of the conflict is most visible at the country level, where a sharp divergence has opened up between markets directly exposed to the fighting and those insulated from it. Israel recorded the lowest CPMI score in the region in April at -3.26, reflecting substantial delays to major projects. The East Mediterranean Gas Pipeline was among the most significant casualties, with its Final Investment Decision pushed well beyond its original timeline. Iran, another direct participant in the conflict, registered a markedly weaker score of 0.53 in April, a stark reversal from its position as one of the region’s strongest performers in January, when it posted 1.31.
The conflict’s first major imprint on the index appeared in March, when the CPMI data reflected the initial shock of the escalation. Execution-stage momentum in the region dipped from 1.06 in February to 0.89 in March, while pre-execution activity slipped from 1.02 to 0.95. Infrastructure, which had been a strong performer earlier in the year, fell sharply to 0.53 in March from 1.06 in February, with the institutional sector also pulling back from 1.27 to 0.78. These moves are consistent with the channels through which conflict typically disrupts construction activity — cost inflation driven by energy price volatility, supply chain disruption and elevated risk premiums that delay investment decisions.
By April, some of these pressures had begun to ease, at least at the index level. Execution momentum recovered to 1.01, reversing the March dip, and infrastructure returned as the top-performing sector with a CPMI of 1.13. Commercial and leisure activity also remained solid at 0.94, building on gains that have been sustained throughout the conflict period.
Pre-execution momentum, however, continued to soften, falling to 0.86 in April from 0.95 in March. This is significant because the pre-execution stage — which captures project planning, design development and procurement preparation — is where investor caution and risk reassessment typically show up first. A sustained decline in this segment would signal a thinning of the future project pipeline, even if near-term execution activity holds up.
Kuwait offers a specific illustration of how supply chain and procurement disruptions linked to the conflict can affect individual markets. In January, Kuwait had recorded a CPMI of 0.27, depressed by delays to tender packages on Kuwait Oil Company developments including the SGC1, SGC II, SGC III and JLO Export Facility projects. The country recovered strongly to 1.43 in February and 0.90 in March, before falling back to 0.55 in April, with delays reported on Dorra Field developments. The oscillation reflects the vulnerability of projects with complex procurement requirements to the kind of supply chain uncertainty the conflict has generated.
The Mena region entered 2026 from a position of strength, having ranked first globally in January with a CPMI of 1.05 — a 16% jump from December 2025’s 0.90. That momentum reflected broad-based gains across infrastructure, residential and institutional sectors, with Qatar, the UAE and Iran all posting scores above 1.20.
The conflict began when the region’s project pipeline was strong, and the data suggest that the buffer of accumulated momentum has helped absorb the initial shock. Whether that buffer holds through the remainder of 2026 will depend on how the conflict develops and, in particular, whether the more cautious behaviour visible in pre-execution activity translates into a deferral of new project launches. GlobalData’s data through April suggest the region is maintaining momentum, but the direction of the pre-execution trend is a forward-looking indicator to be watched in the coming months.
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In the early 1970s, a trip to the beaches of Naples, Italy was a roll of the dice.
The city’s coastal waters were so flush with sewage and industrial waste, that one summer nearly 20 per cent of Belgian and French tourists claimed they contracted an infectious disease after taking a dip.
While the situation in Naples grabbed headlines, similar environmental disasters were unfolding across the Mediterranean Sea in the early 1970s. A combination of rapid industrialization, breakneck population growth and lax environmental laws had turned the sea into one of the world’s most-polluted bodies of water.
But that would soon start to change. In 1974 The United Nations Environment Programme (UNEP) brought together nearly two dozen nations to hash out a plan for saving the Mediterranean. The work was made possible by contributions to the Environment Fund, UNEP’s core source of flexible financing, which had been established a year earlier.
The result of the talks was the Barcelona Convention, a 1976 pact that placed strict limits on pollution in the sea. The deal celebrated its 50th anniversary earlier this year.
