AGP Executive Report

West Asia Diplomacy: The US and Iran are signaling a near deal, with reports of a Geneva memorandum that could extend a ceasefire, reopen the Strait of Hormuz and set a path for nuclear talks—though Iran officials still say changes are possible. Markets & Energy Spillover: India’s Sensex and Nifty jumped over 2% as oil prices eased on de-escalation hopes and the rupee strengthened, while fuel costs remain a live pressure point for households. India Fuel Watch: LPG, CNG and PNG rates were updated June 13 amid West Asia-linked supply worries, with petrol and diesel largely steady after the May 25 hike. Tourism & Travel: China’s inbound tourism keeps climbing, and Delta launched daily nonstop LAX–Hong Kong service, underscoring Asia-Pacific travel demand. Regional Trade: Bangladesh pushed for deeper trade and investment ties with China at the Kunming expo. ASEAN Maritime: Philippines President Marcos called for stronger ASEAN maritime cooperation after adopting a maritime coordination declaration. Health & Food Systems: A Central Asia “One Health” consultation wrapped up, aiming to protect pandemic prevention, food systems and ecosystem health. Circular Waste for Islands: A new Zero Waste Islands framework urges Asia-Pacific island communities to link waste reduction with food security, water conservation and energy resilience. Tech & Business: Galatek opened a Penang facility as Malaysia ramps up AI manufacturing; Sembcorp completed its Alinta Energy acquisition; and Shufti was named a leader in identity verification reviews.

US–NATO Defense Shift: The US plans to cut about a third of fighter jets sent to Europe and eliminate all eight aerial refueling tankers, while also reducing maritime reconnaissance and other major assets, as European governments race to shore up capabilities amid the Russia-Ukraine war. Markets & Oil on Peace Hopes: Asia rallied as Trump signaled a draft US-Iran peace accord could come within days, pushing Brent below $90; investors still watch for how any settlement affects Hormuz and war risk. SpaceX IPO Fallout in Asia: SpaceX shares jumped 11% at debut, but analysts flag an “Asia problem” tied to whether the company can sustain its valuation with regional demand. Regional Diplomacy: Mongolia’s foreign minister met leaders at Japan’s Nikkei “Future of Asia” forum, while Kazakhstan joined a UN-backed trade digitalization forum in Bangkok. Central Asia Growth & Energy: EBRD highlighted Tajikistan’s fast growth, driven by investment and power projects like Rogun; a new report says Asia is outpacing the West in electrification and clean energy manufacturing. Health Milestone: UNAIDS praised Cambodia for hitting the 95-95-95 HIV targets, the first in Asia-Pacific to do so. Education Disruption: India told the Supreme Court it is drafting a policy for CBSE private students in West Asia whose Class 12 results couldn’t be declared due to the conflict. Trade & Culture: The 10th China–South Asia Expo opened in Kunming with a fashion week and business focus on regional cooperation.

Middle East Markets: Asia stocks jumped and oil slid after Trump said planned strikes on Iran were cancelled and a peace deal could be signed soon, easing inflation fears; investors also watched the SpaceX IPO debut. Regional Trade & Diplomacy: The 7th China–South Asia Cooperation Forum opened in Kunming, with officials touting deeper connectivity and trade as the 10th China–South Asia Expo draws hundreds of South Asian firms. Business Expansion: Opptra teamed with Unicommerce to scale consumer brands across India, the GCC and Southeast Asia; DKSH struck a distribution deal with BridgeBio for ATTR-CM access in Australia, Singapore, South Korea and Taiwan. Health & Tech: Veefin appointed Riddhi Dutta as CRO to push global growth; WuXi AppTec expanded manufacturing capacity across the US, Europe and Asia. Pacific Governance: Fiji PM Rabuka relaxed overseas travel rules for ministers on critical missions amid the fuel crisis. Environment: DP World launched a global seagrass restoration initiative off Geoje Island, aiming to restore 2.4 hectares over four years. Culture & Media: hololive English brought VTuber concerts to cinema screens across Asia and Mexico; Rakuten Viki added two Korean BL series for Pride Month.

