Indian External Affairs Minister Subrahmanyam Jaishankar publicly shook hands with Pakistan’s National Assembly Speaker Ayaz Sadiq in Dhaka on the last day of 2025. The two met during the funeral of former Bangladeshi Prime Minister Khaleda Zia, attended by several South Asian leaders. The gesture, made in the presence of diplomats, contrasted sharply with recent refusals by Indian cricket teams to shake hands with Pakistani players.

Analysts in Pakistan described the handshake as a rare sign of warmth in long-frozen relations, while some Indian commentators downplayed its significance. The meeting followed months of heightened hostility, including a deadly attack in Kashmir, India’s suspension of the Indus Waters Treaty, and a brief air conflict in May 2025. Former Pakistani ambassador Sardar Masood Khan called the handshake a diplomatic signal that likely had high-level approval, though he cautioned that major obstacles remain.

Experts suggested that limited dialogue and confidence-building measures could help stabilize ties. However, persistent mistrust and India’s tougher stance since 2019 make any near-term reconciliation uncertain.

A recent editorial cartoon published in Pakistan’s influential English-language daily *Dawn* has stirred new diplomatic discussions across South Asia. The cartoon, released on December 21, 2025, depicts Indian Prime Minister Narendra Modi standing before a large tiger labeled “Bangladesh.” Analysts interpret the image, drawn by artist Rohait Bhagwant, as symbolizing Bangladesh’s growing confidence and shifting dynamics in its relationship with India. The artwork quickly went viral on social media, prompting debates about regional power balances.

In response, a youth leader from Pakistan’s ruling Pakistan Muslim League–Nawaz (PML–N) issued a strong warning to India. Kamran Saeed Usmani stated in a video message that Pakistan’s military and missiles are ready to defend Bangladesh’s sovereignty if threatened. He further accused India of pursuing an “Akhand Bharat” agenda and proposed a military alliance between Pakistan and Bangladesh. Analysts caution that any such alignment could significantly alter South Asia’s strategic equilibrium, signaling renewed regional tension.

Fresh fighting erupted along the Thailand-Cambodia border early Monday, raising fears of derailing ongoing diplomatic efforts to restore peace between the two neighbors. The clashes, which began on December 8, have already claimed at least 40 lives and displaced nearly one million people on both sides. ASEAN foreign ministers are meeting in Malaysia to discuss ways to revive a ceasefire originally brokered in July under U.S. mediation.

Cambodia’s Defense Ministry accused Thailand of launching four bomb attacks in Banteay Meanchey province and using toxic gas in the Preah Chan area. Thai media reported artillery exchanges in Sa Kaeo province, though Bangkok has yet to issue an official statement. Cambodian media said shelling in Battambang injured at least one civilian.

The renewed hostilities come as both governments trade blame, complicating ASEAN’s mediation efforts. Observers warn that without restraint, the conflict could destabilize regional security and disrupt cross-border trade, while humanitarian agencies struggle to assist the displaced populations.

A World Bank report released on November 24 warns that by 2030, around 90% of South Asia’s population will be exposed to extreme heat, while one in four people will face flood risks. The report highlights that rising salinity in water and soil will make life increasingly difficult in coastal areas. It criticizes current climate adaptation measures as low-cost and largely symbolic, noting the lack of substantial government initiatives. Jean Pem, World Bank Division Director, emphasized that Bangladesh is facing severe environmental challenges, which could worsen unless early disaster warning systems, smart agriculture, and adaptation budgets are expanded. Siddhartha Sharma, the Bank’s Chief Economist for South Asia, added that Bangladesh’s climate response remains slow, urging stronger collaboration between public and private sectors to accelerate action against the growing climate crisis.

As winter returns to South Asia, markets fill with fresh water chestnuts, a seasonal fruit celebrated for its crisp texture and remarkable nutritional value. Rich in potassium, manganese, copper, vitamin B6, and antioxidants, water chestnuts support heart health, brain function, and immunity—especially vital during the cold season. The fruit’s complex carbohydrates provide sustained energy without spiking blood sugar, making it ideal for students, athletes, and professionals. High fiber content aids digestion and prevents constipation, while its hydrating nature helps maintain electrolyte balance. Low in calories and high in fiber, it also supports weight management. Antioxidants and vitamin E contribute to healthier skin and hair, and its low glycemic index makes it safe for diabetics when consumed in moderation. Whether eaten raw, boiled, or as flour, water chestnuts remain a versatile, gluten-free, and nutrient-dense food choice for winter wellness.

Heavy rains across Southeast Asia have triggered deadly landslides, killing dozens in Indonesia and Vietnam. In Indonesia’s Central Java province, at least 18 people died and several remain missing after landslides buried homes in Cilacap and Banjarnegara. Rescue teams are struggling to recover victims buried under thick mud, with excavators deployed to clear debris. In Vietnam, six people were killed and 19 injured when a passenger bus was buried by a landslide on the Khanh Le Pass between Da Lat and Nha Trang. The incident, caused by torrential rain, trapped passengers as rescuers battled blocked roads and continuing downpours. Scientists warn that climate change is intensifying Southeast Asia’s rainy season, increasing the frequency and severity of floods and landslides. Both Indonesia and Vietnam are among the world’s most flood-prone nations, with large populations living in high-risk areas. The recent disasters follow Typhoon Kalmaegi, which earlier devastated parts of the region, underscoring growing climate-related vulnerabilities.

A recent World Bank report states that rising youth unemployment and growing wealth inequality in Asia are fueling fears of large-scale protests. Although overall job opportunities have increased, young people are finding it increasingly difficult to secure quality employment, forcing many into low-wage and informal work. In China and Indonesia, one in every seven young people is unemployed, while middle-class families are rapidly losing their financial stability. The report warns that if this trend continues, social stability across the region could collapse.

In recent times, Generation Z–led protests have surged across Africa and Asia, with young people in Indonesia, the Philippines, Kenya, and Mongolia taking to the streets against corruption, inequality, and unemployment. In Bangladesh, waves of protests against misrule, corruption, inequality, and joblessness have spread across the country, while in Nepal, public outrage over the lavish lifestyles of those in power has ultimately brought down the government.

U.S. President Donald Trump's upcoming tariff hikes, set to begin August 1, have triggered uncertainty across South and Southeast Asian markets. Companies face rising costs, disrupted supply chains, and pressure to find alternative trade routes. Nations like Vietnam, Malaysia, and Japan are reassessing U.S. relations, while poorer countries like Cambodia face harsh duties. Experts warn the shift from globalization to regionalization is accelerating, with China emerging as a stabilizing trade partner amid the U.S.’s unpredictable policies.

OPEC+ has announced it will raise crude oil production by 548,000 barrels per day in August, exceeding earlier plans. The group, which includes OPEC members and allies like Russia, cited a stabilizing global economy and declining oil inventories for the move. This follows earlier increases in May, June, and July. However, the news caused global oil prices to drop, with Brent and WTI falling by 0.7% and 0.75%, respectively, on Friday. Analysts attribute the price dip to anticipated market oversupply.

LNG prices in Asia's spot market fell this week due to increased supply, weaker industrial demand from China and India, and high inventory levels in China and South Korea. Eased geopolitical tensions between Iran and Israel also contributed to price stability. LNG for August delivery traded at $12.70 per MMBtu, down from $13.10 last week. Analysts expect prices to remain under pressure, though rising temperatures could spur future demand. European LNG prices also remained stable amid low global demand.