“The convention was a landmark achievement,” says Alberto Pacheco Capella, Chief of the Regional Seas Branch at the United Nations Environment Programme (UNEP). “It came at a critical moment for the Mediterranean and set the template for decades of environmental diplomacy.”
The Barcelona Convention marked the first success of the fledgling Regional Seas Programme, which has since evolved into a globe-spanning effort to protect the world’s saltwater bodies. The programme was founded on the idea that international cooperation is vital for protecting seas, which provide food and jobs to hundreds of millions of people around the world.
Today, more than 145 countries participate in regional seas agreements, which cover 18 bodies of water, from the Arabian Gulf to the Caribbean Sea. These conventions and action plans, some of which contain legally binding rules, emphasize science-backed policy making. They have played an instrumental role in protecting biodiversity, stemming pollution, strengthening ocean-based economies, circulating cutting-edge science and supporting seaside communities, especially those struggling with the effects of climate change.
“Over the decades, the Regional Seas Programme has demonstrated what’s possible when countries work together” says Pacheco Capella. “It also shows how this kind of international cooperation can improve the lives of people who live near seas and who depend on them for their livelihoods.”
The success of the Regional Seas Programme is also a testament to the importance of the Environment Fund, says Soomi Ro, the Director of UNEP’s Corporate Services Division. Along with underpinning the diplomacy of the 1970s and UNEP’s convening power to have nations to work together, the fund supported what would become regional seas programmes around the world, from the Caribbean, to the Indian Ocean to East Asia.
Today, the Environment Fund supports the development of technical guidance and the implementation of targeted activities across the Regional Seas Programme. It contributes to the creation of strategic action plans for the various conventions, the most recent of which cover the period from 2026 to 2029. And it backs technical work, such as the Regional Seas Indicators Framework, which strengthens the ability of countries to generate policy-relevant data and insights on issues of concern.
The fund also helps nations live up to their commitments under international accords, like the Agreement on Marine Biological Diversity of Areas beyond National Jurisdiction, a landmark pact that extends environmental protections to the high seas.
“Core funding to the Environment Fund is pivotal for carrying out efforts, like the Regional Seas Programme, that transcend borders and decades,” Ro says. “It gives UNEP the flexibility it needs to conduct science, raise public awareness and bring nations together.”
The world’s seas remain under pressure from a range of human-caused threats. In many places, overexploitation risks the future of crucial fisheries. Climate change could wipe out virtually all warm water corals this century. And every day, the equivalent of 2,000 garbage trucks full of plastic are dumped into the world’s oceans, rivers and lakes.
But in some places, like the Mediterranean Sea, things are improving. The arcing Gulf of Naples – once a haven for typhoid and hepatitis – now has a dozen beaches that have been internationally recognized for their cleanliness and sustainability.
“The Mediterranean is showing that it is possible to reverse the fortunes of flagging seas, and that development and sustainability can go hand-in-hand,” says Pacheco Capella.
About World Ocean Day
Held on 8 June each year, World Ocean Day unites the world to protect and restore the blue planet.
A heavily loaded truck with dried vegetation drives through Mogadishu, Somalia, under sunny skies. by Yontoy Photography via Pexels
“When we came here, we lived in a tent,” Hawo says. “The heat was unbearable and we never felt truly safe.”
Hawo and Shukri are two of thousands of Somali families displaced by the adverse impacts of climate change, mainly prolonged droughts and environmental degradation that continue to drive displacement across Somalia.
In Doolow, where searing winds sweep through settlements often built from plastic sheets and tarpaulins, families once displaced by drought and conflict are finding new hope in homes built from the earth itself.
Their new shelters, sturdy, naturally cooler, and built with locally made mudbricks, are part of IOM’s effort to introduce vernacular earth-based, climate-adaptive construction across Somalia’s arid areas.
The approach replaces temporary plastic shelters with durable, sustainable materials and designs that respond to cultural needs and Somalia’s environmental pressures while restoring dignity to families who have lived too long in crisis.
