President leads talks on Middle East

President leads talks on Middle East conflict’s economic impact on SL

March 4, 2026 

A discussion was held this morning (04 Mar) at the Presidential Secretariat under the leadership of President Anura Kumara Dissanayake regarding the possible impact on Sri Lanka’s economy due to the current war situation in the Middle East and the urgent measures that should be taken to manage it.

The President pointed out that although future developments cannot be predicted, continuous attention must be paid to new developments in every sector, and collective action must be taken to overcome these challenges.

Lengthy discussions were held on the challenges that may arise in relation to fuel and gas, the need for stock management, as well as possible impacts on tourism, exports, investments, and food security, and the steps required to manage inflation while minimizing the impact on Sri Lanka’s economic stability and the daily lives of the people.

Although current fuel reserves are sufficient, attention was drawn to maintaining necessary stocks in view of possible risks ahead, managing them, and addressing fluctuations in global fuel prices. The President also examined the measures needed to manage these situations.

Attention was also paid to problems arising from inadequate storage facilities for maintaining gas reserves and to short‑term strategies that could be adopted to resolve them.

The possible impact on Colombo Port due to disruptions in maritime navigation caused by closures of locations such as the Suez Canal and the Hormuz Strait was also discussed. The President emphasized the need to provide facilities requested by shipping companies working with Sri Lanka over the long term to minimize such impacts.

The Secretary of the Ministry of Trade, Commerce, Food Security and Cooperative Development stated that although adequate food reserves are currently available in the country, plans have been prepared to take necessary steps considering possible risks ahead.

The President instructed relevant authorities to ensure facilities for tourists already affected, noting that most tourists arriving in Sri Lanka from Europe travel via the Middle East. Officials from the Ministry of Tourism explained that discussions are underway on alternative measures in air travel to sustain the tourism industry, while officials from the Ports and Civil Aviation Ministry clarified steps already taken.

The President also drew attention to opportunities that may arise in the investment sector, stressing the need for planned action. He instructed the Ministry of Finance to prepare an incentive package for investment promotion using new technologies such as data centres, and to examine measures under the leadership of Senior Presidential Advisor on Digital Economy, Hans Wijayasuriya. (Newswire)

“In the Indian Ocean—an American submarine sunk an Iranian warship, that thought it was safe in international waters. Instead, it was sunk by a torpedo—Quiet Death.The first sinking of an enemy ship by a torpedo since World War 2. Like in that war—back when we were still the War Department—we are fighting to win,” Hegseth told reporters. 

US confirms submarine sank Iranian warship in Indian Ocean with torpedo

March 4, 2026 Ada

US Secretary of Defense Pete Hegseth today confirmed that the US sank “an Iranian warship that thought it was safe in international waters” in the Indian Ocean.

“Instead, it was sunk by a torpedo,” he says.

But earlier the Sri Lankan navy reported the IRIS Dena went down in the Indian Ocean, with around 180 people believed to be on board.

Hegseth did not name the Iranian ship that was attacked.

“In the Indian Ocean—an American submarine sunk an Iranian warship, that thought it was safe in international waters. 

Instead, it was sunk by a torpedo—Quiet Death.

The first sinking of an enemy ship by a torpedo since World War 2. Like in that war—back when we were still the War Department—we are fighting to win,” Hegseth told reporters. 

Sri Lanka Navy had earlier confirmed that it rescued 32 people after it received a distress call from Iranian navy ship “IRIS Dena” early this morning. They have been admitted to the Galle National Hospital. 

Speaking at a special press briefing today (04), the Navy Media Spokesperson Commander Buddhika Sampath stated that the primary focus of the operation was to save lives.

He also says that according to the documentation of the ship 180 people are believed to have been on board, although the exact number of missing is unknown.

The spokesman says at the time of launching the rescue operations they did not see the vessel but saw oil patches on the water and floating life rafts.

