UAE Banking Federation Head Dismisses Capital Outflow Fears Over 'Iran War'

The head of the UAE Banking Federation denied concerns about capital outflows due to a potential war with Iran, stating that local banks possess strong balance sheets.

Thu May 14 2026

UAE Banking Federation Head's Stance

The head of the UAE Banking Federation has dismissed concerns about capital outflows stemming from a potential war with Iran. He emphasized that local banks maintain robust financial health and are unlikely to be significantly affected by such external factors. This statement comes as part of an effort to ensure the stability of financial markets amid rising tensions in the Middle East.

Emphasizing Financial Market Stability

The Banking Federation chief stated that UAE banks hold strong balance sheets, indicating sufficient capacity to manage any capital outflows. This message is intended to reassure investors and bolster confidence in the financial system. Despite persistent geopolitical risks in the region, UAE financial authorities are prioritizing market stability.

*Source: Reuters (2026-05-14)*

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