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Swallowed by the sea, Pakistan’s Indus delta now threatened by canals

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Swallowed by the sea, Pakistan’s Indus delta now threatened by canals

Thatta, Pakistan – On a sunny afternoon at Dando Jetty, a small fishing village in Pakistan’s sprawling Indus Delta, a boat is being unloaded and another is about to leave for the Arabian Sea.

The melodious voice of Sindhi folk singer Fouzia Soomro rises from a loudspeaker playing on a nearby parked boat.

About 130km (81 miles) from Pakistan’s largest city of Karachi, Dando Jetty sits on the bank of Khobar Creek, one of the two surviving creeks of the Indus River in Thatta, a coastal district in the eastern Sindh province.

“There should be freshwater in this creek, flowing into the sea,” Zahid Sakani tells Al Jazeera as he embarks on a boat to visit his ancestral village, Haji Qadir Bux Sakani, in Kharo Chan, a sub-district of Thatta, three hours away. “Instead, it’s seawater.”

Zahid Sakani’s farmland in Thatta was swallowed by the Arabian Sea [Manesh Kumar/Al Jazeera]

Six years ago, Sakani, 45, used to be a farmer. But his land, along with the rest of Haji Qadir Bux Sakani village, was swallowed by the sea, forcing him to migrate to Baghan, 15km (nine miles) from Dando Jetty, and turn to tailoring for survival.

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Now, the Kharo Chan port wears a deserted look – no human beings in sight, stray dogs roam freely, and abandoned boats outnumber those that are still in service. Sakani sometimes goes to Kharo Chan to visit the graves of his father and other ancestors.

“We cultivated 200 acres [81 hectares] of land and raised livestock here,” said Sakani as he stood at the port. “But all were lost to the sea.”

Kharo Chan was once a prosperous area comprising of 42 “dehs” (villages), of which only three now exist. The rest were submerged into the sea, forcing thousands of people to migrate to other villages or Karachi city.

According to the government census, Kharo Chan’s population shrunk from 26,000 in 1988 to 11,403 in 2023.

It was not only Kharo Chan that met this fate. In the past decade, dozens of villages in the Indus Delta have disappeared, swallowed by the advancing sea.

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New canal projects

And now, a new threat has emerged in an already fragile ecosystem.

As part of a so-called Green Pakistan Initiative, the Pakistan government is seeking $6bn investment from Saudi Arabia, the United Arab Emirates, Qatar and Bahrain over the next three to five years for corporate farming, aiming to cultivate 1.5 million acres (600,000 hectares) of barren land, and mechanise the existing 50 million acres (20 million hectares) of agricultural land across the country.

The project aims to irrigate a total of 4.8 million acres (1.9 million hectares) of barren land by constructing six canals – two each in Sindh, Balochistan, and Punjab provinces. Five of those canals will be on the Indus, while the sixth will be constructed along the Sutlej River to irrigate the Cholistan Desert in Pakistan’s most populous Punjab province.

According to the 1960 Indus Water Treaty, a World Bank-brokered water distribution agreement between India and Pakistan, the waters of the Sutlej primarily belong to India. It is one of the five rivers that originate in India and fall into the Indus in Pakistan. Along with the Sutlej, the waters of the Ravi and Beas Rivers also belong to India under the treaty, while the waters of the Chenab and Jhelum, apart from Indus itself are Pakistan’s.

However, the Sutlej does bring water to Pakistan during the monsoons in India, with Cholistan historically reliant on rainfall for irrigation.

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“They will divert water from Indus to Sutlej through Chenab and then to Cholistan canal,” said Obhayo Khushuk, a former irrigation engineer. “You cannot build a new irrigation system depending on [monsoon] floodwater.”

Pakistan Indus
A view of the Indus Delta [Manesh Kumar/Al Jazeera]

Meanwhile, corporate farming has already begun in Cholistan under the Green Pakistan Initiative, with the authorities approving 4,121 cusecs of water to irrigate 0.6 million acres (24,000 hectares) of land in the Cholistan Desert – an area larger than Lahore, Pakistan’s second-largest city.

