Hegseth pledges housing fix after $2.6 billion used for warrior bonuses

Press freedom has fallen to its lowest level in a quarter of a century, Reporters Without Borders warned on Thursday.

The media rights watchdog cited as examples US President Donald Trump's "systematic" attacks on journalists and Saudi Arabia, which executed a journalist in 2025.

"For the first time in the (RSF) Index's 25-year history, more than half the world's countries now fall into the 'difficult' or 'very serious' categories for press freedom," a statement said.

"The average score for all countries and territories worldwide has never been so low," it said.

At the same time, the share of the world's population living in a country where the press freedom situation is considered "good" has plunged from 20 percent to less than one percent.

Only seven countries in Northern Europe, led by Norway, fall into this category. 

The United States, which had already fallen from a "fairly good" to a "problematic" situation in 2024, the year of Donald Trump's re-election, has dropped a further seven places to 64, it said.

Beyond Trump's attacks on the press —- "a systematic policy" -- the situation in the United States has also been marked by the detention and subsequent expulsion of Salvadoran journalist Mario Guevara, who denounced the arrest of migrants, and by drastic cuts to funding for US international broadcasting, the report said.

- 'Meaningful sanctions' needed -

"Vladimir Putin's Russia (172nd) has become a specialist in using laws designed to combat terrorism, separatism and extremism to restrict press freedom," RSF warned.

"As of April 2026, the country held 48 journalists behind bars". 

The steepest decline in 2026 was in junta-led Niger (120th, down 37 places).

That "underscored the wider decline in press freedom in the Sahel region seen in recent years as attacks by armed groups and ruling juntas have suppressed the right to balanced information from diverse sources," RSF said.

Norway held the top spot in the rankings for the 10th year running, said RSF, while Eritrea came last for the third straight year.

The biggest improvement in press freedom had been in Syria following the ouster of Bashar al-Assad in late 2024.

While it climbed 36 places in the rankings to 141 in the rankings, RSF warned that the press freedom situation there remained "very serious".

"Current protection mechanisms are not strong enough," said RSF's editorial director Anne Bocande. "International law is being undermined and impunity is rife.

"We need firm guarantees and meaningful sanctions," she added.

jj/ach 

Steel giant ArcelorMittal said Thursday that while first-quarter sales had risen, adverse exchange rates hit net profits, but added that it was well placed to benefit from European restrictions on imports.

Sales rose 4.4 percent to $15.4 billion. 

Net profits slid 28.6 percent to $575 million, mostly due an $80 million hit from changes in exchange rates. 

The figures were largely better than analyst expectations compiled by financial data provider FactSet.

Net profit more than tripled from the final quarter of last year, which the company put down to EU measures on steel.

"The fundamentals of the business have improved over the past three months, driven in particular by the favourable structural reset in the European policy environment," chief executive Aditya Mittal said in a statement.

He pointed to EU measures which impose a carbon tax on imports in an attempt to encourage green production, as well as a new EU tariff rate quota "expected to significantly reduce imports into Europe from July 1".

Mittal said: "ArcelorMittal is well positioned to capture this upside through existing capacity and by re-starting idled capacity."

The group announced in February it was going forward with the construction of its largest electric steel furnance in Europe.

"We remain confident in ArcelorMittal's prospects for the balance of the year, with the expected favourable impacts of new policy including a materially improved pricing and volume environment, more than offsetting any anticipated impacts from the Iran conflict," said Mittal.

ngu/rl/jj

Nigerian airlines continued flying Thursday despite threatening a shutdown over sky-high jet fuel prices roiling the industry in Africa's top crude producer and most populous nation.

It is the second time a strike has been averted in as many weeks, with government talks with airlines having already resulted in a promise to grant carriers debt relief.

Global crude oil prices have been hiked since the United States and Israel's attacks on Iran prompted Tehran to shut the Strait of Hormuz - soaring above $126 per barrel on Thursday, the highest level since 2022.

Already, some carriers in Europe have reduced flights over increased costs and warnings of low supply.

Nigeria has not been spared from high prices, even as the country's massive Dangote refinery has increased production of jet fuel, according to Kpler data reviewed by AFP.

Despite threats by the Airline Operators of Nigeria (AON) that flights would halt Thursday, domestic carriers Air Peace, Max Air and Rano Air were all operating, according to flight tracking data consulted by AFP.

The AON did not immediately respond to a request for comment.

Air travel has become especially important in Nigeria as the country grapples with armed groups and kidnappings, which have pushed those who can afford it to stay off the road for long-distance travel.

nro/sn/sbk

Germany's struggling economy expanded slightly faster than expected at the start of the year, data showed Thursday, but the positive momentum could be derailed by the Iran war energy shock.

