UAE suspends all trade, financial transactions with Iran amid regional war

The United Arab Emirates has suspended all trade and financial dealings with Iran, citing the escalating regional conflict as the reason. The Ministry of Foreign Affairs stated the decision was made in light of regional instability that has undermined peace and security.

This move comes after UAE air defense forces intercepted two ballistic missiles launched from Iran. One missile landed outside the country's territory, while the other fell within its territorial waters. Residents received an emergency alert, which was later lifted after the Ministry of Defence confirmed the targets were maritime navigation.

Since the conflict's inception on February 28, the UAE has faced a significant number of Iranian missile and drone attacks, more than any other nation in the region. However, after a US-Iran memorandum of understanding took effect in June, the UAE experienced no further attacks, unlike other Gulf states such as Kuwait and Bahrain.

Despite hopes for diplomacy, current prospects for a deal to end the conflict appear low. US President Donald Trump has indicated there are no ongoing or future talks planned between the US and Iran. The region remains tense, with both Iran and the US claiming control over the vital Strait of Hormuz.

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in light of the regional escalation that has undermined regional and international peace and security.