West Asia Fallout: Singapore says it’s monitoring the conflict closely and is ready to step in if needed, noting core inflation eased to 1.4% in April but imported cost pressures could rise. Urban Development: UN-Habitat and the ADB launched a four-year partnership to scale affordable housing, water and sanitation, and climate-resilient city planning across Asia and the Pacific. Wealth & Markets: iCapital expands its Hong Kong office as cross-border wealth demand grows; in India, next-gen ultra-wealthy clients want participation, not passive inheritance, while fund-selection experts push for smarter, more transparent monitoring beyond past returns. Pakistan Economy: Pakistan’s budget is set to squeeze the middle class and registered businesses as it seeks IMF-linked revenue gains and spending cuts. Space & Security Industry Watch: A wave of market outlooks points to fast growth in satellite launch, ground stations, debris removal, drones, and search-and-rescue equipment across Asia-Pacific. Climate Signal: NOAA says El Niño is back, with impacts that can vary widely across Asia, South Asia monsoons, and Australia.

Philippines Education & Jobs: University of Asia and the Pacific will launch a four-year Bachelor of Science in Artificial Intelligence, aiming to prepare students for generative-AI disruption after an ILO report flagged 12.7 million Philippine jobs at risk. Vietnam Sports & Investment: Vingroup is speeding up construction of a “world’s largest” 135,000-seat stadium in Hanoi, targeting completion by July 2027 despite doubts about demand. Markets & Energy Shock: Asian stocks slid as Wall Street tech sold off and oil jumped after renewed US-Iran strikes; container shipping rates Asia-to-US have doubled since the Iran war began. West Asia Spillover: Iraq cut July Basrah medium crude OSP to Asia, while renewables advocates warned Asia’s oil dependence leaves economies exposed to another “oil shock.” Southeast Asia Climate Risk: Zurich Insurance says 75% of ASEAN renewable sites face severe climate risk by 2030, urging upfront resilience spending. Asia Tech & Business: Meta Business Agent is now global, turning WhatsApp/Messenger/Instagram chats into AI sales assistants—Southeast Asia is the key test market. Regional Security & Diplomacy: East Timor President Ramos-Horta urged fragile economies to “look up” to stable leadership as Iran and other conflicts strain the region.

West Philippine Sea Public Opinion: A Stratbase Institute-commissioned Pulse Asia survey says 86% of Filipinos back working with like-minded allies (US, Japan, Australia, Canada, South Korea) to uphold the 2016 arbitral award, with strongest support in Mindanao (91%). Banking Watch: Fitch cut its outlook on the Philippines’ banking system to “deteriorating,” warning US-Iran war-linked oil shocks could lift inflation, weaken growth, and raise credit costs; 98% of the Philippines’ crude imports come from the Middle East. Markets & Energy Shock: Asia shares slid on renewed Iran-US strikes and tech weakness ahead of US inflation data, while oil held firmer; in India, equity mutual fund inflows fell 40% in May as West Asia tensions and crude volatility cooled sentiment. Regional Diplomacy: Philippines DFA chief Ma. Theresa Lazaro urged solidarity and rules-based maritime governance at Japan’s Nikkei Future of Asia Forum. Business & Jobs: Bata India expanded Varun Bansal’s role to lead IT across India and APAC; Bombardier plans to nearly double its Singapore footprint with a new Seletar facility and 200+ skilled jobs. Sports: Nepal’s women’s cricket team was eliminated from ACC T20 Asia Cup qualifying after a loss to Thailand.

