International

Brazil’s Lula appoints former mayor as finance minister

Photo: NELSON ALMEIDA / AFP

| By AFP |

Brazil’s president-elect Luiz Inacio Lula da Silva on Friday named former Sao Paulo mayor Fernando Haddad, viewed unfavorably by many in the business community, as his finance minister.

Lula da Silva, who narrowly defeated incumbent Jair Bolsonaro in October elections, unveiled ministers in the key posts of foreign affairs, justice, defense, and chief of staff.

However, all eyes were on his pick for finance minister, with markets nervous over the incoming government’s commitment to fiscal discipline and the inflation-hit economy in fragile recovery.

“(I chose) comrade Fernando Haddad as Minister of Finance,” Lula said during a press conference in the capital Brasilia.

20260101_dengue_cubeta_728x90

Haddad, 59, who served as education minister from 2005 to 2012, succeeds powerful liberal economy minister Paulo Guedes, an ally of far-right President Jair Bolsonaro.

After Lula’s new government takes office following his January 1 inauguration, the economy ministry will be dissolved and transformed into finance, industry and planning agencies.

When Haddad’s name started circulating for the role, markets reacted with unease, viewing him as too much on the left and fearing he would jeopardize the budgetary balance.

“He represents the heterodox economic policy” that Lula’s Workers’ Party (PT) defends, said Antonio Madeira of the MCM consultancy firm.

Madeira said that with Haddad in the finance ministry, he expects “an increase in spending” and “a more assertive state giving a significant role to public companies.”

20260101_dengue_cubeta_728x90

Despite some of the reluctance towards Haddad, the Sao Paulo Stock Exchange’s Ibovespa index was up Friday by 0.5% after the names of the future ministers were announced.

Lula also tapped Mauro Vieira as foreign minister.

Vieira is a 71-year-old career diplomat who has already served as foreign minister as well as ambassador to Argentina, the United States and the United Nations.

He is currently serving as ambassador to Croatia, which on Friday knocked Brazil out of the World Cup.

For the justice ministry, Lula appointed Flavio Dino, a former governor of the northeastern state of Maranhao.

20260101_dengue_cubeta_728x90

Rui Costa, governor of the province of Bahia, was named to a ministry that falls between the roles of prime minister and chief of staff.

Jose Mucio Monteiro, a civilian, was named defense minister.

After appointing five white men to the key ministries, Lula promised that “in time, you will see more women than men here … as well as a number of Afro-Brazilians.”

“We will try and form a government in the image of Brazilian society.”

Lula, a former unionist who already served two terms as president between 2003 and 2010, said that he would announce the names of more ministers next week and he has “not yet decided the total number of ministers” he would have in his government.

20260101_dengue_cubeta_728x90

One of the most highly anticipated posts is that of the environmental minister, who will play a crucial role as Brazil seeks to tackle deforestation in the Amazon.

International

Mexico and Guatemala Agree on Five-Point Binational Plan for 2027

Mexico and Guatemala agreed Tuesday on a 2027 Binational Plan built around five areas of cooperation, along with a schedule of meetings and initiatives aimed at making progress by the end of 2026 on security, border infrastructure, human mobility, development and technical and social cooperation.

The agreement was announced by the foreign ministers of both countries following a meeting in Mexico City.

Mexican Foreign Minister Roberto Velasco said the plan will establish the “direction and priorities” of bilateral relations for next year. His Guatemalan counterpart, Carlos Ramiro Martínez, said the meeting allowed both governments to make decisions, schedule activities and revitalize bilateral cooperation mechanisms.

Security and border infrastructure

In the area of security, the two governments have nearly completed negotiations on a new memorandum of understanding for the Mexico-Guatemala High-Level Security Group (Ganseg), which was reactivated in 2025.

The countries expect to sign the agreement in the coming months to strengthen coordination and their ability to respond to shared security threats.

20260101_dengue_cubeta_728x90

Regarding their nearly 1,000-kilometer shared border, Mexico and Guatemala agreed to advance infrastructure improvements at border crossings and continue work on a joint cargo clearance program between Ciudad Hidalgo and Tecún Umán, two border areas separated by the Suchiate River.