Output in Europe's biggest economy rose 0.3 percent from January to March compared to the previous quarter, according to provisional data from statistics agency Destatis. 

Analysts surveyed by financial data firm FactSet had forecast growth of 0.2 percent. The data covered just the first month of the US-Israeli war against Iran, which began at the end of February.

The expansion was driven by growth in exports as well as higher consumer and government spending, Destatis said. 

Sebastian Wanke, an economist at German public lender KfW, said it was a "surprisingly strong start to the year", particularly given the global geopolitical turmoil. 

"But the war in Iran is now casting a shadow over the outlook," he added.

Growth for the fourth quarter of 2025 was however revised down to 0.2 percent, from 0.3 percent previously.

The export-driven German economy has struggled in recent years due to a manufacturing slump, high energy costs, and fierce competition, in particular from China.

It eked out meagre growth in 2025 following two straight years of recession.

Hopes had been high for a strong rebound this year driven by a public spending blitz and reforms pushed by Chancellor Friedrich Merz, but the Iran war has dimmed those expectations.

The government last week halved its growth forecast for 2026, and now expects gross domestic product to expand just 0.5 percent in 2026.

sr/jsk/rl

The UK government on Thursday announced an extra £25 million ($33 million) for security outside synagogues and schools, a day after two Jews were stabbed in the latest attack on the community.

Two men were knifed in the street in broad daylight in Golders Green in north London on Wednesday.

There have been arson attacks on synagogues and other Jewish sites in the area and a deadly attack in which two people died at a synagogue in Manchester last year.

"People have a sense of deep insecurity... and that is why the government is bringing forward investment, an additional £25 million to invest in the security of our Jewish community," interior minister Shabana Mahmood told Sky News.

"That will pay for more protective security for our Jewish synagogues, schools, places of worship, community centres," she added.

A 45-year-old man, a British national who was born in Somalia and came to the UK as a child, remains in custody following the stabbings.

The victims -- aged 76 and 34 -- were in a stable condition in hospital.

Rabbi Ben Kurzer, of the Golders Green Synagogue, called on the government to do more to protect Britain's Jews.

"There is definitely not a significant police presence on a regular basis in these areas. We have little bits here and there, but most of the security that we're seeing is private," he told BBC Radio.

- 'Cumulative impact' -

A little-known group believed to be linked to Iran, and which has claimed responsibility for the London arson attacks, said one of its "lone wolves" was behind the stabbings, the SITE Intelligence Group reported.

Harakat Ashab al-Yamin al-Islamiya (HAYI) -- meaning The Islamic Movement of the People of the Right Hand -- made the uncorroborated claim in a video posted online, according to SITE.

Mahmood said the government would legislate to deal with "a gap in the law when it comes to organisations that may be linked to hostile states" and their proxies.

The government would be "fast tracking that legislation in the coming weeks", she said.

Kurzer also urged ministers to take action on pro-Palestine marches which he said were fuelling the attacks.

"I think they are hate marchers... We all believe in free speech, but there's obviously a limit to free speech when it's leading to events such as we had yesterday," he said.

Last year the government of Labour Prime Minister Keir Starmer announced it would give police greater powers to restrict protests.

They were aimed at allowing police to take into account the "cumulative impact" of frequent protests.

Monitoring groups have reported a surge in antisemitic and Islamophobic incidents in Britain, particularly since the start of the war between Israel and Hamas in Gaza.

har/ach 

Iran warned the United States on Thursday that its naval blockade was doomed to fail, after President Donald Trump signalled it could be enforced for months to come, in a confrontation wreaking havoc on global energy markets. 

Oil prices soared to a four-year high, with Brent crude for June delivery up 7.1 percent to more than $126 dollars a barrel, and Iran's President Masoud Pezeshkian responded with a warning that the action would only further destabilise the region.

The United States imposed a blockade on Iran's ports, while the Islamic republic has maintained its stranglehold over the strategic Strait of Hormuz since the start of the Middle East war in February.

"Any attempt to impose a maritime blockade or restrictions is contrary to international law... and is doomed to fail," Pezeshkian said, in a statement that warned the blockade that began on April 13 would be "a disruption to lasting stability in the Persian Gulf".

Trump is expected to receive a briefing on Thursday on new plans for potential military action in Iran from Admiral Brad Cooper, the head of US Central Command, two sources with knowledge of US planning told news platform Axios.