Middle East Shock to Asia Markets: Asian stocks slid again as oil jumped on renewed Iran–US tensions and fears for the Strait of Hormuz, keeping inflation and rate-hike worries front and center. India Fiscal Pressure: India is pushing asset and land monetisation and may revive disinvestment plans like IDBI Bank to plug a resource crunch linked to the West Asia crisis. Singapore Finance Move: Singapore is moving to create an “Asian BlackRock” to deepen its role as a global asset-management hub. APAC Data Centre Logistics: DHL Supply Chain is expanding APAC data-centre logistics with 160,000 sqm of added warehousing to support AI-driven demand. Indonesia Rates Signal: Indonesia’s central bank briefed foreign and domestic investors after a rare off-cycle rate hike to steady the rupiah. Public Health Watch: Asia is on Ebola alert as experts say air travel is the most likely route of introduction, making early detection key. Tech and Telecom Investment: SK Telecom, NTT and Chunghwa Telecom plan a $500m AI fund to back startups and infrastructure across the AI stack. Energy Transition Risk: A Zurich Insurance report warns most Southeast Asian renewables sites face high climate-event risk by 2030, but small upfront resilience spending could cut losses. Regional Security: Satellite imagery claims Vietnam is expanding military infrastructure across disputed Spratly reefs, raising stakes in the South China Sea. Mobility in Southeast Asia: VinFast launched early booking for battery-swapping e-motorcycles in the Philippines, aiming to accelerate regional rollout.

West Asia Cost Shock: Bangladesh’s finance minister Amir Khosru Mahmud Chowdhury warned instability could force Tk 426bn in extra subsidies for fuel, gas, electricity and fertiliser, with preliminary needs including Tk 198.21bn electricity, Tk 111.70bn gas, Tk 102.58bn petroleum and Tk 13.50bn fertiliser, as import and production costs rise and remittance risks loom. Health Regulation: The US FDA approved bemotrizinol as a new sunscreen ingredient for the first time in over 20 years, a UV filter long used in Europe and parts of Asia, aiming to boost broad-spectrum protection. Cloud Deal (APAC): Meridian Group International signed a global service provider agreement with HPE to roll out GreenLake private and hybrid cloud services across the US, Europe and Asia Pacific, including within Meridian hosting centers. Aviation Updates: ATR delivered ATR 42-600s to PNG Air and ATR 72-600s to Cambodia Airways as both carriers expand fleets. Defense & Security: South Korea experts urged building an integrated air and missile defense network to link fragmented air-defense assets amid drone swarm threats. Markets Watch: DBS said the Philippines has lagged other Asia markets in the AI-led rally, citing weaker policy and less AI exposure.

West Asia Shock to Asia Markets: Fresh Iran-Israel strikes and oil spikes pushed India’s Sensex down 719 points and Nifty below 23,150, while Asian shares later staged a cautious rebound as investors bought the dip. Aviation Profit Squeeze: IATA warns airline profits could halve in 2026 as Middle East disruption and jet fuel costs surge. Energy Trade Watch: China’s LNG buying is slowly returning, helping stabilize Asia LNG prices after Strait of Hormuz disruptions. Geopolitics on the Move: India issued a high-priority advisory telling citizens to avoid Iran and leave immediately; an India-flagged vessel was also attacked near the Strait of Hormuz with crew rescued. Cost-of-Living Pressure: Sun Life’s Asia Financial Resilience Index finds inflation is hitting most households across the region, with only a small share feeling secure. Business & Tech: India’s solar push faces a 20% cost jump; data centres are expanding beyond Mumbai; and UBS cut its Asia ESG staff by about half. Sports & Culture: India’s U-18 hockey teams return to a grand welcome after Asia Cup medals, while K-pop Itzy adds more tour stops including Singapore.

West Asia Energy Shock: India urged immediate de-escalation after renewed attacks in West Asia, while its Tehran embassy issued a fresh travel and exit advisory for Indian nationals. Markets & Fuel Costs: Oil-price spikes and geopolitical jitters dragged India’s Sensex down nearly 1% on Monday, echoing broader Asia risk-off moves. Power & Fuel Substitution: Rystad Energy projects a near-term surge in APAC thermal coal demand through 2030 as a gas shortfall forces utilities to run coal harder, with Northeast Asia seeing higher coal utilisation. Food Security & Health: South Asia experts backed a “One Health” approach to safer poultry production, stressing coordination across agriculture, public health and the environment to tackle disease, food safety and antimicrobial resistance. Trade & Business Links: Bangladesh’s BCCCI will lead a 23-member delegation to the China–South Asia Expo in Kunming to boost exports and investment ties. Regional Security & Infrastructure: Satellite reporting says Vietnam is building military and maritime infrastructure across disputed Spratly reefs, aiming to strengthen deterrence and sea awareness. Tech Skills Demand: An ADB study finds digital skills are spreading beyond tech jobs across Asia-Pacific, with South Korea highest and the Philippines lowest in employer demand. Industry Deal: Ingredion won unanimous board support to acquire Tate & Lyle in a multi-billion-pound deal, expanding specialty ingredient solutions.