Mohammad Ehsan Leghari, Sindh’s representative in the Indus River System Authority (IRSA), a regulatory body established in 1992 to oversee the allocation of water to Pakistan’s four provinces, strongly opposed the move.

“From 1999 to 2024, not a single year has passed without water shortage in Pakistan, with Sindh and Balochistan provinces facing up to 50 percent water scarcity during the summer. In this situation, where will the water for the proposed canal system come from?” he asked.

In a letter to the Council of Common Interest (CCI), a constitutional body authorised to resolve issues between the federal government and provinces, the Sindh government also criticised the project, saying that IRSA had no right to issue certificates of water availability. CCI is headed by the prime minister, with the chief ministers of the four provinces and three federal ministers as its members.

Sindh’s Irrigation Minister Jam Khan Shoro warned the Cholistan canal would “turn Sindh barren”. However, federal Planning and Development Minister Ahsan Iqbal said that the Sindh government’s objections were “baseless” as new canals would not affect its share of water.

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But Hassan Abbas, an Islamabad-based independent water and environment consultant, calls the Cholistan canal an “unscientific” project. According to him, building a canal system needs even and steady land, not sand dunes as present in Cholistan.

“Water does not know how to climb a sand dune,” Abbas said.

The delta’s destruction

The mighty Indus River has been flowing for thousands of years and once cradled one of the earliest known human civilisations spread across modern Pakistan, Afghanistan and India.

But as the British colonised the subcontinent two centuries ago, they also engineered the river, building dams and diverting its course. After independence in 1947, the same colonial policies were followed by successive governments, as more barrages, dams and canals led to the destruction of the Indus Delta – the fifth largest in the world.

“A delta is made up of sand, silt and water. The process of the destruction of the Indus Delta began back in 1850 when the Britishers established a canal network. Every canal built in Pakistan, India or China since contributed to the destruction of the Indus Delta,” Abbas told Al Jazeera. The Indus originates from the Chinese-controlled Tibet region, where China has built a dam on the river.

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Pakistan Indus delta
Abandoned boats at Dando Jetty, a small fishing village in Thatta, Pakistan [Manesh Kumar/Al Jazeera]

According to a 2019 study by the US-Pakistan Center for Advanced Studies in Water, the Indus Delta was spread over 13,900 square kilometres (5,367sq miles) in 1833, but shrunk to just 1,067sq km (412sq miles) in 2018 – a 92 percent decline in its original area.

“A delta is like an open hand and its creeks are its fingers that fall into the sea,” Sakani said. “The space between those fingers is home to millions of people, animals and other creatures, but it is rapidly shrinking.”

As more and more land got degraded, residents were forced to migrate upstream. But not everyone could afford to move. Those who remained in the Delta switched from farming to other professions, mainly fishing.

Sidique Katiar, 55, a resident of Haji Yousif Katiar village near Dando Jetty, became a fisherman some 15 years ago.

“I remember there used to be only a few boats in our village. Now, every household has boats [and] the number of fisherfolk is growing day by day,” he told Al Jazeera.

Loss of livelihood

At Sanhiri Creek along the Arabian Sea, a seven-hour boat journey from Dando Jetty, about a dozen makeshift huts are inhabited by the so-called “fishing labourers”.

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Nathi Mallah, 50, a resident of Joho village in Thatta’s Keti Bandar area, is one of them. She shoves a small iron rod into a jar of salt and then inserts it into the sandy ground. She waits briefly before pulling the rod back, quickly grabbing a small aquatic creature locally known as “maroarri” (razor shell in English), because of its long, narrow and rectangular shape, resembling an old-fashioned razor.

Mallah works with her husband and six children to catch “maroarri”, which the fisherfolks say is only exported to China. None of Mallah’s children go to school as the family works for 10-12 hours a day for a local contractor, who provides them some salt and drinking water.

