The United Arab Emirates has agreed to unlock billions of dollars for Iran, four sources said, in a tactical shift following weeks of Iranian attacks on the wealthy Gulf Arab state. The move coincides with the final stages of broader negotiations between Tehran and Washington on ending the war, which diplomats say could involve the release of tens of billions of dollars in Iranian oil revenues frozen in foreign banks under U.S. sanctions. The financial release is aimed at easing regional tensions and fostering peace, according to a UAE official.

Two regional sources told Reuters the UAE had agreed to release a total of $10 billion, more than $3 billion of which had already been delivered. Two other sources with knowledge of the arrangement put the total funds involved at $20 billion, adding that the move had been agreed in return for a halt to Iranian attacks on the UAE. One of these sources also confirmed that a first tranche of $3 billion had already been made available. Reuters could not establish whether the funds earmarked for the transfers belong to the UAE or originate in long-blocked Iranian accounts in the UAE banking system, or elsewhere.

Financial Details

The sources provided varying figures regarding the total amount to be unlocked and the status of the transfers:

Regional Context

The agreement comes as Iran seeks similar pacts with two other Gulf states, according to one source. A UAE official, commenting on the transfer, emphasized the country's foreign policy goals. "The UAE's foreign policy is guided by promoting de-escalation and reducing tensions across the region, while advancing lasting peace and stability," the official stated. The UAE supports efforts, including those undertaken by the United States, to protect the peoples of the region from the repercussions of conflict.

The United Kingdom's Prime Minister has issued a firm statement calling for an immediate end to escalation in the Middle East, urging Iran to engage meaningfully in negotiations to ensure the regional ceasefire holds, according to a statement from Downing Street. The development marks a significant shift in tone from the UK's earlier condemnation of drone and missile attacks targeting the United Arab Emirates, with London now directing its diplomatic pressure squarely at Tehran.

UK's Stance on Middle East Ceasefire

Downing Street confirmed that the Prime Minister has called on Iran to participate constructively in diplomatic efforts aimed at sustaining the ceasefire across the Middle East. The statement reflects the UK's broader concern over regional stability and its continued engagement with Gulf partners on security matters. Britain's position underscores the urgency with which London views the current situation, emphasising that further escalation is unacceptable.

Earlier Condemnation of UAE Attacks

Prior to the latest statement, the UK Prime Minister had strongly condemned drone and missile attacks targeting the UAE, reaffirming Britain's commitment to supporting the defence of its Gulf partners. That position remains consistent with the UK's broader strategic relationship with Gulf nations and its stated commitment to regional security.

Key Developments

The following table summarises the key positions and developments outlined by Downing Street: