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​The fall of authoritarian regimes across the Arab region has uncovered a range of structural fissures within Arab society, unleashing unprecedented, pernicious exploitation of identity politics adopted by a range of local and international actor. Today, sectarian prejudice and stereotypes have seeped into not only the media in the Arab region, but also its academic discourse.

This report highlights some of the major milestones of the Arab democratic transition. The countries covered include Tunisia, Egypt, Libya and Yemen.

The war against ISIL is a critical US national security interest. It not only threatens to create a major center of terrorism and extremism in a critical part of the Middle East, and one that could spread to threaten the flow of energy exports and the global economy, but could become a major center of international terrorism. It is important to understand, however, that ISIL is only one cause of instability in the region, and only one of the threats caused by spreading sectarian and ethnic violence. Iraq is a key case in point. No defeat of ISIL can bring Iraq security or stability, or give it the unity and independent strength to resist pressure from Iran and threats based in Syria and Turkey. No military course of action can—by itself – create a stable regime and economy, and reduce tension between Iraqi Sunnis and Shiites, and Arabs and Kurds, to workable levels. Like Syria, Libya, and Yemen, military action must be joined to political and economic action and the creation of some form of viable governance.

This study analyses the dynamics of state fragility in Arab countries from 2006–2024 using the Fragile States Index (FSI, Fund for Peace) and World Bank World Development Indicators (WDI). The findings indicate that state fragility in the Arab world is complex and multidimensional, influenced by domestic structural factors, as well as internal and external shocks. Despite an overall increase in fragility, variations were observed among countries; Libya, Syria, Yemen, and Palestine experienced significant increases, while the Gulf countries remained stable, and Iraq and Morocco showed relative improvement. Based on inflection points in the regional FSI series, the study divides the dynamics of fragility into four phases: relative stability (2006-2011), rising fragility (2012-2016), stability at high fragility levels (2017-2020), and slight improvement in indicators (2021-2024). The findings indicate that higher poverty, malnutrition, and low education exacerbate fragility, whereas improvements in GDP per capita, education, health, and economic openness help reduce it. The study highlights that addressing fragility requires long-term policies focused on enhancing governance, social justice, economic diversification, and human development to build more resilient Arab societies in the face of crises.

The Gulf states, as a center for oil and gas production, face the challenge of adapting to an increasingly uncertain energy landscape as new resources arrive in the market, and the reverberations of unstable demand and turbulent geostrategic conditions. The great challenge for these countries, in which social peace depends on unlimited consumption of subsidized energy, is to reduce consumption and develop alternative energy sources to conserve traditional fuels for export. The effects of these transformations are significant today, and the economic, social and political stability of these countries, as well as their ability to remain major players in the global energy system is at stake. Renewable energy policies, tailored to the unique political, economic and social conditions of each country, need to translate aspirations into swift practical action to succeed and rejuvenate the option of cooperation within a productive institutional framework.