unlock

The United Arab Emirates has agreed to unlock billions of dollars for Iran, pursuing a tactical shift after weeks of Iranian attacks on the wealthy Gulf Arab state amid its ongoing war with the United States and Israel, four sources told the Reuters news agency.

The report on the move coincided with the final stages of broader negotiations between Tehran and Washington to end the war. Diplomats say those talks involve the release of tens of billions of dollars in Iranian oil revenues frozen in foreign banks under US sanctions.

Two regional sources told Reuters that the UAE had agreed to release a total of $10bn, more than $3bn of which had already been delivered.

Two other sources with knowledge of the ⁠arrangement put the total funds involved at $20bn, adding that the move had been agreed in return for a halt to Iranian attacks on the UAE.

One of the sources with knowledge of the arrangement also said a first tranche of $3bn 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.

But a UAE official, asked to comment on the transfer, said the country was trying to ease tension and foster peace.

“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 said.

“The UAE supports efforts, including those undertaken by the United States, to protect the peoples of the region from the repercussions of conflict.”

The White House did not immediately respond to Reuters’s request for comment on the move.

‘Red line’ workaround

Earlier on Friday, Vice President JD Vance said that frozen funds would not immediately be released to Iran upon signing a deal with the US.

He said the potential deal is structured to ensure that economic benefits would flow to Tehran if it meets its obligations.

There was no immediate response from Iranian authorities to a Reuters request for comment on the move.

None of the sources cited by Reuters would agree to be identified due to the sensitivity of the matter.

The arrangement signals a striking pivot from the open animosity of UAE-Iran relations through much of the war, when Iranian attacks emptied Dubai’s hotels, ⁠drove some expatriates to flee and shook the reputation for safety that is central to the country’s position as a premier business hub.

One of the ⁠sources with knowledge of the arrangement said the move offered a way to help solve the conflict between the US and Iran without either side crossing its red line. Iran can claim it extracted compensation for war damages. Washington can insist it paid nothing.

Abu Dhabi, meanwhile, obtains its own security and protects Dubai’s hub status, while framing the move as an investment in rebuilding regional trust.

The other source with knowledge of the arrangement said that in return for the disbursement, Iran ⁠would halt missile and drone attacks on the UAE, and there would be a rebuilding of bilateral ties, including intelligence sharing and economic cooperation.

The source added that Iran had approached at least two other Gulf Arab countries to make a similar arrangement.

The last known direct attack by Iran on ⁠the UAE was more than a month ago – a May 4 strike on the Gulf state’s Fujairah port on the Gulf ⁠of Oman.

The first source with knowledge of the arrangement said talks had started several weeks ago but quickened pace when officials of Iran’s powerful Revolutionary Guard visited Abu Dhabi last week to meet Sheikh Tahnoun bin Zayed al Nahyan, the UAE’s national security adviser and deputy ruler of Abu Dhabi, and stayed at his guest house.

That trip was followed by a visit by UAE officials to Tehran to negotiate the details of the mechanism.

Frozen funds

Dubai’s banks have long held substantial Iranian-linked deposits, much of them now immobilised under US sanctions that police the global dollar-clearing system and expose any foreign bank dealing with blacklisted Iranian entities to being cut off from the US financial network.

On April 11, a senior Iranian source told Reuters that the ‌US had agreed to release Iranian frozen assets held in Qatar and other foreign banks, although a US official swiftly denied the assertion.

The source, who declined to be named due to the sensitivity of the matter, said that unfreezing the assets was “directly linked to ensuring safe passage through the Strait of Hormuz”, a key issue in talks aimed at ending the conflict.

Published on
22/04/2026 – 8:00 GMT+2

EU Trade Chief Maroš Šefčovič is visiting the US on Thursday and Friday in a bid to unlock negotiations over EU steel and aluminium exports still hit by the 50% US tariffs imposed by US President Donald Trump shortly after his return to power last year.

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Scrapping those tariffs was part of the EU-US trade deal struck in July 2025, which included commitments to discuss quota arrangements for steel and aluminium to replace the 50% duties.

However implementation of the broader accord — including cuts to EU tariffs on US industrial goods — has been delayed by MEPs, effectively stalling talks on metals.

Taking stock

European Commission Deputy Chief Spokesperson Olof Gill said on Tuesday that the trip will be an “opportunity to take stock of the broad sweep of EU/US trade deal and investment relations”.

He added that the focus will be on where both sides “stand” on the implementation of their “respective commitments” under the deal.

Resolving issues over the trade of steel and aluminium will be top of the agenda, Euronews has learned.

The agreement was clinched in summer 2025 in Turnberry, Scotland, by Commission President Ursula von der Leyen and Trump after weeks of trade tensions, during which Šefčovič made repeated trips to Washington to defuse the dispute and avert steeper tariffs.

The Commission ultimately accepted 15% duties on European exports to the US in a deal widely seen as unbalanced in Europe. The agreement is now under discussion among EU countries and MEPs before full implementation.

Šefčovič’s visit will be his first since the Turnberry accord. The deal has since been frozen several times by EU lawmakers following fresh tariff threats by Trump over Greenland.

A ruling by the US Supreme Court also reshuffled the deck, finding that most US tariffs imposed in 2025 were illegal. In the days following, the White House shifted legal grounds to maintain tariffs as part of its nationalist ‘America First’ trade agenda. However, those measures are set to expire in July, after which they will require approval from US Congress.

Pressure points

In the coming days, Šefčovič aims to ensure the US sticks to the agreed 15% tariffs. His agenda includes meetings with US Trade Representative Jamieson Greer, US Commerce Secretary Howard Lutnick and US Treasury Secretary Scott Bessent. He will also head to Capitol Hill to meet members of the US Congress.

Washington has also tied the removal of steel and aluminium tariffs to EU moves to relax digital rules it sees as targeting US Big Tech firms.

While the Commission has always defended its sovereign right to legislate — insisting rules are applied without discrimination — discussions on setting up an EU-US forum on digital issues have recently surfaced.

Whether that still-vague concession will be enough to secure US movement on metals remains to be seen.