THE WORLD THIS WEEK
#365, Vol 2, No 152
01 July 2026, Wednesday
Aarav Bhaskar, Acsah H, Ada Khan, Avaneesh S, Dhivya K M, Madhura Meenakshi Tanikella, and Yesasvi Koganti

The US-Iran talks: Technical talks begin in Qatar; disputes over the Strait of Hormuz remain 
On 01 July, Reuters and Al Jazeera reported that the US and Iran began indirect technical talks in Doha, mediated by Qatar and Pakistan, as both sides tried to work out the details of a ceasefire and reopen the Strait of Hormuz to shipping. The talks started on 30 June, with negotiators and specialists meeting in separate sessions, as senior US envoys Jared Kushner and Steve Witkoff met with Qatar's Prime Minister and Emir to set the stage but did not sit in on the discussions. Iran wants full control over the strait and the right to charge ships passing through it, as well as the release of USD 6 billion in frozen funds. The US wants ships to move freely without tolls or restrictions. President Trump told reporters the talks were going well and that Iran had "come a long way," while Iran's foreign minister warned of an immediate response to any threat, referring to Israel, in a sharp post on social media.
("US and Iran enter technical talks to secure peace deal, shipping restart," Reuters, 01 July 2026; "Trump says the US and Iran getting along very well," Reuters, 01 July 2026; "Iran warns of immediate response to any threat, cites US commitment to restrain Israel," Reuters, 01 July 2026; "Iran war live: 'Technical' talks under way in Doha as Tehran demands action," Al Jazeera, 01 July 2026)

Lebanon: Around 400,000 displaced Lebanese return home as fighting eases, rebuilding hurdles persist 
On 01 July, Reuters reported that around 400,000 Lebanese displaced due to the Israel and Hezbollah conflict have returned to southern Lebanon. According to Lebanon’s Social Affairs Minister, this return is encouraged by a lull in the four-month-long conflict. Roughly 40 percent of the nearly one million people forced to flee since March are expected to return. However, many families remain unable to return as their homes are either destroyed or uninhabitable. Authorities state that nearly 90,000 housing units have been damaged or destroyed, while basic services and livelihoods remain severely disrupted. The returns follow a US-brokered framework agreement under which Lebanon’s army will gradually take control of areas held by Israel’s forces as Hezbollah is disarmed. The government says Lebanon will require billions of dollars for reconstruction and is continuing emergency assistance, shelter, and cash support for those still displaced.
(“Hundreds of thousands of Lebanese head home as fighting eases, many still stranded,” Reuters, 01 July 2026)

Venezuela: US deploys military personnel for earthquake relief in Caracas and Caribbean islands
On 01 July, Reuters reported that the US has deployed over 900 military personnel to help with relief and rescue operations in Venezuela. It had also deployed an additional 800 troops to Puerto Rico and Curacao in the Caribbean. Venezuela was struck by two major earthquakes of 7.2 and 7.5 magnitude last week. Commander of US Southern Command General Francis Donovan stated that they've begun using air assets such as MQ-9 Reaper drones and helicopters to assist the relief efforts. Reuters additionally reports that Venezuela's government is under increasing criticism over its delayed efforts in search-and-rescue operations. 
("US military deploys over 900 personnel to Venezuela for earthquake response," Reuters, 01 July 2026)

China: World Bank to phase out lending by 2031
On 30 June, Reuters reported that the World Bank plans to phase out lending to China by 2031, reflecting China's transformation into the world's second-largest economy. Under the proposed five-year partnership framework, the World Bank will gradually reduce annual lending while increasing its focus on global public goods, including climate change mitigation, environmental sustainability, and knowledge sharing. The decision follows years of pressure from several member countries, particularly developed economies, which have argued that China no longer requires traditional development financing. 
("World Bank to phase out China lending by 2031, source says," Reuters, 30 June 2026)

