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South Asia's political landscape is dominated by Bangladesh's historic power shift to the BNP under Prime Minister Tarique Rahman, while regional security tensions escalate with US-Philippines-Japan military drills and a persistent China-US strategic competition backdrop.
February 2026
Week of Feb 9, compared to 12-week average
neutral factual reporting
Regional economic activity is marked by major bilateral deals and corporate expansions, though concerns over external tariffs and energy prices persist. The US and Bangladesh agreed to a new trade deal with lower tariffs, while Vietnamese Sun PhuQuoc airways signed a $22.5 billion deal for Boeing jets and a Thai billionaire's company announced a $580 million retail expansion plan. Singapore's leader warned that Middle East tensions will affect energy prices, and a former US envoy questioned applying new US global tariffs to Singapore.
Bangladesh has undergone a decisive political transition with the Bangladesh Nationalist Party (BNP) winning a landmark election and Tarique Rahman sworn in as the new Prime Minister. The BNP seeks new relationships with India and Germany, receiving congratulations from regional leaders and a visit from Lok Sabha Speaker Om Birla. In Thailand, Prime Minister Anutin's party won an election but needs coalition partners, while Indonesia prepared troops for a possible Gaza deployment.
Security dynamics are characterized by heightened military posturing in maritime Southeast Asia and internal law enforcement actions. The Philippines, Japan, and the US held joint military drills in the South China Sea and near Taiwan waters, while the US committed to sending more missile launchers to the Philippines. Thailand and Cambodia exchanged fire at their border, and China executed members of a Myanmar-based criminal gang. Sri Lanka suspended all flights to the Middle East.
The dominant societal tension is public safety and resilience against natural disasters and accidents, with seismic activity affecting multiple countries. A strong earthquake hit off Malaysia's Sabah, the biggest recorded in 11 years, and tremors were felt across Bangladesh. Separate incidents included a fatal gas blast in Chittagong and a fire in Dhaka triggered by an AC gas leak.