This week Trump has reportedly told oil executives and national security officials to prepare for a long US blockade designed to force Tehran to surrender its nuclear programme, and, speaking to Axios, said: "They are choking like a stuffed pig. And it is going to be worse for them."

US Central Command (CENTCOM) said Wednesday in a social media post that it had reached a "significant milestone after successfully redirecting the 42nd commercial vessel attempting to violate the blockade".

It said there are "41 tankers with 69 million barrels of oil that the Iranian regime can't sell", estimating the value at more than $6 billion.

Trump faces domestic political pressure to end the war, which is unpopular even with much of his base, has increased costs for American consumers and has unnerved US allies. 

Iran's economy is also suffering and the rial has fallen to historic lows against the dollar.  

Iran has sought to extract a price for being attacked by exerting control over the Strait of Hormuz, the narrow waterway through which about one-fifth of global oil typically transits.

- 'The issue is always nuclear' -

Top US officials, including Vice President JD Vance, twice turned back last week from trips to Pakistan to negotiate with Iran.

US officials contend they do not know who is speaking for Iran, whether it is the hardline and increasingly empowered Revolutionary Guards or diplomats, after Israeli strikes killed a series of top leaders.

Tehran residents speaking to AFP journalists in Paris reported a sense of despair.

"Every time in recent years that negotiations have taken place, the economic situation of the people has only gotten worse. Sanctions have either started or intensified," a 52-year-old architect told AFP, speaking on condition of anonymity. 

"The issue is always nuclear. There's no talk about people, the economy or freedom. People have the right to not even want to hear the word 'negotiation'," he said.

- 'Collapse' -

Iran proposed easing its chokehold over the Strait of Hormuz if Washington lifts its blockade and broader negotiations take place. 

But the Trump administration has insisted that Iran's nuclear programme be on the table.

Iran's parliament speaker Mohammad Bagher Ghalibaf, who has emerged as a key figure since the start of the war, said Wednesday the US naval blockade of the country aimed to create division and "make us collapse from within".

Violence has continued on the war's Lebanese front, despite a recently extended ceasefire between Israel and Hezbollah, the Iran-backed armed group that drew Lebanon into the war by firing rockets at Israel. Israel responded with strikes and a ground invasion.

For the first time since the ceasefire began, the Lebanese army said on Tuesday that an Israeli strike had targeted its troops, wounding two soldiers in the south. Another strike on Wednesday killed a Lebanese soldier, it said.

"Israel must finally realise that the only path to security is through negotiations, but it must first fully implement the ceasefire in order to move on to negotiations," Lebanese President Joseph Aoun said.

A UN-backed report said Wednesday more than 1.2 million people in Lebanon were expected to face acute hunger due to the latest war.

burs/dc/ser

Air France-KLM cut back its 2026 outlook as it said higher fuel prices caused by the Middle East war would weigh down its fuel bill by more than a third.

The airline group which also includes budget airline Transavia said it now expects to expand capacity by two to four percent this year, down from its earlier forecast of three to five percent.

Air France-KLM announced a net loss of 252 million euros ($294 million) in the first quarter, an increase of one percent from the same period last year.

"While fuel price increases are not yet reflected in the results we present today, they are expected to weigh on the coming quarters," said chief executive Benjamin Smith.

The war triggered by US and Israeli attacks on Iran at the end of February has nearly halted shipping traffic via the Strait of Hormuz, through which around a fifth of the world's oil normally passes.

Jet fuel prices more than doubled in the first few weeks of the war.

Air France-KLM, like many other European airlines, tries to cushion the impact of price swings by locking in supplies in advance, and said didn't feel the impact in March.

Despite this the airline group said it expects to add 2.4 billion euros to its annual fuel costs, with 1.1 billion in this quarter.

Like other airline groups, Air France-KLM said it had increased fare prices to compensate.

Air France, KLM and Transavia have relatively little exposure to the Middle East, where disruptions due to air travel were the most severe.

The group said other markets held up well.

Revenues rose by 4.4 percent to nearly 7.5 billion euros during the quarter, just beating analyst expectations compiled by financial data provider Factset.

It carried 22.3 million passengers, an increase of 2.3 percent, and increased seat occupancy by 0.3 percentage points to 86.3 percent.

Shares in Air France-KLM rose 1.3 percent in morning trading in Paris while the blue-chip CAC 40 index was down 1.1 percent overall.

hh/rl/jj

Thai authorities arrested a teenager at a Bangkok airport for allegedly smuggling 30 protected tortoises valued at about $9,000 that were taped under her clothing, wildlife officials said Wednesday.

Thailand is a major transit hub for wildlife smugglers who often sell highly prized endangered animals on the lucrative black market in Asia.

