The United Arab Emirates has suspended all financial and commercial transactions with Iran until further notice, following its announcement that it had intercepted ballistic missiles attributed to Iran. Iran has denied responsibility for launching the missiles.
The UAE Ministry of Foreign Affairs said in a statement on Wednesday, August 19, that all trade and financial transactions with Iran had been suspended.
Afra Hamili, Director of Strategic Communications at the UAE Ministry of Foreign Affairs, said the decision was made in response to escalating tensions that, she said, undermine regional and international peace and security. She added that commercial exchanges and financial transactions with Iran would remain suspended until further notice.
Hamili, however, said the measure was not intended to be permanent, emphasizing that the UAE remains committed to “dialogue, cooperation and regional integration” as essential tools for advancing peace, stability and prosperity in the region.
The decision came after the UAE Ministry of Defense said late Tuesday that it had intercepted two ballistic missiles launched from Iran. According to UAE officials, the missiles had entered the country’s airspace.
Iran, however, has denied responsibility for the alleged attack and described the UAE’s claim as a “baseless accusation.” Esmail Baghaei, spokesperson for Iran’s Ministry of Foreign Affairs, said in a statement that the UAE’s position was inconsistent with the principle of good-neighborly relations and undermined ongoing efforts to build trust among regional countries and prevent further deterioration in security.
Baghaei also dismissed the allegations made by the UAE as “baseless” and reiterated Tehran’s rejection of the claims.
In recent weeks, following a halt to U.S. attacks against Iran, Iranian missile and drone strikes against Arab countries hosting U.S. military bases had also ceased.
The suspension of trade and financial transactions between the UAE and Iran could affect the economic relations between the two countries. However, the UAE Ministry of Foreign Affairs stressed that the measure would remain in place until further notice and that Abu Dhabi remained committed to dialogue and regional cooperation.
Writer:Salima Aryaei
