In a major geopolitical realignment, the United Arab Emirates has authorized the transfer of billions of dollars to Iran, Reuters reported on Friday.
The policy pivot follows a prolonged campaign of Iranian drone and missile strikes targeting the Gulf nation amidst the broader American-Israeli war with Tehran.
This financial arrangement, unfolding behind closed doors, aligns with the endgame of parallel diplomatic discussions between Washington and Tehran. Observers noted that the wider US negotiations could ultimately unfreeze tens of billions of dollars in blocked Iranian oil revenues currently held overseas due to economic sanctions.
According to two regional insiders quoted by Reuters, Abu Dhabi has agreed to transfer an aggregate sum of $10 billion, with an initial installment exceeding $3 billion already completed. Conversely, two separate individuals tracking the development claim the true figure hovers around $20 billion, affirming that a $3 billion tranche has been cleared. The exact origin of the funds remains unverified, leaving it unclear whether the money represents direct Emirati capital or pre-existing Iranian deposits frozen within the UAE's banking architecture.
In exchange for the massive cash infusion, according to the report, Tehran has pledged to completely halt all aerial aggression against the UAE, paving the way for a restoration of bilateral relations that will include joint intelligence coordination and economic projects.
The diplomatic channels further reveal that Iran has initiated similar outreach to at least two other neighboring Gulf Arab states.
The United Arab Emirates issued a swift and absolute denial of the report.
In an official press announcement published by the Emirates News Agency (WAM), the UAE Ministry of Foreign Affairs explicitly rejected the narrative, stating that it "categorically denies media reports alleging transfer of funds to Iran, including allegations concerning $3 billion."
The Ministry of Foreign Affairs added, "These allegations are entirely false and unfounded. No frozen Iranian funds have been released, transferred, or facilitated through the UAE."
It added, "Media outlets are urged to exercise accuracy, rely on official sources, and refrain from publishing or circulating unverified information and unfounded allegations."
Prior to this official denial, a UAE official had commented broadly that the country's foreign policy is guided by "promoting de-escalation and reducing tensions across the region, while advancing lasting peace and stability," adding that the UAE supports efforts "to protect the peoples of the region from the repercussions of conflict."
The Wall Street Journal recently reported that the UAE secretly carried out dozens of airstrikes against Iran during the war, coordinating with the US and Israel.
According to the report, the strikes targeted military and energy-related sites and continued until after the ceasefire was announced.
The newspaper previously reported that the UAE conducted direct military strikes against Iranian infrastructure during the current war.
The UAE was repeatedly attacked by Iran during the war, including an incident in which Iran launched two salvoes of cruise missiles at the UAE, injuring three people.
(Arutz Sheva-Israel National News' North American desk is keeping you updated until the start of Shabbat in New York. The time posted automatically on all Israel National News articles, however, is Israeli time.)