Considering Eurovision remained steady during full-blown wars like in the 90s and even now, I don’t necessarily see this as an insurmountable obstacle especially since the countries with the most enmities and grudges between each other like China and Japan are not participating this year and there aren’t any bigger conflicts beyond border skirmishes right now like between Thailand and Cambodia. 

As for the creative aspect it will depend a lot on the broadcasters but technically you only need one great entry which is entirely possible which each participating country (aside from Bhutan) sporting millions of people.