The UAE’s banking system remains fully operational despite escalating regional tensions between the US, Israel and Iran, the country’s central bank said, as authorities reassured markets after the country’s missile and drone attacks.
In a statement, UAE Central Bank Governor Khalid Mohammed Balama said banks, financial institutions and insurers were “operating with full efficiency and stability”, adding that the sector was showing “the highest level of stability and stability”.
The statement comes as the UAE’s role as a regional financial center and a growing hub for digital asset companies draws additional attention to business continuity during periods of geopolitical stress.
The central bank notes strong liquidity and capital buffers
According to an Associated Press report published on Monday, regional tensions escalated after Iran’s drone and missile attacks on the United Arab Emirates and neighboring countries.
Debris from intercepted shells has reportedly caused fire and damage near several locations in Dubai, including infrastructure around Jebel Ali Port and Dubai International Airport.
Despite these developments, the Central Bank said that the country’s financial sector has strong balance sheet indicators.
According to the statement, the capital adequacy ratio of the UAE banking system is around 17%, while the liquidity ratio is more than 146.6%, both of which are above international standards.
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Balama said total assets in the UAE’s banking and finance sector are more than 5.42 trillion dirhams ($1.48 trillion). The regulator said it will continue to coordinate with financial institutions and authorities to monitor developments and ensure operational readiness.
It added that UAE banks implement advanced risk management and business continuity frameworks that are in line with international standards.
Crypto companies activate contingency plans
The UAE has emerged as one of the fastest growing hubs for digital asset companies.
With more than 1,800 crypto companies employing more than 8,600 people and operating across the UAE, Dubai’s DMCC Free Zone alone hosts more than 600 Web3 businesses.
Some digital asset companies operating in the region have also taken precautions amid geopolitical developments.
On Monday, cryptocurrency exchange Bybit began reviewing the security of its employees in the UAE and activating cross-regional support systems to maintain operations, according to Wu Blockchain.
In an internal letter seen by Cointelegraph, Bitget CEO Gracie Chen told employees that the exchange had activated emergency protocols while monitoring the security situation in the Middle East.
“We have activated emergency protocols and will accompany and support each of our colleagues during this special period,” Chen said.
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