The measures are intended to facilitate bilateral trade while making cross-border exchanges safer and more efficient.

The two governments will also continue defining a route toward a railway connection between their countries through Line K of Mexico’s Interoceanic Corridor of the Isthmus of Tehuantepec (CIIT), with the aim of strengthening economic and community ties.

Migration and development

On human mobility, Mexico and Guatemala will maintain coordination to ensure safe, orderly and dignified returns, while strengthening protection for people in transit.

The bilateral agenda also includes a second phase of the Sembrando Vida program in Guatemala, which is expected to benefit 10,000 people across 15 departments.

20260101_dengue_cubeta_728x90

Both countries will also advance initiatives under Juntos para el Bienestar, as well as six technical, scientific and energy cooperation projects approved by the Joint Commission.

The agreements seek to strengthen bilateral ties and establish concrete priorities for cooperation between Mexico and Guatemala during 2027.

International

France to Expel Two Iranian Diplomats Over Alleged Attack on French Officials

French Foreign Minister Jean-Noël Barrot announced Tuesday, August 18, 2026, that France will expel two Iranian diplomats in response to what Paris described as an attack on two French representatives in Iran last month.

“Two French diplomats were scandalously and deliberately assaulted on July 19. I had announced that this intolerable act would have consequences. It has now happened. Two Iranian diplomats in France will be expelled in the coming days,” Barrot said in a message posted on X.

The two Iranian diplomats have been declared persona non grata and will be required to leave France within the coming days, according to the French foreign minister.

About a month ago, Barrot said that two members of the French diplomatic staff had been detained by Iranian security forces for several hours. One of them was also subjected to harassment, he said.

The French government described the incident as an “extremely serious act of intimidation” that violated diplomatic immunity.

20260101_dengue_cubeta_728x90

The two French embassy staff members were working on programs supporting Iranian civil society, particularly initiatives involving artists and researchers.

Iran has denied France’s allegations regarding the incident. The diplomatic dispute comes amid already strained relations between Paris and Tehran.

International

Heat wave puts more than 70 million Americans under alerts as temperatures near 46°C

36 deaths reported due to heat wave in Nuevo Leon, Mexico

More than 70 million people remained under heat alerts Monday as an intense heat wave continued across the southern United States, particularly Florida and states along the Mexican border, where temperatures and heat indexes could reach as high as 46 degrees Celsius, according to the National Weather Service (NWS).

Several cities recorded or tied temperature records over the weekend and into Monday, including Miami and Fort Lauderdale in Florida; Laredo, Borger and Austin’s airport in Texas; Atlanta, Georgia; Raleigh and Charlotte, North Carolina; and Memphis, Tennessee.

The NWS warned that the heat wave will continue affecting the southern and southeastern United States, with maximum temperatures expected to remain near 38°C to 40°C for several days. The heat index, which combines temperature and humidity to estimate how hot conditions feel, could reach 46°C.

The extreme heat is also spreading into the Southwest, where temperatures began rising again between Monday and Tuesday. Forecast highs in the region range from about 38°C to 43°C.

Heat alerts remain in effect across Nevada, Arizona and California, including areas in southern Arizona and California near the Mexican border, as authorities warn of the risks posed by prolonged extreme temperatures.

20260101_dengue_cubeta_728x90

The NWS urged residents to limit outdoor activity, stay hydrated, ensure access to air conditioning or cooling centers, and check on vulnerable friends, neighbors and family members.

The United States is experiencing a summer marked by above-average temperatures and repeated heat waves. One of the most intense episodes occurred during the July 4 weekend, when extreme heat was blamed for roughly 30 deaths.

July was the hottest month ever recorded in the United States since measurements began, with the average temperature across the contiguous country approaching 25°C, according to the National Oceanic and Atmospheric Administration (NOAA).

The combination of extreme heat and drought conditions has also fueled wildfires. Nearly 3 million hectares have burned across the country so far in 2026, making it the largest area affected by wildfires in a decade.