Tensions in the Middle East have entered their fifth day and the UAE is slowly moving towards normalcy. After a two-day hiatus, stock markets are set to reopen, and offices in Dubai and Abu Dhabi are preparing for the return of employees in person.
The UAE Capital Markets Authority confirmed earlier that trading and settlement on the Abu Dhabi Securities Market and the Dubai Financial Market will resume on Wednesday. Despite the gradual reopening, market participants remain cautious, with the continued threat of further Iranian strikes in the region. Analysts cautioned that although immediate disruptions may be limited, ongoing geopolitical tensions could weigh on investor sentiment in the near term.
“The reopening of markets and offices is a crucial step in stabilizing confidence,” a senior financial official told ET, adding that “uncertainty remains a key factor for both domestic and international investors.”In the last trading session on Sunday, the Saudi TASI (Tadawul) index fell by about 4.8%, reaching its lowest level in 35 months before regaining some of its gains. The Qatar Stock Exchange index also fell by more than 4% when trading resumed on Monday morning.
The DIFC, which has 8,844 active companies including 102 hedge funds, will resume in-person operations from Wednesday. The retail and food outlets within the center are expected to operate at full capacity. “Commercial entities, companies and other offices must continue to follow their internal protocols and business continuity plans,” the DIFC Authority said on Tuesday evening.Earlier disruptions caused by damage to an Amazon Web Services data center in the United Arab Emirates and another facility in Bahrain affected some banking and delivery services on Monday, although services were restored by Tuesday.As with merchants, travelers also began resuming their normal schedules. The government announced, in a press conference on Tuesday, that national airlines will add 80 additional flights per day in the next phase, providing capacity for 27,000 passengers. Minister of Economy and Tourism Abdullah bin Touq Al Marri explained that since March 1, 60 flights carrying 17,498 passengers have departed.The minister said that the authorities also established a safe air corridor in coordination with countries in the region capable of handling up to 48 flights per hour.Recently, the Kingdom’s President Mohammed bin Zayed Al Nahyan and the Crown Prince of Dubai and Deputy Prime Minister Hamdan bin Mohammed bin Rashid Al Maktoum were seen dining at a Dubai Mall restaurant on Monday evening, a move that helped inspire confidence among residents and investors.After Iran announced a ban on the export of all food and agricultural products, Al Marri confirmed that the UAE has sufficient reserves. He stated that stocks of basic commodities and commodities are sufficient for four to six months.The UAE imports about 80% of its food needs, and Iran is considered an important supplier. Authorities are closely monitoring markets to prevent unjustified price increases, and have urged residents not to panic buy or stockpile supplies.