Marroarri sells for 42 Pakistani rupees (15 US cents) a kilo and each member of the Mallah family collects about 8-10kg daily, earning them enough to survive. Nathi entered the business some five years ago when their fishing profession in Joho went into losses.

Muhammad Sadique Mallah, Nathi’s husband, says increasing land degradation pushed people to switch from farming to fishing. “There are more fishermen on the sea than there used to be in my youth,” the 55-year-old told Al Jazeera.

A 2019 report by the World Bank says catches of fish dwindled from 5,000 tonnes a year in 1951 to a meagre 300 tonnes now due to the Indus Delta’s degradation, forcing Pakistan to face a loss of $2bn annually.

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“There was a time when our men would go to the sea and return in 10 days,” said Nathi. “Now they don’t come back even after a month.”

No water for crops

Allah Bux Kalmati, 60, lives in Dando Jetty where he cultivates tomato, chilli, some vegetables, and betel leaves. He says freshwater is only available during the two months of the monsoon season.

But Kalmati’s betel-leaf garden needs water every two weeks. “It has now been a month and there is no water for the plants,” he says.

According to the Water Apportionment Accord (WAA) of 1991, an agreement between Pakistan’s four provinces on sharing water, at least 10 million acre feet (MAF) of water has to be discharged annually down the Kotri Barrage, the last diversion on Indus, for the downstream deltaic ecosystem.

In 1991, the Switzerland-based International Union for Conservation for Nature, however, recommended a release of 27MAF annually – a goal that could never be materialised. Moreover, IRSA data showed that water flow was less than 10MAF during 12 of the past 25 years because officials diverted it elsewhere before it reached the sea.

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“Ten MAF water is not enough for Indus Delta. It received 180 to 200MAF water annually before the canal system and it requires the same amount of water to survive,” said researcher Abbas as he attributed the water shortage to dams and barrages.

“We have 10 percent more water than the last century. But building canal after canal has diverted the flow of water, resulting in waterlogging upstream and sedimentation in the dams,” he said.

Mahmood Nawaz Shah, president of a growers’ association in Sindh, said Pakistan’s irrigation system has become “old and outdated”. “Our average grain production stands at 130 grams per cubic metre while it is 390 grams in neighbouring India,” he said.

Shah explained that instead of expanding the irrigation system, Pakistan needs to fix the existing water network and better manage the resource. “Pakistan utilises 90 percent of its water in agriculture, while the world’s usage is 75 percent maximum,” he said, citing an International Water Management Institute study.

“There are areas where canals are available but water doesn’t reach when required. Take for example the Indus Delta. You don’t have water for the existing cultivable lands. Pakistan should learn how to save water and increase its production.”

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Back at Dando Jetty, Sakani has just returned after visiting his ancestral village in Kharo Chan. Before heading home, he wanted to buy some fresh fish at Dando, but no boat had arrived from the sea that day.

“There was a time when we would distribute palla [hilsa herring] among the beggars,” he said. “But now, we can’t get fish at this place.”

Meanwhile, the high tide makes Khobar Creek look like the sea, now only 7-8km (4-5 miles) from Baghan, Sakani’s new hometown.

“The sea was 14-15km [8-9 miles] away when we shifted here from Kharo Chan,” he told Al Jazeera. “If there is no freshwater left downstream, the sea will continue to erode the land and, in the next 15 years, Baghan, too, will perish. We will have to move again to another place.

“More canals and impediments to Indus River would completely block the flow of water into the sea. It will be the final nail in the coffin of the Indus Delta.”

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Iran continues firing missiles, drones at neighboring states, with multiple interceptions reported

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Iran continues firing missiles, drones at neighboring states, with multiple interceptions reported

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Iran launched a new wave of attacks on Thursday, with explosions reported in the region and Tehran threatening that the U.S. would “bitterly regret” sinking an Iranian warship.

