Iran blames United States and Israel for attack on its embassy in Syria

Iran is engaged in the first part of its response to an airstrike on Monday in Damascus, which it blames on Israel. It also blames the United States.

This shows how Iran is seeking to link the incident that killed several key Islamic Revolutionary Guard Corps members to a wider regional struggle in which Iran is engaged in trying to reduce US influence in the region.

Iranian Foreign Minister Hossein Amir Abdollahian has highlighted the attack on the consulate compound in Damascus and also sought to spotlight what Iran claims is the “American administration’s responsibility.”

Iran buried members of the IRGC killed in Damascus, which included Quds Force commander for operations in Syria and Lebanon Brigadier General Mohammad Reza Zahedi, his deputy, and five of their accompanying officers, according to Iran’s pro-government Fars News.

Meanwhile, Iranian President Ebrahim Raisi phoned Syrian leader Bashar al-Assad and lashed out at the West for continuing to provide financial and military support to Israel amid the Gaza war, and stressed the Zionist regime does not adhere to any of the humanitarian and international principles.

“There is no doubt that Zionists and their supporters are responsible,” Raisi said.

“The Syrian president stressed that the Zionist regime seeks to escape from the quagmire it is caught in by the Palestinian resistance in the besieged enclave and emphasized the need to support the axis of resistance,” the report noted.

At the same time, in a statement to the UN, the Iranian envoy said, “Yesterday, we urgently notified the Security Council members of yet another flagrant violation of international law committed by the Israeli regime within Syria territory.

As reflected in our letter, on April 01, 2024 our diplomatic premises in Damascus came under terrorist attacks carried out by the Israeli regime.

Seven missile airstrikes from the occupied Golan Heights, specifically and intentionally targeted the diplomatic premises of Iran including the consular section building and the ambassador’s residence.”

The Iranian envoy said, “The final and accurate death toll remains uncertain as the entire diplomatic premises has been destroyed, with individuals trapped under the rubble.”

Iran wants the United Nations Security Council to do more in the wake of the airstrike. Iran has also sought to get Russia’s support and to mobilize condemnation in the Gulf countries which have reconciled or normalized with the Syrian regime in the last two years.

This means that they have a vested interest in condemning an attack on a diplomatic post in Damascus. The fact is the building next to the Iranian consulate was not a purely diplomatic site, as it was used by the IRGC.

However, from the standpoint of the Gulf states, it is worthwhile to appear to condemn the strike. Iran and Saudi Arabia also reconciled last year, meaning Riyadh has an interest in appearing to condemn the attack.

Iran is trying to mobilize this diplomatic support before lashing out with its promised retaliation.

 In the past, Iran has attacked Erbil in Iraq when it wanted to retaliate. In 2020 it fired ballistic missiles at a base in Iraq in retaliation for the US killing of IRGC Quds Force head Qasem Soleimani.

Iran has already mobilized its militias and proxies in various countries since October 07 to attack Israel and US forces in Iraq and Syria. In addition, the Iranian-backed Kataib Hezbollah targeted US forces in Jordan in January.

As such, the Iranian claim that is retaliating is a bit of a stretch, because it is Iran that has been attacking throughout the region. However, Iran wants the sympathy of other countries and it wants an official record of this attack in Damascus, so it can claim a right to respond. Iran also wants to leverage this with Russia, China and other states. 

 

Beijing nudged Syngenta to withdraw IPO

Chinese authorities nudged Swiss agrichemicals and seeds group Syngenta to withdraw its application for a long-delayed US$9 billion IPO in Shanghai on concerns about the impact a sizeable new offering would have on a volatile market, reports Reuters.

The Chinese state-owned pesticide giant last Friday withdrew its bid for the initial public offering (IPO) saying the decision was taken "after careful consideration of the industry environment and the company's own development strategy".

