Hi Global Recap readers,

What’s new today: an upgrade has been made to the newsletter’s visuals. Astute readers among you may have realized without me mentioning it - hopefully, this freshens things up!

🌐 Here’s what’s up around the world:

• China’s handshake with the Taliban.

• Nipah Virus outbreak in India.

• Kim invites Putin, but too early maybe?

• ECB hikes interest rates, despite recession fears.

• New U.S. sanctions bomb on Russia and other countries.

Let’s get into today’s news.

📈 Top News

🇨🇳 China Appoints First Ambassador to Taliban-Ruled Afghanistan. In a bold power move, China dispatched its first ambassador to Taliban-ruled Afghanistan, hoping for diplomatic and economic gains amidst the chaos.

China is the only country to send an envoy to Afghanistan since the Taliban takeover in 2021. What does it have to gain from giving the regime legitimacy?

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🦇 Nipah Virus Strikes Again in India. A deadly virus that kills up to 75 percent of its victims has resurfaced in Kerala. The state has closed schools, tested hundreds, and declared containment zones, as experts race to find the source of the outbreak, which could be linked to bats or fruit trees.

There is no vaccine or cure for Nipah, which can jump from animals to humans through contact or consumption of contaminated food.

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🚀 Kim Invites Putin to North Korea After Backing His War. The North Korean dictator has offered his “full and unconditional support” for Russia’s invasion of Ukraine and asked Putin to visit Pyongyang. Putin “gratefully” accepted, but he only seems comfortable with sending his foreign minister.

Putin’s rarely traveled abroad since Russia’s invasion of Ukraine.

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💸 ECB Hikes Rates to Record High, Despite Slowdown Fears. The European Central Bank has raised interest rates for the 10th time in a row, reaching 4% - the highest since the euro was born. The move aims to curb inflation, which is still above 5%, but risks hurting the already weak eurozone economy.

The ECB hinted that this may be the last hike, as global trade and growth prospects worsen.

Click for more

✍️ In-Depth

United States
U.S. Slaps New Sanctions on Russia

💥 U.S. Sanctions Bomb. Biden’s team just dropped a sanctions bomb on a list of more than 150 Russian individuals and entities. It’s a financial slap in the face aimed at cutting off Moscow’s access to Western technology and money that fuel its war in Ukraine.

🚀 Targeting Russia’s Energy and Defense Sectors. The sanctions target people and companies that sell or provide Western technology to Russia, such as electronic components, cameras, batteries, and engineering services. Notably, in the energy sector, the sanctions zero in on a UAE company that’s been playing tech support for Russia’s Arctic LNG 2 project. And let’s not forget other Turkish, Georgian, Russian, and Finnish companies that have been helping Russia score electronic components for its weapons. They are also on the list.

📝 The Real Deal. These sanctions aren’t just a slap on the wrist for Russia. They’re a strategic move by the U.S. to make Russia pay for its unprovoked invasion of Ukraine. The hope? The sting of these sanctions will make Russia think twice about escalating the conflict and get them to sit down for meaningful diplomacy to end this war.

🤔 The Catch. Sure, U.S. officials are patting themselves on the back, saying their sanctions have put a lid on Russia’s wartime production. But here’s the caveat: analysts say Russia still has hefty reserves and could sneakily import the tech it needs in bite-sized batches to keep its defense production running. So, while the U.S. is ready to roll out more sanctions at the drop of a hat, it seems Russia might still have a few tricks up its sleeve.

Also, remember, it just made friends with North Korea.

The lists:

• U.S. Department of the Treasury’s Office of Foreign Assets Control: (Click here)

• U.S. Department of State: (Click here)