Iran’s strikes on Thursday targeted Israel, American bases and countries in the region. Israel announced multiple incoming missile attacks as air raid sirens blared in Tel Aviv and Jerusalem.

Azerbaijan’s Ministry of Defense on Thursday said Iran used unmanned aerial vehicles (UAVs) in an attack on Nakhchivan International Airport and other civilian infrastructure. The ministry said the details of the attack and the capabilities of the UAVs were being investigated.

“The Ministry of Defense of the Republic of Azerbaijan strongly condemns the attacks carried out by the armed forces of the Islamic Republic of Iran against civilian infrastructure on the territory of Azerbaijan in the absence of any military necessity. The Islamic Republic of Iran bears the entire responsibility for the incident,” the ministry’s statement read.

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Explosions seen and heard in Azerbaijan as Iran launches retaliatory attacks across the Middle East. (East2West)

Iran has not acknowledged targeting Azerbaijan, despite the country’s ministry of defense pointing the finger at Tehran.

Qatar evacuated residents near the U.S. Embassy in Doha on Thursday, with its Ministry of Defense confirming that the country was “subjected to a missile attack” and that its air defense systems were able to intercept it. The ministry urged the public to remain calm and avoid unofficial information.

Abu Dhabi announced that its authorities were responding to an incident involving falling debris in ICAD 2, which is part of the Industrial City of Abu Dhabi. Six people, identified by Abu Dhabi as Pakistani and Nepali nationals, suffered minor to moderate injuries.

A plume of smoke rises over buildings in Doha, Qatar, on March 5, 2026. (Mahmud Hams/AFP via Getty Images)

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FORMER TOPGUN PILOT DECLARES IRAN MILITARY ‘OVER WITH’ AMID US AIR SUPERIORITY, BUT WARNS OF ANOTHER DANGER

Iran has carried out retaliatory strikes since the launch of Operation Epic Fury, with the latest wave coming one day after the U.S. sunk an Iranian warship, killing at least 87 Iranian sailors. Sri Lankan navy spokesman Cmdr. Buddhika Sampath said 32 people were rescued from the wreck and were admitted to a hospital.

Secretary of War Pete Hegseth defended the move during a news briefing at the Pentagon.

“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 II. Like in that war, back when we were still the War Department, we are fighting to win,” Hegseth said.

Missile interceptions are seen in the sky on March 5, 2026, in Central Israel. (Alexi J. Rosenfeld/Getty Images)

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ISRAEL’S MILITARY RELEASES VIDEO SHOWING OBLITERATION OF IRAN’S MISSILE LAUNCHERS, DEFENSE SYSTEMS

Iranian leaders condemned the attack, with Foreign Minister Abbas Araghchi accusing the U.S. Navy of committing “an atrocity at sea.” Meanwhile, Ayatollah Abdollah Javadi Amoli appeared on state television and called for the shedding of Israeli and “Trump’s blood.”

“Fight the oppressive America, his blood is on my shoulders,” he said in a rare call for violence from an ayatollah, one of the highest ranks within the clergy of Shiite Islam.

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The U.S. and Israel launched the war on Saturday with strikes targeting Iran’s leadership, including the supreme leader, Ayatollah Ali Khamenei, who was killed. Iran’s missile arsenal and nuclear facilities were also hit.

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The Associated Press contributed to this report.

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Which Kurdish groups is the US rallying to fight Iran?

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Which Kurdish groups is the US rallying to fight Iran?

Iran has launched operations targeting Iranian and Iraqi Kurdish groups in the semi-autonomous Kurdish region in neighbouring Iraq as the regional war ignited by the United States and Israel entered its sixth day, with more than 1,000 people killed across the country.

State television, Press TV, reported early on Thursday that Tehran was striking “anti-Iran separatist forces”, referring to Iranian and Iraqi Kurdish groups believed to be based in mountainous, hard-to-reach areas near the Iran-Iraq border.