Syngenta filed to list on the main board of the Shanghai Stock Exchange May 2023 seeking to raise 65 billion yuan (US$8.98 billion) and passed a review by the bourse's listing committee a month later. Its executives said as recently as November 2023 that Syngenta planned to list in 2024.

The company did not secure a green light from China's securities regulator or top leaders at the State Council, a prerequisite for blockbuster IPOs to go ahead, said the four people familiar with the matter.

The planned flotation finally came unstuck after Syngenta, owned by Sinochem, in March received informal instructions from the China Securities Regulatory Commission (CSRC) to pull its bid for the mega listing.

The reason for Syngenta's IPO withdrawal and the way it was managed, have not been reported previously, underscore how Beijing is prioritizing boosting investor confidence in the secondary market over the launch of new equity offerings.

The government's request for Syngenta to scrap its IPO came despite the company's seeds being essential to food security and China's self-reliance in grain production, which the country's leaders, especially President Xi Jinping, have strongly promoted.

The withdrawal resulted from Chinese authorities' concerns over the potential impact of a sizeable IPO on the frail stock market which had a wretched start to the year, said the four people with knowledge of the matter.

Large IPOs have often been cited by analysts as a reason for triggering the plunge of domestic stock markets, as large amounts of money are frozen when subscriptions are taken, sapping liquidity in the secondary market.

China's stock market rout at the beginning of the year came after mainland shares lagged global stocks for three years and with deflation at levels not seen since the global financial crisis of 2008-09.

 

 

OPEC oil output falls in March

According to Reuters, OPEC oil output declined in March 2024, reflecting lower exports from Iraq and Nigeria against a backdrop of ongoing voluntary supply cuts by some members agreed with the wider OPEC Plus alliance.

OPEC Plus is scheduled to hold an online joint ministerial monitoring committee meeting on April 03 to review the market and members' implementation of output cuts they have already agreed to extend. However, the panel is unlikely to recommend any oil output policy changes.

The Organization of the Petroleum Exporting Countries pumped 26.42 million barrels per day (bpd) in March 2024, down 50,000 bpd from February 2024, based on shipping data and information from industry sources.

Several members of OPEC Plus, which includes OPEC, Russia and other allies, made new cuts in January 2024 to counter economic weakness and increased supply outside the group. Producers agreed last month to keep them in place until the end of June.

An OPEC Plus panel of key ministers meets on Wednesday to review the market and members' production, and is not expected to recommend any policy changes ahead of the group's next full meeting set for June 01, 2024.

The biggest output reductions in March came from Iraq and Nigeria. Iraq promised to lower exports to make up for pumping above its OPEC target, a pledge that would cut shipments by 130,000 bpd from February.

OPEC fell about 190,000 bpd short of its targeted cuts in March, largely because of Iraq, Nigeria and Gabon pumping more than they had aimed for.

Gulf producers Saudi Arabia, Kuwait and the United Arab Emirates each kept output close to their voluntary targets, as did Algeria.

Output in Iran, exempt from quotas, edged lower. Iran is still pumping near a five-year high reached in November after posting one of OPEC's biggest output increases in 2023 despite US sanctions still in place.

There was no significant rise in output from any OPEC country. Libya, also exempt from quotas, pumped an extra 20,000 bpd as the country's output returned to normal after disruption in February.

Reuters aims to track supply to the market and is based on shipping data provided by external sources, LSEG flows data, information from companies that track flows - such as Petro-Logistics and Kpler - and information provided by sources at oil companies, OPEC and consultants.

 

 

 

 

Ties with Israel must be severed, says Raisi

During a telephone conversation, Iran’s president Ebrahim Raisi advised his Turkish counterpart to cut ties with the Israeli regime in order to help prevent further loss of lives in the besieged Gaza Strip.

Tehran has repeatedly asked Islamic countries to sever political, economic, and diplomatic ties with Israel since the regime’s latest round of onslaughts against Gaza began on October 07, 2023. Despite the devastating loss of over 32,000 Palestinian lives, Muslim nations have yet to distance themselves from Israel.

