UAE reportedly agrees multi-billion-dollar financial arrangement with Iran

The United Arab Emirates (UAE) has reportedly agreed to release billions of dollars to Iran as part of wider efforts to reduce regional tensions and support ongoing negotiations aimed at ending the conflict between Iran and the United States.

According to a Reuters report citing informed sources, the development emerged during the final stages of negotiations concerning the cessation of hostilities between Tehran and Washington.

Two regional sources indicated that the UAE has agreed to release approximately USD 10 billion, of which more than USD 3 billion has already been made available to Iran. However, two other sources suggested that the total value of the arrangement could reach as much as USD 20 billion, with the agreement reportedly linked to commitments by Iran to halt further attacks

The report noted that it remains unclear whether the funds originate from the UAE’s own financial resources, Iranian assets held within the Emirati banking system, or other external accounts.

Commenting on the matter, a UAE official stated that the country continues to pursue initiatives aimed at reducing regional tensions and promoting peace and stability across the region.

Sources familiar with the discussions said that the arrangement may involve Iran ceasing missile and drone attacks against the UAE. The agreement could also pave the way for improved bilateral relations, enhanced intelligence cooperation and stronger economic ties between the two countries.

According to the report, the development represents a significant shift in relations between Iran and the UAE. During the conflict, Iranian attacks reportedly disrupted business activity in the Emirates and contributed to the temporary relocation of foreign residents and investors.

Sources further suggested that the arrangement may assist efforts to resolve tensions between the United States and Iran. Under such a framework, Iran could present the funds as compensation for conflict-related losses, while the United States could maintain that it has not directly provided any financial payments.

The report also stated that Iran has approached at least two other Gulf states regarding similar arrangements.

If confirmed, the agreement would mark an important diplomatic and economic development in the Gulf region and could contribute to broader efforts aimed at restoring stability and rebuilding confidence among regional stakeholders.