“This house is much better,” Shukri says. “It protects us and keeps my children safe, and it is cooler and more comfortable to live in. Compared to the shelters we had before, this one feels stronger, easier to maintain, and more secure for my family.”
As recurrent droughts and environmental degradation continue to act as drivers of displacement and put growing pressure on already fragile resources, the need for scalable and environmentally sustainable shelter solutions has become increasingly urgent in the face of climate change. For IOM, shelter is not a product, but a process, one that helps communities adapt, recover, and rebuild in a safe and sustainable way, while reducing pressure on the environment.
To bring this vision to life, the International Organization for Migration (IOM) partnered with the International Centre for Earth Construction (CRAterre), a research institute for earthen architecture. Since 2022, the partnership has provided several rounds of training to local masons, authorities, and shelter partners to build knowledge and capacity in earth construction techniques.
“Earth is the most accessible, affordable, and climate-responsive building materials we have in Somalia,” explains Abdikarin Adan Salad, an IOM engineer involved in the programme. “By using local materials and training local builders and community members, communities are not only building shelters, they are building resilience against future climatic shocks.”
“Unlike temporary shelters often built from imported sheeting and short-term materials, earth-based shelters use locally sourced soil and natural materials with lower environmental impact while providing better insulation against heat,” says Manuel Marques Pereira, IOM Chief of Mission in Somalia.
Previously, IOM upgraded 42 of Ladan’s 1,500 Improved Emergency Shelters. But in October 2025, work began on 50 additional mudbrick shelter upgrades through an owner-driven approach that incorporates a cash-for-shelter modality, empowering families to manage their own construction with guidance from IOM engineers and trained local masons.
“With the cash support we received, we were able to buy the materials needed to build our own shelter together with others in the community,” says Bisharo, a mother of five. “Being involved in building in the process made a big difference because it felt like we were creating a home.”
With the cash for shelter grant, Bisharo hired trained masons from the community and ensured the shelter unit matched her preferences. The approach, developed jointly with the authorities of Jubaland State and the Ministry of Public Works, Reconstruction and Housing, transfers ownership to displaced households while strengthening community skills.
Families reuse existing frames, upgrade shelters gradually as resources allow, and hire trained labour from within their communities, creating jobs and reducing costs. Refresher trainings support successful upgrades, from soil testing and brick making to structural design and shelter maintenance.
This sustainable, environmentally friendly technique echoes what Somali and international experts also envision for the future of Somalia’s shelter and housing approaches to resolving displacement. In November 2025 in Mogadishu, the Ministry of Public Works, Reconstruction and Housing announced winning proposals under the Homegrown, Sustainable, and Scalable Shelter Solutions in Somalia initiative, a collaboration between IOM, the Ministry, CRAterre, and global design partners including YACademy Bologna.
Since April 2025, university students, architects, and diaspora experts have worked to develop a new generation of shelter designs. Their proposals blended Somali cultural aesthetics with environmental functionality, creating homes that breathe with the climate, conserve energy, and can be built affordably using local materials.
Back in Doolow, as the afternoon sun glows over the red soil, the new homes stand firm, cool inside, with smooth mud walls that tell a story of resilience, reinvention, and hope.
“These shelters are more than just structures,” Bisharo says, looking at her children playing outside their home. “They give us a sense of stability and remind us that we have a place to call home.”
From the soil beneath their feet, Somalia’s displaced families are building their future, one brick at a time.
This story was written by Raber Aziz, Media and Communications Officer with IOM Somalia.
A woman in white sits on rocks overlooking the sea at Nowshahr, under a dramatic cloudy sky. by Amir Rajabi via Pexels
Javier Bordón, Lancaster University
When the US and Israel launched their strikes on Iran on February 28 and Iran retaliated by targeting the Gulf Arab states, I was closely monitoring social media accounts from the region. I research Middle East politics, with a focus on the Gulf, and the social media platforms I use are full of people living in the region – including western migrants, or as they tend to style themselves, expats. To my surprise, from many of them I saw the same message: “It is safe and normal here.”