The US: The Supreme Court rules in favour of birthright citizenship and against transgender participation in sports 
On 30 June, Reuters reported that the US Supreme Court, in a 6-to-3 ruling, said President Trump's directive on birthright citizenship violated the 14th Amendment of the Constitution that guarantees citizenship to anyone born in the United States, with a few exceptions. Following the court’s ruling, Trump said on social media that this was "too bad for our Country" and urged Congress "to work on ending expensive and unfair to our Country, Birthright Citizenship." Additionally, on the note of transgender participation in sports, the court decided 9-to-0 that state laws do not violate the civil rights statute that bars discrimination in education "on the basis of sex." In response to this, President Trump stated, "BIG WIN: The United States Supreme Court just RULED AGAINST MEN PLAYING IN WOMEN'S SPORTS. Wow! That takes that ridiculous situation off the table!!!"
("Supreme Court spurns Trump on birthright citizenship, allows transgender sports bans," Reuters, 01 July 2026)

France: Green party moves to topple government over heatwave response
On 01 July, Reuters reported that France's Green Party lawmakers said they would call a vote to oust Prime Minister Sébastien Lecornu's government. They blamed the government for not doing enough to protect people during the deadly heatwave that hit Europe from 20 June. The Greens also warned that another wave of extreme heat was coming the following week. Green leader Cyrielle Chatelain said the government was not ready, not just for the heatwave that had already passed, but for the next one too. The government's spokesperson called the move a political manoeuvre and said the government was focused on handling the crisis. France recorded at least 1,000 extra deaths during the heatwave, with health officials warning the real number could be even higher. PM Lecornu kept the country's health emergency response at its highest level as temperatures were expected to rise again over the weekend.
("French government seen facing no-confidence vote over heatwave handling," Reuters, 01 July 2026)

South Africa: Over 900 arrested during anti-immigrant demonstrations
On 01 July, Reuters reported that of the 120 anti-immigrant marches across the country, 108 were peaceful and 12 required police intervention. 900 arrests occurred, of which the reasons included immigration violations, violence, theft, and harboring of unauthorized migrants. Moreover, on 30 June, an individual was shot dead in Alexandria, where residents were looting immigrant-run shops. In Johannesburg, soldiers were deployed after two people were injured in a shooting. Meanwhile, in Durban, a foreign national, believing he was being targeted, allegedly jumped from an 8th-floor window, dying.
("Over 900 arrested during South African anti-migrant protests," Reuters, 1 July 2026)

The War in Ukraine: Kyiv seeks EUR 6.6 billion from EU Peace Facility to boost military aid amid battlefield opportunity
On 01 July, Reuters reported that Ukraine is seeking its EU partners to allocate EUR 6.6 billion from the European Peace Facility (EPF) to strengthen its military. Arguing that the next six to nine months present a critical opportunity to improve its position on the battlefield. In a letter to EU counterparts, Defence Minister Mykhailo Fedorov stated that Ukraine's total defence needs for 2026 are estimated at EUR 136 billion, while the national budget covers only EUR 53 billion. While Kyiv expects to receive EUR 28.3 billion in defence support from the EU's EUR 90 billion loan programme, significant funding gaps remain. Furthermore, Fedorov also said directing unused EPF resources to Ukraine would provide one of Europe's most impactful military contributions this year. He also recently sought an additional USD 20 billion in military funding from the Ukraine Defence Contact Group.
(“Ukraine seeks €6.6 billion from EU's peace fund for military aid,” Reuters, 01 July 2026)

Myanmar: 3.6 billion USD dam project to restart with China's support
On 01 July, Reuters reported that the Myanmar government aims to complete a 3.6 billion USD dam project in the northern state of Kachin within 8 years. The work, suspended in 2011, is expected to resume soon and create Myanmar's largest hydropower project. It is also expected to be among Southeast Asia's largest hydropower projects with an installed capacity of 22.5 gigawatts. A revived Myitsone dam project, however, could cost more than 3 times its original price at around 11.5 billion USD. Reuters was unable to determine whether the initial deal of Myanmar sending most of Myitsone's power to China was reworked. Opposition to the project exists, with 49 civil society groups remarking on its lack of public benefit and threat to vulnerable communities.
("Myanmar set to restart contentious $3.6 billion dam project backed by China," Reuters, 01 July 2026)