Abu Dhabi: The United Arab Emirates has suspended trade, commercial exchanges and financial transactions with Iran until further notice, citing regional developments that threaten peace and security.
The UAE Ministry of Foreign Affairs announced the decision on Wednesday, a day after the country’s air defence systems responded to two ballistic missiles launched from Iran.
Afra Al Hameli, Director of the Strategic Communications Department at the ministry, rejected reports about the current state of economic ties between the UAE and Iran and said the suspension was linked to the latest regional developments.
She said the UAE continued to consider dialogue, cooperation and regional integration essential for promoting stability and prosperity. Al Hameli also reaffirmed Abu Dhabi’s commitment to international law, global standards and the integrity of the international financial system.
One of the two missiles intercepted on Tuesday fell outside UAE territory, while the other landed in the country’s territorial waters, according to officials.
The incident prompted an emergency alert on residents’ mobile phones. The warning, the first issued in more than five weeks, was withdrawn within minutes. The UAE Ministry of Defence later said the missiles had been aimed towards maritime navigation.
The UAE had come under a major barrage of Iranian missile and drone attacks after the conflict began on February 28. Nearly 3,000 missiles and drones were directed towards the country during that period.
The attacks ended after a memorandum of understanding between the US and Iran came into effect in June. However, tensions have continued elsewhere in the Gulf, particularly around the strategically important Strait of Hormuz.
The US and Iran remain divided over the status and control of the waterway. US President Donald Trump recently shared a map depicting the Strait of Hormuz under the heading “New US Territories”, reflecting Washington’s position on the strategic maritime route.
Iran, meanwhile, has said the strait will remain closed until it reaches an agreement with the US. The continuing standoff has raised concerns over regional security and the movement of commercial vessels through the waterway.