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Iranian missiles hit Sulaimaniyah city in the semi-autonomous Kurdistan region, according to local reports.

“We targeted the headquarters of Kurdish groups opposed to the revolution in Iraqi Kurdistan with three missiles,” Iran’s official IRNA news agency reported on Thursday, quoting a military statement. The Iranian military said earlier on Tuesday it used “30 drones” on Kurdish positions.

The attack comes just days after multiple publications reported that US President Donald Trump was in active talks with Iranian and Iraqi Kurdish groups, and that Washington hopes to use them to spur a popular uprising.

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Various Iranian Kurdish groups, which share close ties with Iraqi Kurds, have long opposed Tehran from their bases in northern Iraq and along the Iraq-Iran border. These groups reportedly have thousands of fighters between them.

Here’s what we know so far:

People gather near debris from a drone that fell onto a building near Erbil airport, amid the US-Israeli conflict with Iran, in the Ankawa district of Erbil, Iraq, on March 4, 2026 [Khalid al-Mousily/Reuters]

Why are Kurdish groups cooperating with the US?

US officials said the aim is to stretch Iranian forces and take out the remains of the military-dominated Iranian government, according to reporting by CNN.

There is also speculation that the groups could be supported to take control of northern Iran to create a ground buffer for Israeli forces, possibly streaming in from Iraq.

US-Israeli bombings have heavily targeted areas along the Iraq-Iran border since the start of the war on Saturday, possibly to degrade Iranian defences and allow Kurdish opposition groups to cross fully into Iran, according to a briefing by US-based think tank, the Soufan Center.

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The US has not ruled out sending ground forces, although analysts told Al Jazeera Iran’s rugged territory would make that very difficult.

If the US does support these groups against Tehran, it would mean that Washington is treating them like armed “players on a board,” Winthrop Rodgers, associate fellow at the UK think tank, Chatham House, told Al Jazeera.

INTERACTIVE - WHERE ARE THE KURDS - JAN19, 2026 copy-1768814414
(Al Jazeera)

Which Kurdish groups are there?

Neither the US nor Kurdish groups had confirmed any agreements by Thursday.

However, it is known that Trump has spoken to the leaders of two Kurdish groups in Iraq: Masoud Barzani, leader of the Kurdistan Democratic Party, and Bafel Talabani, leader of the Patriotic Union of Kurdistan (PUK), according to US publication, Axios. Talabani confirmed the call on Wednesday.

Trump also spoke to Mustafa Hijri, head of the Democratic Party of Iranian Kurdistan (KDPI), on Tuesday, CNN reported, quoting a Kurdish official.

Meanwhile, Iranian Kurdish rebel groups, which have thousands of fighters along the Iraq-Iran border, formed the Coalition of Political Forces of Iranian Kurdistan (CPFIK) alliance one week before the war broke out.

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The group issued statements at the start of the conflict, signalling imminent intervention and urging Iranian military members to defect. According to Israel’s I24News, thousands of its fighters were in Iran by Wednesday.

Here are the different groups:

Kurdistan Democratic Party: The ruling party in the semi-autonomous Kurdistan Regional Government (KRG). The party controls the capital city of Erbil as well as Duhok. It has historical ties with Iranian Kurdish groups.

However, the KRG is not eager to be seen as supporting attacks on Iran, even as Iranian drones have hit US assets in Erbil. On Wednesday, Kurdistan region President Nechirvan Barzani spoke with Iranian Foreign Minister Abbas Araghchi and told him his region “will not be part of conflicts” targeting Tehran.

In 2023, the two countries signed a security deal that saw Iraq promise to disarm and relocate Iranian opposition groups on its territory, although it appears many groups are still based there, reflecting the limited influence the government wields over them.

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Iraqi Kurds, who have close ties with both the US and Iran, are in a “difficult position”, said Rodgers.