--With Agencies Inputs

'Global Catastrophe' Is Imminent After Iran Strike

Putin Ally Warns 'Global Catastrophe' Is Imminent After Iran Strike

World War 3 fears spike as Putin ally Medvedev warns of 'global catastrophe' after reported Iran strike.

By Maybelyn B. Paden
Published 03 March 2026

World War 3 fears surged on Sunday after senior Vladimir Putin ally Dmitry Medvedev warned that a 'global catastrophe' may be imminent, following US‑Israel strikes in Iran that killed Supreme Leader Ayatollah Ali Khamenei, and launched a furious attack on US President Donald Trump.

For context, tensions had already been spiralling across the Middle East before the latest escalation. Iran's leadership, long at odds with Washington and Tel Aviv, has faced years of sanctions, covert operations and proxy clashes, from Syria to the Gulf.

The joint American‑Israeli operation on Saturday 28 February, which Iranian officials have not yet fully detailed publicly, marked a sharp break from the shadow war of recent years and pushed open confrontation closer to the surface.

Medvedev, who served as Russia's president from 2008 to 2012 and is now a senior security official under Vladimir Putin

Medvedev's Warning Raises World War 3 Spectre Around Vladimir Putin

Medvedev, who served as Russia's president from 2008 to 2012 and is now a senior security official under Vladimir Putin, used his social media channels to frame the US‑Israel action as a turning point. In a characteristically combative message, he suggested the world is already close to the brink.

'Has the Third World War already begun, or is the world still not entering it, are we balancing?' he asked. 'Formally, no, but if Trump continues his insane course of criminal regime change, it will undoubtedly begin. And any event could trigger it. Any event.'

His claim that US policy under Trump amounts to 'criminal regime change' is not supported by any formal declaration in Washington, but it neatly fits the Kremlin's long‑running narrative of American overreach. Medvedev went further, casting the confrontation as a struggle for supremacy rather than self‑defence.

'This is a war by the US and its allies to maintain global dominance. The pigs don't want to give up their trough. Trump made a grave mistake,' he wrote.

Medvedev argued that killing Khamenei would have profound consequences for Iran's internal politics and the broader Shia world. He described the late leader as 'the spiritual father of nearly 300 million Shiites' and added; 'And now he's also a martyr. You can fill in the rest yourself.'

Medvedev then issued perhaps his most alarming prediction: 'And now there's no doubt that Iran will redouble its efforts to develop nuclear weapons.' To date, Iran has insisted its nuclear programme is civilian, while the US and European powers accuse it of edging towards weapons capability. No fresh evidence of a weapons push directly linked to Khamenei's death has been made public, so Medvedev's assertion remains an unverified claim rather than an established fact.

Iran Strike Deepens Anxiety Over Vladimir Putin, Trump and a Wider War

The joint US‑Israel strikes on Saturday killed Ayatollah Ali Khamenei and immediately raised fears of a chain reaction neither Washington nor Tehran can fully control. According to the Express, Israel has continued to hit targets in and around Tehran in the days since, fuelling concern that Iran could retaliate not only in the region but against Western allies further afield.

Medvedev used the moment to paint a broader historical picture, in a way that implicitly aligns Russia with Iran against the US. 'The peacekeeper is at it again. The talks with Iran were just a cover. Everyone knew that,' he claimed, suggesting recent diplomatic contacts were essentially window‑dressing.

Dimitri Simes, an American political commentator with longstanding links to Russia, argued that US actions under Trump had in effect widened Moscow's options. 'Estonia is waging war against us,' he claimed, without providing evidence of direct Estonian attacks.

Europe braces as Iran threatens to attack

 

Europe braces as Iran threatens to attack 

As authorities tighten security, this is where Europe is most at risk from Iranian drones, missiles, cyberattacks and assassinations. 

