A woman displays an Iranian flag on a street in Tehran, June 10, 2026. — Reuters
– UAE Foreign Ministry denies transfer reports.
– Reuters references four anonymous sources.
– Alleged agreement involved as much as $20 billion.
The United Arab Emirates has dismissed media claims suggesting its government agreed to unfreeze up to $20 billion in assets held abroad for Iran, with its foreign ministry stating that reports about the funds being released are “completely false and baseless.”
Early Saturday, the UAE Foreign Ministry issued a firm statement rejecting allegations of the transfer, including claims involving $3 billion. The statement emphasized that these claims are entirely false and unfounded, affirming that no Iranian frozen funds have been released, transferred, or facilitated through the UAE. No additional details were provided.
This denial follows a Reuters report alleging that the UAE had agreed to unlock billions of dollars for Iran, citing four sources. The report described the move as a strategic shift after weeks of Iranian attacks on the affluent Gulf Arab nation amid the ongoing US-Israeli conflict with Iran.
The potential de-escalation by the UAE, which hadn’t been publicly reported before, coincided with the final stages of broader negotiations between Tehran and Washington aimed at ending the conflict. Diplomats suggest these talks could result in the release of tens of billions of dollars in Iranian oil revenues frozen in foreign bank accounts under US sanctions.
Over the past month, the UAE, which experienced heavy Iranian attacks during the height of the conflict, has avoided further strikes, whereas Iran has targeted Kuwait and Bahrain with missiles and drones.
The last confirmed direct Iranian attack on the UAE was over a month ago, on May 4, when a strike hit the port of Fujairah on the Gulf of Oman.
Two regional sources informed Reuters that the UAE had agreed to release a total of $10 billion, more than $3 billion of which had already been transferred. An additional two sources, familiar with the arrangement, estimated the total involved funds at $20 billion, claiming that the move was contingent on halting Iranian attacks on the UAE. One of these sources also stated that an initial tranche of $3 billion had already been made available.
It remains unclear whether the funds allocated for transfer belong to the UAE or originate from long-blocked Iranian accounts in UAE banks or elsewhere.
When asked about the transfer, a UAE official told Reuters that the country is focused on easing tensions and promoting stability. “The UAE’s foreign policy centers on de-escalation and reducing regional tensions while working towards lasting peace and stability,” the official said. “The UAE supports efforts, including those by the United States, to shield regional populations from conflict repercussions.”
The White House did not immediately comment on the reports.
In Washington, Vice President JD Vance stated on Friday that funds would not be released to Iran for signing a deal with the US or participating in negotiations, adding that any potential agreement would ensure Iran benefits economically only if it fulfills its commitments.
Iranian authorities have not responded to Reuters’ inquiries regarding these developments.
All sources cited in the Reuters report requested anonymity due to the sensitive nature of the matter.
One insider explained that the move might serve as a way for both sides to resolve the conflict without crossing red lines: Iran gains a narrative of compensation for war damages, while Washington frames the transfer as an investment in regional trust, with no actual payments made.
Additionally, Iran has reportedly approached at least two other Gulf Arab nations to establish similar arrangements.
Previously, on April 11, a senior Iranian source claimed that the US had agreed to release Iranian frozen assets held in Qatar and other foreign banks, a claim swiftly denied by a US official. The source indicated that unfreezing these assets was “directly related to ensuring safe passage through the Strait of Hormuz,” a key issue in ongoing talks to resolve the conflict.
