The United Arab Emirates is contemplating a freeze on billions in Iranian assets in retaliation for missile strikes that damaged key infrastructure in Dubai, a move that could deepen Tehran’s economic woes.
The attacks, launched after the killing of Iran’s Supreme Leader Ayatollah Ali Khamenei, targeted Dubai International Airport, the Burj Al Arab hotel, and the Palm Jumeirah island, disrupting tourism and prompting government aid for stranded visitors.
Iranian entities have long used the UAE as a hub to evade Western sanctions, holding funds for oil sales and supporting regional proxies.
The proposed freeze would focus on accounts tied to the Islamic Revolutionary Guard Corps and shell companies involved in covert transactions.
Security analyst Andreas Krieg described the potential action as a significant tool: “This is the most important non-military lever the UAE have to play against the Iranians.”
Officials in Abu Dhabi are wary of Iranian reprisals and impacts on ties with allies like Russia, amid broader regional tensions following the airstrikes.