A UK Ministry of Defence handout of an RAF F-35B Typhoon preparing for operations from Akrotiri, Cyprus. Tehran has threatened its retaliation for action in the Middle East could be attacks on European soil. | Sgt Lee Goddard/MoD Crown Copyright via Getty Images

March 4, 2026 Poliico

By Tim Ross, Sam Clark, Veronika Melkozerova, Mason Boycott-Owen, Chris Lunday and Mathieu Pollet

LONDON — The Iranian regime is warning it will attack European cities in any country that joins Donald Trump’s military operation and governments across the region are stepping up security in response.

So far, Iranian drones have already targeted Cyprus, with one striking a British Royal Air Force base on the island, and others shot down before they could hit. That prompted the U.K., France and Greece to send jets, warships and helicopters to Cyprus to protect the country from further drone attacks.

But with the British, French and German leaders saying they are ready to launch defensive military action in the Middle East, Tehran threatened to retaliate against these countries with attacks on European soil.

“It would be an act of war. Any such act against Iran would be regarded as complicity with the aggressors. It would be regarded as an act of war against Iran,” Esmail Baghaei, Iran’s foreign ministry spokesperson, told Iranian state media.

Mark Rutte, the former Dutch Prime Minister who now leads NATO, warned on Tuesday that Tehran posed a threat that reached deep into Europe.

“Let’s be absolutely clear-eyed to what’s happening here,” Rutte said. “Iran is close to getting its hands on a nuclear capability and on a ballistic missile capability, which is posing a threat not only to the region — the Middle East, including posing an existential threat to Israel — it is also posing a huge threat to us here in Europe.” Iran is “an exporter of chaos” responsible over decades for terrorist plots and assassination attempts, including against people living on European soil, he said. 

Here, POLITICO sets out what Iran is capable of, and where European countries may be at greatest risk. 

Missiles aimed at Athens and even Berlin

According to reports, Iran has been developing an intercontinental ballistic missile with a range of 10,000 kilometers, which would put European and even American territory potentially within range, said Antonio Giustozzi from the Royal United Services Institute think tank in London. It is not clear whether, under constant attack, Tehran would be able to manufacture and deploy an experimental missile like this, he said. 

“Realistically, the further away you fire them, the less precise they will be,” Giustozzi told POLITICO. “Let’s say they had four or five long-range missiles. There may be some value to target something in Europe just to create some excitement and scare public opinion from intervening.” 

Iran’s ballistic missile arsenal is known to include several medium-range systems that stretch to roughly 2,000 kilometers, according to the Center for Strategic and International Studies’ Missile Threat database.

The solid-fueled Sejjil and Khorramshahr missiles are both assessed to have about that range, which would extend to parts of southeastern Europe from Iranian territory, including areas of Greece, Bulgaria and Romania, depending on the launch location.

Romania has a U.S. missile shield site at Deveselu in the southern part of the country which was built to intercept potential missile attacks from Iran. This week, military security was stepped up at the site, according to Romania’s defense minister. 

Tehran has long described 2,000 kilometers as a self-imposed ceiling for its ballistic missile program — a limit that keeps most of Europe outside of the envelope while preserving regional reach. 

Defence Express, a Kyiv-based defense consultancy group, said the Khorramshahr missile may be capable of hitting targets 3,000 kilometers away if it was fitted with a lighter warhead, potentially bringing Berlin and Rome within range. However, the number of such long-range missiles in Iran’s arsenal is unlikely to be large. 

‘Shahed’ drones and toys packed with explosives 

Iran has invested heavily in drone development and production, and these uncrewed projectiles may be its best flexible weapon. Iran’s “Shahed” drones have been deployed by Russian forces since the early days of the full-scale invasion of Ukraine. These one-way attack drones have a range claimed to be as much as 2,500 kilometers.

To reach targets inside European territory they would need to fly at low altitude across countries such as Turkey and Jordan, though Cyprus has already found out it is within range. Analysts believe the drone that hit U.K.’s RAF Akrotiri air base in Cyprus was likely a shahed-type, and may have been fired from Lebanon by Hezbollah, Iran’s proxy. 

