Summary:
- The renewed 2026 military escalation in the Middle East and broader regional instability are leading to rising fuel prices, supply chain disruptions, and energy insecurity in Syria, Lebanon, and Jordan. Syria and Jordan have experienced sharp increases in diesel, gasoline, and cooking gas prices, contributing to higher transportation, food, and utility costs, while Jordan has partially mitigated price shocks through fuel subsidies despite growing fiscal pressure and continued dependence on imported energy, highlighting uneven state capacity to absorb external shocks across the region.
- In Lebanon, the Israel-Hezbollah conflict has caused extensive damage to housing, electricity, water, transport, and agricultural infrastructure, particularly in southern Lebanon, Bekaa, and Beirut’s southern suburbs. Conflict-related displacement, market disruptions, movement restrictions, and loss of livelihoods in the agriculture and services sectors have intensified food insecurity, reduced access to healthcare and education, and increased humanitarian needs among Lebanese host communities and Syrian
- In Syria, extensive housing destruction during the country’s 13-year conflict, unresolved housing, land, and property disputes, and concerns over redevelopment policies remain major barriers to Large-scale reconstruction initiatives and foreign investment are increasingly focused on higher-end redevelopment in Damascus, Aleppo, and other heavily damaged urban areas, while residents and returnees continue to face limited access to affordable housing and insecure property and compensation rights.
- In Syria and Lebanon, climate-related pressures are negatively impacting displacement. In Syria, rising temperatures, drought, water scarcity, and damaged infrastructure are increasing pressure on livelihoods and basic services in key return areas for Syrian refugees and internally displaced In Lebanon, conflict-related destruction of farmland, water systems, and electricity infrastructure, alongside environmental contamination from bombardment, is worsening food insecurity and rural livelihood conditions for both displaced Lebanese communities and Syrian refugees, particularly in agriculture-dependent communities.
- In Jordan, severe humanitarian funding cuts are causing significant reductions in food assistance and cash support for These cuts are deepening food insecurity and debt reliance among Syrian refugees, straining urban and camp-based service systems, and increasing socio-economic pressure on already vulnerable households while potentially impacting return decisions driven by reduced assistance and livelihoods opportunities in Jordan.