“They are under tremendous pressure from a wide range of forces, including (pro-Iran) Iraqi militias. They will try to stay out of the conflict as much as they can, but that will likely prove impossible,” he said.

Patriotic Union of Kurdistan (PUK): The PUK is the official opposition in the semi-autonomous Kurdistan region and also nationally relevant as Iraqi President Abdul Latif Rashid is a member. In a statement on Sunday, Rashid urged dialogue and an end to the war. Iraq declared three days of mourning following the killing of Iran’s Ayatollah Ali Khamenei in US-Israeli strikes on Tehran on Saturday.

Coalition of Political Forces of Iranian Kurdistan (CPFIK): Formed on February 22, 2026, the group includes six Iranian Kurdish opposition groups seeking an independent state.

Kurdistan Democratic Party of Iran (KDPI) – Based in the Kurdistan region, the group has about 1,200 members and is proscribed as a “terror” group by Iran.

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Kurdistan Freedom Party (PAK) – Also based in Kurdistan, it has an estimated 1,000 members.

Kurdistan Free Life Party (PJAK) – A close ally of the Turkish opposition armed group, Kurdistan Workers’ Party (PKK), PJAK is proscribed as a “terror” group by Ankara. PJAK’s armed wing, the Eastern Kurdistan Units (YRK), is believed to have between 1,000 and 3,000 members, many of them women. It is based in the rugged Qandil Mountains near the Iran-Iraq border and in the semiautonomous Kurdistan region. It has launched numerous attacks on Iranian forces in the past decade. A recent Iranian strike reportedly killed one fighter.

Organisation of Iranian Kurdistan Struggle (Khabat) – It has an unknown number of fighters.

Komala of the Toilers of Kurdistan – Based in Iraq’s KRG, it has an unknown number of fighters.

Komala Party of Iranian Kurdistan (KPIK) – Also headquartered in the Kurdistan region, it has an estimated 1,000 fighters in 2017.

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PAK
A fighter from the Kurdistan Freedom Party (PAK) carries a rifle and gestures while standing on rocky terrain, at a training session at a base near Erbil, Iraq, on February 12, 2026 [File: Thaier Al-Sudani/Reuters]

What is the history of US involvement with Kurdish resistance groups in the Middle East?

Kurds are an ethnic minority spread across the Middle East with a shared language and culture. They do not have a state of their own and have historically been marginalised across countries – mainly Iran, Iraq, Syria and Turkiye.

For decades, several armed Kurdish groups have sought self-governance in Turkiye, Syria and Iran.

In Iraq, Kurdish nationalist groups gained some success during the 1991 Gulf War by working with the US, which helped establish the self-governing Kurdistan region of Iraq. The US Central Intelligence Agency (CIA) also trained and armed its army, known as the Peshmerga, after the US invaded Iraq in 2003. In 2005, the semiautonomous region was officially recognised in Iraq’s constitution.

Since 2017, Washington has also armed and trained the People’s Protection Units (YPG), a Syrian Kurdish militia that Turkiye lists as a “terror” group because of its links with the proscribed PKK. The group, which successfully resisted ISIL (ISIS), now forms the main component of the Syrian Democratic Forces (SDF). It controlled Raqqa and other ISIL strongholds.

However, when it began military clashes with Syrian forces under the President Ahmed al-Sharaa-led government last August, Washington turned away from the group and backed Damascus instead. In January this year, the SDF signed an agreement with the Syrian government to integrate into the government forces. In return, the Syrian government recognised Kurdish rights.

In Turkiye, meanwhile, the PKK, whose presence in northern Iraq has long been a source of tension with Ankara, declared a ceasefire in March 2025, after a call from its imprisoned leader, Abdullah Ocalan, to disarm.

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How does Kurdish resistance in Iran compare with others?

Iranian Kurds opposed the Iranian government even before the formation of the Islamic Republic in 1979, Rodgers said, and Tehran’s current weakness provides an opportunity for them to advance their political aims in the country.