West Asia Escalation: Israel launched airstrikes on Iran, with blasts reported in Tehran, Tabriz and Isfahan, while Iran had recently fired missiles at Israel—raising fresh fears of a wider regional conflict and keeping oil prices jumpy. Philippines Disaster: A 7.8 quake hit southern Philippines near Sarangani, damaging buildings and triggering tsunami warnings across parts of Asia; authorities urged coastal evacuations as aftershocks followed. Markets: Asia stocks slid sharply as tech sell-offs spread after strong US jobs data boosted rate-hike expectations, with South Korea’s KOSPI and Hong Kong’s Hang Seng among the hardest hit. APEC Healthcare: Chinese Taipei pledged USD 1.5 million to create APEC’s first healthcare sub-fund, targeting aging populations with primary care, digital health and policy work. Asia Business & Deals: Hong Kong’s Cyberport signed MoUs with Kazakhstan and Uzbekistan tech parks to push “hub-to-hub” collaboration. Energy & Aviation Costs: IATA warned airline profits could be halved in 2026 as West Asia conflict drives fuel costs higher. People & Culture: Photojournalist Masao Seto, who documented Southeast Asia’s upheavals, died at 95.

Aviation Shock: IATA says 2026 airline profits are set to halve to about US$23 billion as West Asia war disruptions and jet-fuel prices surge, with Asia-Pacific carriers forecast to fall to US$6.6 billion. Energy & Cost of Living: India’s domestic LPG cylinder price rose by Rs 29 to Rs 942 in Delhi, the second hike in three months blamed on West Asia tensions; officials say India still pays among the lowest globally, while opposition leaders warn prices may stay under pressure. Geopolitics & Security: The US says it shot down two Iranian attack drones near the Strait of Hormuz, underscoring heightened maritime risk. Regional Diplomacy: Philippines President Marcos backed key satellite programs, including a land-assessment MULA satellite and a sovereign geostationary telecom plan. Sports (Asia-Pacific): In the PBA Finals, Barangay Ginebra beat TNT 116-102 in Game 3 to lead 2-1; Gilas Pilipinas Girls swept SEABA qualifiers with an 88-62 win over Indonesia. Environment Watch: Thailand ordered urgent checks after pink sea cucumbers washed ashore at Suan Son Beach in Rayong. Business & Wealth: Forbes says Gautam Adani has reclaimed Asia’s richest spot with net worth around US$89.2 billion. Green Transition: IATA warns sustainable aviation fuel still covers under 1% of jet fuel demand, leaving airlines stuck between decarbonisation goals and soaring costs.

Aviation Alliance Expansion: Philippine Airlines has signed an MoU to join oneworld as its 16th member, aiming to boost connectivity across the Philippines and Southeast Asia and integrate Mabuhay Miles with the alliance network. West Asia Energy Shock: US forces shot down Iranian drones and struck radar sites near the Strait of Hormuz as OPEC weighs higher output; the fallout is still hitting Asia-Pacific consumers and businesses. India Cost-of-Living Pressure: India raised domestic LPG by ₹29 per cylinder (Delhi to ₹942), the second hike since the West Asia conflict began, while India’s PM Modi chaired an Economic Advisory Council meeting on sustaining growth amid energy and trade-route uncertainty. Regional Diplomacy & Resilience: India’s UN envoy co-chaired a UNDP dialogue on the Persian Gulf conflict’s impact on human development and crisis resilience across Asia-Pacific, stressing food, fuel and fertilizer cooperation. Sports Spotlight: Nepal beat Oman by 8 wickets in the Asia Cup Men’s Qualifier, while India’s U18 hockey teams won gold (men) and bronze (women) at the Asia Cup. Humanitarian Relief: Qatar Red Crescent’s Eid Al Adha campaign reached 247,344 beneficiaries across 14 countries.

