Dubai/Abu Dhabi: Tensions in West Asia escalated sharply on Saturday as Iran issued a warning to the United Arab Emirates against allowing attacks from its territory on disputed Gulf islands, even threatening to target Ras Al Khaimah. The developments come amid a widening conflict that is increasingly impacting regional security, energy markets, and global travel.
Iran issues warning over disputed islands
Iran’s military cautioned the UAE against facilitating any attacks on the disputed islands of Abu Musa and Greater Tunb, which are located near the strategically vital Strait of Hormuz. The islands are under Iranian control but are claimed by the UAE.
The Islamic Revolutionary Guard Corps (IRGC) warned that Ras Al Khaimah could become a target if any further attacks occur on these islands. The warning signals a potential expansion of the conflict into key Gulf urban centres.
Air defence activity in Dubai
Authorities in Dubai confirmed that loud sounds heard across parts of the city were due to successful air defence interception operations. The incident has heightened concerns about the spillover of hostilities into the Gulf region, which is home to critical infrastructure and major expatriate populations.
Officials reassured residents that the situation was under control, but the developments underscore the growing reach of the conflict.
Saudi Arabia intercepts drones
In a related development, Saudi Arabia reported intercepting 20 drones within a few hours in its eastern region, which houses vital oil infrastructure. Authorities confirmed that there were no casualties or damage.
The drone interceptions highlight the increasing use of aerial attacks and the vulnerability of energy-rich regions in the ongoing conflict.
Rising casualties across region
The escalation follows intensified Iranian retaliation after Israeli strikes on its South Pars gas field. The conflict has already resulted in significant casualties, with over 1,300 people reported dead in Iran.
In Israel, at least 15 people have been killed in missile attacks, along with four deaths in the West Bank. Additionally, 13 United States military personnel have reportedly lost their lives, reflecting the widening scope of the conflict.
Impact on global energy markets
The conflict has disrupted global energy markets, pushing Brent crude prices to around $108 per barrel, a sharp increase from approximately $70 before the escalation.
Given the proximity of the Strait of Hormuz—a critical route for global oil shipments—any instability in the region has immediate implications for international energy supply and pricing.
Indian nationals affected
India’s Ministry of External Affairs confirmed that six Indian nationals have died in separate incidents across the Gulf region, with one person still reported missing. The situation has raised concerns about the safety of Indian expatriates working in the conflict-affected areas.
Authorities are closely monitoring developments and coordinating with local governments to ensure the safety of Indian citizens.
Dubai economy shows strain
The ongoing crisis is beginning to impact Dubai’s economy, particularly the real estate sector. Analysts have reported a significant slowdown in property transactions, with volumes dropping 37 per cent year-on-year and 49 per cent month-on-month in early March.
Premium properties in areas such as those near Burj Khalifa and Palm Jumeirah are witnessing price reductions of up to 15 per cent. Shares of major developer Emaar Properties have also fallen by over 26 per cent since the conflict began.
Despite the downturn, some investors continue to explore opportunities in the market, taking advantage of reduced prices.
Aviation disruptions across region
Air travel across the Middle East remains heavily affected due to airspace restrictions and security concerns. Major airlines have scaled back operations significantly.
Emirates is operating a reduced schedule following partial reopening of airspace, while Etihad Airways is running limited services from Abu Dhabi. Other carriers, including Flynas and Qatar Airways, have also curtailed operations.
The disruptions have left thousands of passengers stranded and continue to affect connectivity across key international hubs.
Conclusion
With threats extending to strategic Gulf locations, rising casualties, and mounting economic and travel disruptions, the West Asia conflict is entering a more volatile phase. The situation remains fluid, with fears of further escalation as regional and global powers continue to respond.