US-Iran standoff: What UAE residents need to know today (Aug. 24, 2026)

As of Monday, tensions between the US and Iran continue to impact travel, trade, and shipping in the Gulf. The UAE faces a mixed aviation situation, with some Bahrain and Kuwait services cancelled or delayed while other flights remain operational. Meanwhile, Iran's currency, the rial, has reached a record low of 2 million rials to the dollar, exacerbating economic pressure on the country.

UAE travelers should be aware that airlines such as Emirates, Etihad, Air Arabia, and flydubai are experiencing disruptions. Emirates has cancelled two Dubai-Bahrain services (EK835 and EK837), while Etihad's Abu Dhabi-Bahrain and Abu Dhabi-Kuwait flights are largely operating. However, passengers should verify their flight status directly with their airline before heading to the airport.

In the Strait of Hormuz, Iran has threatened to keep the waterway closed until the US lifts sanctions and ends its naval blockade. In response, the US has redirected 70 vessels, disabled three, and boarded two as part of efforts to maintain compliance. US Treasury Secretary Scott Bessent has announced that additional sanctions are expected, describing them as "the toughest sanctions in history."

Iran is also exploring workarounds to the economic pressure, including promoting a regional security bloc and alternative trade arrangements. The rial's historic low has increased pressure on import costs, inflation, and household purchasing power. Fuel smuggling has become a concern, with a senior Iranian official indicating connections between political factions and fuel-smuggling networks.

New maritime protocol restrictions have been issued by the Iran Gulf Strait Authority, which may result in fines, detention, seizure, or blacklisting for vessels violating Iranian protocols or interacting with blacklisted ships. The regime is preparing for potential unrest during the late August to late October period due to hyperinflation and rising prices. Despite Iran's disruptive capabilities, vessel traffic through the US-backed southern corridor has increased by approximately 400% over the last two weeks.