The United Arab Emirates’ banking system remains fully operational despite escalating regional tensions involving the US, Israel, and Iran, the country’s central bank said, as authorities sought to reassure markets following missile and drone attacks earlier this week.
In a statement, Central Bank of the UAE Governor Khaled Mohamed Balama said banks, insurers, and financial institutions “continue to operate with full efficiency and stability,” highlighting that the sector demonstrates “the highest levels of resilience and stability.”
The statement underscores the UAE’s importance as a regional financial hub and its growing role as a center for digital asset firms, emphasizing the need for operational continuity amid geopolitical stress.
Strong liquidity and capital buffers cited
Regional tensions rose after Iranian drone and missile strikes targeted the UAE and neighboring countries last weekend, with debris from intercepted projectiles causing fires and damage near several sites in Dubai, including Jebel Ali Port and Dubai International Airport, according to the Associated Press.
Despite the attacks, the central bank said the UAE’s financial sector remains robust. The banking system’s capital adequacy ratio stands at around 17%, while the liquidity coverage ratio exceeds 146.6% — both well above international regulatory thresholds.
Balama noted that total assets in the UAE banking and financial sector exceed 5.42 trillion dirhams ($1.48 trillion), and the regulator continues to coordinate with financial institutions to monitor developments and ensure operational readiness. UAE banks maintain advanced risk management and business continuity frameworks aligned with international standards.
Crypto firms activate contingency measures
The UAE has become one of the fastest-growing hubs for digital asset companies, hosting more than 1,800 crypto firms that employ over 8,600 people. Dubai’s DMCC free zone alone houses more than 600 Web3 businesses.
Several digital asset firms have taken precautionary steps in response to the geopolitical situation. On Monday, crypto exchange Bybit reviewed employee safety measures in the UAE and activated cross-regional support systems to maintain operations, according to Wu Blockchain.
In an internal memo seen by Cointelegraph, Bitget CEO Gracy Chen informed staff that the exchange had initiated emergency protocols while monitoring regional security.
“We have activated emergency protocols and will accompany and support every colleague during this special period,” Chen wrote.
