Red Sea Energy Shock: Houthis claimed they struck two Saudi oil tankers (Encelia and Layla) and warned of a naval blockade, adding to Strait of Hormuz disruption as shipping reroutes and oil prices stay elevated. US-Iran Escalation: Trump vowed the US will destroy “one bridge or power plant” for each Hormuz ship attack, as the US carried out a 12th straight night of strikes on Iran and Bahrain reported alerts amid regional missile/drone activity. Bahrain Transport Upgrade: Bahrain approved a pilot for electric buses (starting with two, scaling to 35 by decade-end), renewed the public transport concession to 2030, and advanced major infrastructure including an Isa Town interchange bridge opening and a new marine cargo berth tender. SME Protection Push: MP Jaleela Alawi proposed a legal framework to cap delivery app commissions (citing fees up to 30%) and create a complaints watchdog for small businesses. Municipal Services Overhaul: A unified remote customer service centre was launched to streamline municipal complaints and tracking across governorates. Local Market Fixes: Souq Al Shaabi lighting was largely restored, but seven floodlights and surveillance cameras remain out of service. Healthcare Skills Partnership: Tamkeen and M42 signed an MoU to expand Bahrain’s healthcare training, including the Amana Academy (Q4 2026) and AI-enabled public health initiatives. Banking Watch: Zain Bahrain reported Q2 profit up 1.4% to BD1.39m despite revenue decline, highlighting resilience amid geopolitical pressure.