UAE considers freezing Iranian assets following attack - WSJ

UAE considers freezing Iranian assets following attack - WSJ

The United Arab Emirates has taken significant financial measures in response to escalating regional tensions following Iran’s missile and drone attacks, which targeted key infrastructure in Dubai and Abu Dhabi. The UAE’s stock exchanges, closed for two days amid the crisis, reopened on March 5, 2026, but faced sharp declines, with Dubai’s main index dropping 4.7% and Abu Dhabi’s falling 3.6% after reopening following a two-day suspension. The Abu Dhabi Securities Exchange and Dubai Financial Market implemented temporary -5% price limits to stabilize trading, while regulators mandated immediate assessments of financial and operational exposure for listed companies according to market reports.

The UAE’s Capital Markets Authority cited its supervisory and regulatory role for the initial closure of exchanges, aiming to prevent panic selling during heightened volatility. This marks the first time the UAE has shuttered its markets due to regional conflict, though past closures occurred during national mourning periods. Analysts note that such actions, while intended to mitigate market instability, risk eroding investor confidence and liquidity.

Though no direct mention of asset freezes against Iran appears in the provided materials, the UAE’s financial regulators have emphasized ongoing monitoring of developments and readiness to implement further measures. The country’s stock markets, which had previously shown resilience with a 29% rise in Dubai’s index over 12 months, now face uncertainty as regional hostilities persist according to financial analysis. The situation underscores the Gulf’s vulnerability to geopolitical shocks, with oil prices and cross-border capital flows likely to remain under pressure in the near term.