However, the new coalition of multiple diverse groups is unprecedented, the analyst added, and their internal dynamics will be a key decisive factor in what role Kurdish groups will play in this war.

“Support from the US is helpful, especially in terms of targeting security forces’ infrastructure with air strikes, but they will likely be cautious about relying too much on Washington, especially from an administration as capricious and disorganised as Trump’s,” Rodgers said, noting how Washington abandoned the Kurds in Syria.

Unlike the split Iranian movements, Iraqi Kurds have long united to form a devolved government enshrined in the Iraqi constitution, built an advanced economy, and secured substantive relations with a wide range of foreign countries. That’s something Kurdish groups will also be hoping to establish in a democratic Iran, he said.

“I think it is unlikely that the Trump administration has made any commitments to the Iranian Kurds about supporting their political goals,” Rodgers said, adding that the US’s plan “does not look fully thought through at all”.

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Netflix, After Walking Away From Warner Bros. Deal, Will ‘Move Forward’ With ‘$2.8 Billion in Our Pocket That We Didn’t Have a Few Weeks Ago,’ CFO Says

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Netflix, After Walking Away From Warner Bros. Deal, Will ‘Move Forward’ With ‘.8 Billion in Our Pocket That We Didn’t Have a Few Weeks Ago,’ CFO Says

Netflix is no longer contemplating a future that includes Warner Bros., having ceded the heated M&A battle to Paramount Skydance. Netflix CFO Spence Neumann, speaking Wednesday at the Morgan Stanley Technology, Media & Telecom Conference, reiterated the company’s position that it bailed out of the bidding for Warner Bros. because Paramount increased its offer price.

“The short answer is, it was all about price,” Neumann said. “We said all along this opportunity was a nice-to-have at the right price, not a must-have at any price,” he added, echoing Netflix co-CEO Ted Sarandos’ previous statement.

Netflix, when it struck the deal to buy WB’s studios and streaming business in December, was playing “offense, not defense,” Neumann said. According to the CFO, Netflix has a “unique view” into how to value the WBD assets. “We went into it with a point of view on price,” he said. “When it became clear it didn’t make sense for us financially anymore,” the company bowed out.

“Now we move forward, and we move forward with $2.8 billion in our pocket that we didn’t have a few weeks ago,” said Neumann, referring to the breakup fee it received from Paramount Skydance.

On Feb. 26, Netflix abandoned its deal to buy Warner Bros.’s studios and streaming business after David Ellison’s Paramount upped its hostile bid for WBD in its entirety to $31/share — leaving Paramount the winner of a debt-fueled takeover of the media conglomerate. Paramount Skydance paid Netflix the $2.8 billion breakup fee once Warner Bros. Discovery terminated its agreement with Netflix in favor of Paramount’s “superior” offer.

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Asked if the Warner Bros. bidding war changed Netflix’s M&A strategy, Neumann replied, “I know it sounds boring, but it’s really no change.” The company will “continue to stay focused on what are those opportunities” to accelerate the growth of the business, he said.

Neumann said Netflix, by the end of the bidding process for Warner Bros., had “a stronger belief” that “we would have been great stewards” for those assets. And, he insisted, Netflix had high confidence that it had a “clear path” to regulatory approval.

“At the end of the day, we were going to be disciplined” on the price it was willing to pay for Warner Bros., Neumann said.

In 2026, Netflix plans to boost its total cash content spending to around $20 billion, up 10% from last year. It is forecasting revenue of $50.7 billion-$51.7 billion, which would be an increase of 12%-14% year over year, and projects hitting 31.5% operating margin in 2026. The streaming heavyweight reported more than 325 million subscribers worldwide as of the end of 2025, up from 301.2 million a year prior.

The expected 10% increase in Netflix’s content spending this year is in line with its expected revenue growth, Neumann said. “It’s really no change in our approach,” he said. “We really want to be that starting point and destination for professionally produced content for creators around the world.”

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