West Asia Security: The US released footage of retaliatory strikes on Iranian coastal radar sites near the Strait of Hormuz, saying six Iranian missiles were shot down and no US personnel were hurt. India Economic Shield: PM Narendra Modi chaired the Economic Advisory Council meeting on sustaining growth and pushing reforms, with West Asia tensions flagged for risks to energy, trade routes and markets. Defence Deal (NZ): The US approved a $1.5bn Foreign Military Sale of five MH-60R Seahawk helicopters to New Zealand to replace aging maritime aircraft and boost Indo-Pacific capabilities. Youth Sports (India/Japan): Ashish Tani Purti’s hat-trick powered India to win the Men’s U-18 Asia Cup 2026, beating hosts Japan 4-1, while Modi praised both men’s and women’s teams. Aviation/Travel (India): Delhi’s IGI airport says one in four passengers are transfer flyers, with transit rising to 27% of traffic in May. Tech & Work (Bangladesh): A PwC survey finds over a third of Bangladeshi CEOs expect AI to cut junior jobs in the next three years. Environment (Malaysia): A Melaka sanctuary warns over 40% of Southeast Asia’s butterfly populations could face extinction within 50 years without consistent conservation.

West Asia Security: The US says it shot down four Iranian one-way attack drones and struck Iranian coastal radar sites near the Strait of Hormuz, citing an “immediate threat” to maritime traffic. Sanctions & Trade: Washington also sanctioned an Iranian LPG smuggling network accused of disguising Iranian fuel as Omani LPG shipped across South and East Asia, targeting shadow fleet and shadow banking links. Defence Deal (APAC): The US approved a $1.5bn sale of five MH-60R Seahawk maritime helicopters to New Zealand as it moves to nearly double defence spending. Energy Markets: LNG demand faces “unprecedented” damage as Middle East disruptions cut supply and shipping routes, while RBI policy decisions and inflation forecasts in India reflect West Asia risk. Digital Infrastructure: India’s AirTrunk plans to invest about Rs 3 lakh crore by 2030 and build 5 GW of data centre capacity. Mobility (Nepal): Uber officially launched in Nepal with Uber Go/Comfort and Uber Bike, aiming to expand beyond ride-hailing. Regional Diplomacy: India and the Philippines met for their 14th joint trade and investment working group, discussing deeper cooperation in film, energy, ICT/AI and pharma. Sports (Asia Cup): India beat Pakistan 5-3 in the U-18 men’s Asia Cup semifinal to reach the final.

Undersea Security Pact: Seventeen countries including Singapore, Australia, the Philippines, Malaysia and Thailand launched GUIDE at the Shangri-La Dialogue to share best practices and improve early warning after incidents damaging subsea telecom and energy cables. HIV Funding Fight: AIDS Healthcare Foundation sued Chicago’s health department over Ryan White HIV/AIDS program RFP cuts, alleging violations of federal procurement rules and seeking to block the defunding. Myopia Care Push in Asia-Pacific: Japan is seeing rising childhood myopia but faces regulatory delays; experts say child-focused axial length devices can reduce reliance on cycloplegic drops, while CooperVision argues myopia control should become standard care. Air Cargo Watch: Xeneta reports May air cargo spot rates rose 41% year-on-year, but expects easing as Middle East capacity returns. India Growth Snapshot: India’s Q4 real GDP grew 7.8% and full-year growth hit 7.7%, with momentum supported by sectors like autos. Regional Diplomacy: Vietnam reiterated preparations for hosting APEC 2027, while Singapore’s FM said Vietnam and Singapore share strategic outlooks ahead of regional security talks.