UAE financial sector stable after Iranian air attacks: central bank

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UAE financial sector stable after Iranian air attacks: central bank

March 5, 2026

Central bank of United Arab Emirates 2026 — Central bank of United Arab Emirates, 2026. Photo: DubaiDiplomacy.com/screengrab/Video Central bank of UAE/X

DUBAI,— The governor of the United Arab Emirates central bank on Thursday said the country’s financial sector remains strong despite the growing regional tensions caused by the U.S.-Iran war, which has pushed the Gulf state into its biggest crisis since the COVID-19 pandemic.

Iranian missile strikes have disrupted the UAE’s reputation as a safe investment hub, sparking concerns among investors and raising questions about the outlook for the country’s booming real estate market.

Central bank governor Khaled Mohamed Balama said in a statement that the UAE’s banking and financial sector is resilient, strong, stable, and well-prepared to handle regional developments, six days after the conflict began.

Balama added that the country’s capital adequacy ratio stands at 17%, while the liquidity coverage ratio exceeds 146.6%.

Total assets in the banking and financial sector are valued at more than 5.42 trillion dirhams ($1.48 trillion).

Banks, financial institutions, and insurance companies across the UAE are operating normally, he said, noting that advanced frameworks are in place to identify and manage risks and ensure business continuity in line with international standards. The central bank continues to monitor the situation to ensure financial services remain uninterrupted.

UAE stock markets reopened on Wednesday after a two-day suspension following Iranian missile and drone attacks, but they fell in early trading on Thursday.

The United States and Israel launched air strikes on Iran over the weekend, killing Supreme Leader Ali Khamenei. In response, Iran carried out missile and drone attacks targeting airports, ports, hotels, and residential areas in Dubai and Abu Dhabi.

(With files from Reuters)