Hezbollah-Israel hostilities have escalated further, deepening pressure on Lebanon’s stability after reports that Hezbollah leader Nasrallah was killed in an Israeli airstrike in Beirut. The intensifying conflict is undermining the country’s economic recovery prospects while also complicating regional peace and diplomatic efforts. The broader deterioration in security adds to concerns that ceasefire initiatives could falter and that instability may spread beyond the immediate confrontation.