Commenting on a recent Security Council resolution asking Zionists to establish a ceasefire in Gaza, Raisi told his Turkish counterpart that no resolution is going to stop Israel from committing heinous crimes. 

“The Zionist regime is not going to adhere to this resolution or any other treaty and international convention. The regime’s conduct so far proves its aggressive, law-breaking, and anti-human nature which necessitates the serious cooperation of Islamic countries to support the oppressed people of Gaza,” the Iranian official noted.

Highlighting the Islamic Ummah's call for Islamic countries' leaders to take resolute actions against the Zionist regime's crimes in Palestine, the president stressed the importance of Islamic cooperation through the Organization of Islamic Cooperation and other regional and international platforms.

"With the US continuing its significant financial and military backing of the criminal Zionist regime, cutting off all political and economic ties is a potent measure to compel an end to the atrocities in Gaza."

Raisi also underscored the urgency of Islamic countries collaborating to provide humanitarian aid to Gaza, preventing a humanitarian crisis, and declared Iran's readiness to support any initiatives in this regard.

Figures show that the Turkish government has increased trade with Israel in the past six months. Some media outlets have claimed that Ankara has been sending gunpowder, weapons, and ammunition to the occupied territories. 

Furthermore, in their discussion, the two presidents touched on the significance of enhancing political, economic, and cultural ties between Iran and Turkey. Iran’s president highlighted Tehran’s commitment to reinforcing energy cooperation and voiced optimism that such collaboration would advance both nations' interests and foster unity within the Islamic Ummah.

Recep Tayyip Erdogan, for his part, extended greetings to the Iranian government and people for Ramadan and the successful parliamentary and Assembly of Experts elections.

He affirmed Turkey's dedication to implementing the agreements reached during the recent visit of Iran's President, stressing the importance of upholding and furthering Iran-Turkey cooperation for mutual benefit and Islamic unity.
 

 

Iran accuses Israel of bombing its embassy in Syria

According to Reuters, suspected Israeli warplanes bombed Iran's embassy in Syria on Monday in a strike that Iran said killed seven of its military advisers, including three senior commanders, and that marked a major escalation in Israel's war with its regional adversaries.

Reuters reporters at the site in the Mezzeh district of Damascus saw emergency workers clambering atop rubble of a destroyed building inside the diplomatic compound, adjacent to the main Iranian embassy building. Emergency vehicles were parked outside. An Iranian flag hung from a pole by the debris.

"We strongly condemn this atrocious terrorist attack that targeted the Iranian consulate building in Damascus and killed a number of innocents," said Syrian Foreign Minister Faisal Mekdad who was seen at the site along with Syria's interior minister.

Iran's ambassador to Syria said the strike hit a consular building in the embassy compound and that his residence was on the top two floors.

Iran's Islamic Revolutionary Guard Corps said in a statement that seven Iranian military advisers died in the strike including Mohammad Reza Zahedi, a senior commander in its Quds Force, which is an elite foreign espionage and paramilitary arm.

Israel has long targeted Iran's military installations in Syria and those of its proxies, but Monday's attack was the first time Israel hit the vast embassy compound itself.

Israel has ramped up those strikes in parallel with its campaign against Iran-backed Palestinian group Hamas.

More than 32,000 Palestinians have been killed in Israel's offensive in Gaza, according to Palestinian health authorities.

Israel' military has escalated airstrikes in Syria against Iran's Islamic Revolutionary Guard Corps and the Iranian-backed Lebanese armed group Hezbollah, both of which support Syrian President Bashar al-Assad.

Israel typically does not discuss attacks by its forces on Syria. Asked about the strike, an Israeli military spokesperson said, "We do not comment on reports in the foreign media".

The New York Times cited four unnamed Israeli officials as acknowledging Israel had carried out the attack.