But Giustozzi said commercially available drones — even toys — could be used to cause havoc inside Europe. Iran is known to have a network of sleeper agents operating across many countries in Europe, he said, who use criminal groups to carry out attacks. 

They could be tasked with a coordinated effort to fly drones over civilian airports, forcing flights to be halted and causing chaos to air traffic across Europe, he said. This would be cheap and easy to do. More ambitious attacks could include striking military targets with drones loaded with explosives.

A residential building and cars are damaged by a Shahed drone attack in Kharkiv, Ukraine, last month. The drones have been deployed by Russian forces since the early days of the full-scale invasion of Ukraine. | Pavlo Pakhomenko/NurPhoto via Getty Images

But such risk may be low, Giustozzi said, as Iran may not have been able to smuggle bomb making components into European countries as this has not been its primary mode of operation in the region in recent years. 

Hit squads and terrorists 

Tehran’s recent focus has been on intimidating and targeting people and groups who are critical of the regime, particularly among the large Iranian diaspora dispersed widely across European countries, according to analysts. 

According to an intelligence summary from one Western government, Iran has a long record of plots to assassinate and attack targets inside Europe. Its state-sponsored terrorism involves a mix of direct operations by Iranian forces and, according to the intelligence summary, a growing reliance on organized criminal gangs to maintain “plausible deniability.” 

In the past decade, incidents have included the arrest of Iranian diplomat Assadollah Assadi for providing explosives to a couple tasked with bombing a large rally of the National Council of Resistance of Iran (NCRI). Assadi was sentenced to 20 years in prison. 

After massive cyberattacks against state infrastructure, the Albanian government formally severed all ties with Iran in 2022. Four years earlier, Albania expelled the Iranian ambassador and several diplomats for plotting a truck bomb attack against an Iranian dissident camp. The Dutch government accused Iran of involvement in the targeted killing of two dissidents, in 2015 and 2017. 

Suspected Iranian-backed assassination plots and other attacks have also been reported in Belgium, Cyprus, France, Germany, Sweden, and the U.K., among other countries in Europe. 

Cyber attacks 

The threat to Europeans from Iran is not just physical, with the regime long being regarded as a capable actor in cyber warfare.  

Experts and officials warned Iran could launch fresh cyber operations against Europe in the wake of the war started by the U.S. and Israel, either by targeting governments directly or by hitting critical infrastructure operators. 

“We have to monitor now the situation very carefully when it comes to our cyber security and especially our critical infrastructure,” European Commission Executive Vice President Henna Virkkunen told POLITICO. “We know that the online dimension is also very important, the recruiting channel and especially the propaganda is also spread very much online.”

Iran is typically seen as one of the big four cyber adversaries to the West — alongside Russia, China and North Korea. So far, however, there is little evidence to suggest it’s actively targeting Europe.

In fact, Iran’s cyber activity has largely stopped since the U.S. bombing began, according to one senior European cybersecurity official, granted anonymity to discuss ongoing assessments. 

If and when European countries make their support for U.S. and Israeli activities more explicit, that will likely draw them into the firing line, cyber industry officials said. “Europe should definitely expect that exactly what happened in the Gulf could happen and should happen in Europe,” said Gil Messing, chief of staff at Israeli cyber firm Check Point.

EU Commissioner Henna Virkkunen spoke of the need to monitor cyber security and especially critical infrastructure. | Thierry Monasse/Getty Images

Messing said his firm is already seeing evidence of cyberattacks in Cyprus, the only EU country that Iran has targeted with physical attacks so far. There’s no evidence of attacks in other European countries but it’s likely coming down the tracks, he said.

And if attacks do take place, Iran’s capabilities, though lessened in recent years, remain significant, experts said. Iran’s security and intelligence services have cyber units comprising hundreds of people, with tens of millions of dollars of funding, Messing said.

“If the regime lasts,” the senior official quoted above said, “they will be back.”

Victor Goury-Laffont, Laura Kayali, Antoaneta Roussi, Joshua Berlinger and Sebastian Starcevic contributed reporting.