This was not a trivial claim – these messages were sent as the countries they live in came under attack. But the attitudes they exhibited reflect a broad strategy long cultivated by Gulf Arab regimes. This aims to instil in the people that opt to live there a sense of security, as well as aspiration for the lifestyle on offer and loyalty towards the country for making that lifestyle available.
More importantly, the expats’ reactions exposed the role that foreign residents and influencers have played in advancing a particular understanding of “normality”. Not only do they accept authoritarian rule in the Gulf, they have been pushing out messages about insecurity elsewhere.
To be clear, a lot of foreign workers did leave the Gulf, reportedly in the tens of thousands, when the conflict began. But even so, many of the initial reactions on social media, whether people stayed or opted to leave, projected this sense of security.
These regimes have developed an image designed to attract global connectivity, foreign capital and flows of people and goods. The UAE, especially Dubai, has become a symbol of tax-free residency and luxury tourism. Qatar has established itself as reliable gas exporter and world-class mediator. Saudi Arabia has launched a sweeping reform project recasting national identity and the kingdom’s global role in championing “moderate Islam”, while Bahrain has worked early since independence to become a regional banking hub.
These state-building processes thrived under the security umbrella of US and other western military bases across the Middle East. Firmly embedded in the US sphere of influence, Gulf monarchies have benefited from precious diplomatic cover and access to global markets. Other regional regimes, meanwhile – notably Iran – were excluded. This was more often due to their hostility towards the US than for their brutal repression and disastrous governance at home.
By directing global attention to threats such as Iran, Gulf regimes forged a strong sense of domestic normality. But in recent years, a less reliable US regional policy has made the security arrangement increasingly uncertain, prompting Gulf regimes to explore alternatives. Without renouncing deeper engagement with the US, they welcomed cooperation with other powers outside the region, like China, as well as the possibility of closer relations with Israel and even a modus vivendi with Iran.
Despite ongoing rivalries, including within the regional forum, the Gulf Cooperation Council (GCC), regional conflict de-escalation and management appeared to be the preferred means to continue insulating the Gulf normality. Yet the ongoing destruction in Gaza, closer US-Israeli alignment in the latter’s pursuit of regional dominance, and the ensuing pressure on Iran’s network of proxies has undermined this delicate balance.
The attack on Iran exposed foreign residents’ role in sustaining the image of “normality”. Until then, expats and influencers embodied this normality by displaying safe, privileged and apolitical lives.
I saw posts attempting to divert attention from the threat of war in the Gulf by people claiming to feel safer under missile attacks in Dubai and Doha than “after 9pm” in London or Manchester. Other posts preferred the prospect of missile attacks to being “bombed by 50% taxes”.
These sorts of comments tend to mimic narratives pushed by far-right movements in the west around crime, taxation and immigration.
A viral trend concentrated in the UAE but replicated across other Gulf countries featured influencers responding to the question “Aren’t you scared?” with imagery of members of the ruling families and messages such as: “No, because I know who protects us.” The UAE president’s much-publicised walk in Dubai Mall followed this paternalistic framing of security.
After the initial shock, many influencers returned to the old form of messaging, not posting about the war and focusing on showing their privileged “everyday” lives.
It’s important to remember that Gulf Arab regimes possess robust censorship apparatuses and broad national security and anti-cybercrime laws that penalise content deemed to “cause panic” or “disturb public order”.
Authorities in Saudi Arabia were swift to remind residents that “photography serves the enemy”, banning unofficial sharing of damage caused by the war, while the UAE threatened severe sentences for people posting negative messages. There have been reports of people detained for posting the wrong content – more than 300 in Qatar alone. Heightened security concerns exposed western expats to coercive practices typically reserved to political dissidents.