Iran's UN mission described the strike as a "flagrant violation of the United Nations Charter, international law, and the foundational principle of the inviolability of diplomatic and consular premises."

Saying the strike was "a significant threat to regional peace and security," the Iranian mission urged the UN Security Council to condemn the attack and said Tehran reserved the right "to take a decisive response."

Hezbollah, the Lebanese group seen as Iran's most powerful armed proxy in the region, vowed to retaliate. "This crime will not pass without the enemy receiving punishment and revenge," the group said in a statement.

Muslim nations including Iraq, Jordan, Oman, Pakistan, Qatar, Saudi Arabia and the United Arab Emirates also condemned the attack, as did Russia.

Earlier, Iran's ambassador to Syria Hossein Akbari, who was unharmed, told Iranian state TV that five to seven people, including diplomats, were killed and Tehran's response would be "harsh".

Iranian state media said Tehran believed Zahedi was the target of the attack. His deputy and another senior commander were also killed along with four others.

Iran's Arabic Language Al Alam Television said that Zahedi was a military adviser in Syria who served as the head of the Quds Force in Lebanon and Syria until 2016.

Saudi Arabia: Remittances fall to five year low

The remittance by expatriates living in Saudi Arabia fell 10.41 percent to SR9.33 billion during February 2024 from SR10.41 billion in the previous month. This shows a the decline of SR1.08 billion month-on-month basis, marking the lowest average monthly level in five years, according to a monitoring by Okaz/Saudi Gazette based on the statistical figures released by the competent authorities.

The average monthly remittance level recorded a fall in January and February to the lowest level in at least five years, as the average remittances for the two months reached about SR9.87 billion. The average value of monthly remittances of expatriates in 2019 was reported at SR10.46 billion, and then it maintained a steady increase in the two successive years.

During the year 2020, the monthly average of foreign remittance rose to SR12.47 billion and it further rose to SR12.82 billion in 2021. Then, it began to decline in 2022, bringing the average monthly remittance value to SR11.94 billion. During the year 2023, the average value of foreign remittance declined further reaching SR10.41 billion while the average value of transfers for the months of January and February was reported at SR9.87 billion.

Meanwhile, the Saudi Central Bank (SAMA) revealed that the bank’s net foreign assets recorded a decline of US$7.20 billion in February as compared to the previous month. Net foreign assets fell to SR1.545 trillion (US$411.96 billion) from SR1.572 trillion (US$419.1 billion) in January, and net foreign assets fell 4.9%YoY in February.

 

Why Shehbaz is undermining Finance Minister?

At a time Muhammad Aurangzeb, Finance Minister needs the government’s fullest backing to conclude the crucial deal and implement tough economic reforms over the next several years, it seems that some circles are trying to undermine his role in the cabinet.

Prime Minister Shehbaz Sharif has ditched Aurangzeb twice within span of a month. His decision to name Foreign Minister Ishaq Dar to the all-important Council of Common Interests (CCI) and keep Aurangzeb out of it looks like an attempt to contain his role in decision-making.

Sadly, this was not the only occasion, earlier Aurangzeb was also sidelined. The prime minister in a break from tradition, decided to chair the Economic Coordination Committee (ECC) the top policy making forum. It was only after widespread criticism that he yielded the position to the finance minister.

Similarly, Aurangzeb’s role in the privatization process was also diminished by appointing Dar as head of the Cabinet Committee on Privatization.

In the CCI’s case, what exactly is the foreign minister expected to contribute to the council’s deliberations? As against this, the presence of the finance minister in the CCI — the top constitutional forum mandated to discuss and decide on matters and disputes related to the federation and the provinces — is of utmost importance at this moment because the implementation of several IMF program goals and policy reforms hinge on the active involvement of the federating units.

There is no better forum than the CCI to enlist the buy-in of the provinces on the IMF program and reforms. It can only be hoped that sense will prevail and the prime minister will replace Dar with Aurangzeb in the CCI in the larger interest of the country.