Authorities became suspicious of the 19-year-old Taiwanese woman's unusual movements as she prepared to board a flight to Taipei early Tuesday, Thailand's wildlife conservation department said in a statement.

A search at Suvarnabhumi airport's departure terminal uncovered the Indian star tortoises -- 29 alive and one dead -- strapped to her body, the department said.

"The suspect had used adhesive tape to immobilise the animals, packed them into cloth bags and attached them to her body to evade detection," it added.

The Thai customs department said the tortoises -- protected under the Convention on International Trade in Endangered Species (CITES) -- commanded a high price on the black market, placing their total estimated value at around $9,000.

The woman was charged with illegally transporting animals and evading customs controls.

Authorities said they were investigating whether she was part of a wider smuggling network.

Indian star tortoises are classified as a vulnerable species by the International Union for the Conservation of Nature (ICUN), which says they have been targeted to meet international demand for use as "exotic pets".

The surviving tortoises were transferred to wildlife conservation officials for care and to serve as evidence.

ci/sco/cms

Volkswagen's future is at risk without further cost-cuts, the ailing German auto giant warned Thursday after profits plunged more than feared as headwinds mount.

The carmaker is struggling with Chinese competition, US tariffs and patchy demand for electric vehicles, and already has plans to axe 50,000 jobs across all its brands in Germany by 2030.

From January to March, the group's net profit slid 28 percent to 1.56 billion euros ($1.8 billion) and revenues dropped to 76 billion euros, worse than analyst forecasts.

"The cost reductions planned so far are not enough," said VW chief financial officer Arno Antlitz. 

"We need to fundamentally change our business model and achieve structural, sustainable improvements -- in all areas and at all levels. If we fail to do that, we will jeopardise our future."

VW, whose 10 brands range from Audio to Seat and Skoda, would have to adjust its capacity and "work on further optimising costs at our plants," he said. 

Chinese automakers were not just competing on their home turf but also gaining market share in Europe, he warned. 

Carmakers like BYD have emerged as fierce rivals to Volkswagen in China, traditionally a key source of profits for the German manufacturer, particularly when it comes to EVs. 

- 'Fundamental change' -

Antlitz also said that US President Donald Trump's tariffs, introduced a year ago, were burdening the group with an extra four billion euros in costs annually. 

Volkswagen delivered just over two million vehicles in the first quarter, down four percent from a year earlier. 

Overall deliveries slid 15 percent in China, with deliveries of EVs down 64 percent. Deliveries were down 13 percent in North America.

The group is forecasting sales to grow between zero and three percent in 2026, and for its core profit margin to come in between four and 5.5 percent. 

Possible impacts of the war in the Middle East were not included in the forecasts, as they cannot be reliably assessed, Volkswagen said. 

The woes of Volkswagen, one of Germany's best known companies, reflect a broader malaise in Europe's biggest economy, particularly among its traditional manufacturers.

The company's annual profits slid to their lowest level in almost a decade in 2025. 

On Thursday CEO Oliver Blume said VW needed to align its strategy to a new world that was "undergoing fundamental change".

"Wars, geopolitical tensions, trade barriers, tighter regulation, and intense competition are creating headwinds," he said. 

sr/vbw/rl

British engine-maker Rolls-Royce maintained its full-year profit guidance on Thursday, as it expects to "fully mitigate" disruption from the Middle East war. 

Rolls-Royce supplies engines to the world's biggest aircraft manufacturers Airbus and Boeing, leaving it exposed to severe air travel disruptions in the wake of US-Israeli attacks on Iran on February 28.

"The conflict in the Middle East has created uncertainty for the industry," chief executive Tufan Erginbilgic said in a trading update ahead of the group annual general meeting on Thursday.

He added, however, that "we expect to fully mitigate the current financial impact of the disruption to our business."

Erginbilgic praised the "strong start to the year" across its aerospace, defence and power systems divisions.

The group maintained its 2026 targets for an underlying annual operating profit of between £4 billion ($5.4 billion) and £4.2 billion. 

"We remain strongly positioned to deliver our mid-term targets, with substantial growth beyond the mid-term from both our existing and new businesses," Erginbilgic said.

Rolls-Royce has undergone a major turnaround since Erginbilgic took the helm in 2023 leading to repeated upgrades to its outlook. 

Net profit more than doubled last year to £5.8 billion, buoyed by strong aircraft engine performance and a favourable currency effect linked to a weaker dollar.

Rolls-Royce had benefited also from cost savings, while the group is set to profit further from government spending on defence.

ajb/rl