Having invested efforts in insulating their domestic projects from external threats through seeking political accommodation with neighbours, including Iran, Gulf leaders may now pursue a different strategy. In fact, we’re already seeing some different approaches as various Gulf countries work out their own best approach to the changing situation in their region. Some, like Bahrain, remain hostile to Iran. Others, including Saudi Arabia, are more nuanced in their approach, looking overall to ensure security in the region.
But for regimes and expats alike, this is a time of reckoning for the parameters sustaining “normality” in the Gulf. Most certainly, the region will never be the same.![]()
Javier Bordón, PhD Researcher in International Relations, Lancaster University
This article is republished from The Conversation under a Creative Commons license. Read the original article.
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Stunning view of modern skyscrapers in Kuwait City, showcasing urban architecture. by Tayssir Kadamany via Pexels

By Abdulaziz Abdullah Al Smairi
As markets dissect the newly filed SpaceX prospectus, one useful question proposes itself: what if Kuwait had to present itself to investors in the same way? A prospectus is an unforgiving document. It strips away sentiment and asks what the asset base is, where the dependencies lie and whether the story can withstand scrutiny. If Kuwait were held to that same discipline, the more revealing questions would begin well beyond the oil story.
Viewed this way, Kuwait’s central issue is not simply its dependence on oil revenues as that point is already well understood. The more important question is where its deeper strategic dependencies lie and whether they have been developed into areas of national competence. Water is an obvious case. Kuwait depends fundamentally on desalination, but dependence by itself is not a strategy.
The relevant question is whether that reliance has been translated into enduring expertise, technological depth and industrial capability. Kuwait entered this field early, and institutions such as the Kuwait Institute for Scientific Research have continued to contribute to desalination and water-management technologies. But the strategic test remains straightforward: when a country relies so heavily on a capability essential to daily life, has it built a durable and exportable advantage around it?
The same test applies to oil. It is not enough for the sector to remain the economy’s dominant pillar if its cost base continues to rise and the critical knowledge remains concentrated in a generation approaching retirement, without a sufficiently visible successor bench behind them. A serious investor would ask whether Kuwait is building the managerial depth, technical capability and institutional continuity needed to protect the long-term economics of its most important sector. The same logic applies in financial services.
Having an active banking sector is not enough on its own. What matters is whether Kuwait has a deep enough bench of national talent to lead that sector over time. When the Central Bank presses for Kuwaitization, the issue is not merely one of staffing policy. It points to a wider structural requirement: building a stronger pipeline of qualified national leadership for one of the country’s most consequential sectors.
What ultimately matters in any prospectus, however, is not only the quality of the underlying assets, but the system’s ability to organize those assets into a coherent operating model. Kuwait does not lack assets, capital or institutions. The more material question is whether they are strategically connected. Do energy, logistics, education, regulation and investment promotion operate as separate administrative tracks, or as part of a broader national model for value creation?
A serious investor would want to know not only what Kuwait owns, but whether the state can align mandates, reduce duplication, assign accountability clearly and sustain execution over time. In that sense, the constraint is not resource scarcity. It is coordination capacity which is the ability to turn national strengths from parallel holdings into a development model that compounds over time and produces growth, jobs and lasting national capability.
The same logic extends to soft power. Kuwait has a meaningful legacy in journalism, culture and social action, and its past cultural, diplomatic and humanitarian role is well established. But the strategic question is whether those strengths were institutionalized in ways that continue to generate influence, renew talent and produce new generations of platforms, tools and leadership. Historical distinction has value, but in strategic terms it matters most when it is embedded in institutions, sustained over time and translated into continuing relevance.
If Kuwait were a company preparing for deeper exposure to the world, these are the questions a serious investor would ask in its prospectus: what do we truly depend on, where have we turned that dependence into national specialization, and where are we still consuming more than we are producing in knowledge, capability and leadership? Countries, like companies, are not judged only by what they own. They are judged by what they build around their critical dependencies: institutional depth, human capital and the ability to convert necessity into lasting advantage.
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