The UAE discussed with Washington the opening of a swap line to mitigate the economic consequences of the war

United Arab Emirates Trade Minister Thani al-Zeyoudi said at a conference in Abu Dhabi that the UAE is in talks with the United States to open a currency swap line.

According to him, Washington is implementing a similar policy with only five states, and participation in this group is “a matter of prestige, not financial assistance.”

A currency swap line allows central banks to exchange currencies directly, bypassing the market, reducing the costs and risks of trading and investing. Currently, the central banks of Canada, Japan, the eurozone, Great Britain and Switzerland have permanent swap lines with the US Federal Reserve.

US Treasury Secretary Scott Bessent previously confirmed that a number of Gulf allies had made similar requests amid the energy crisis caused by the de facto blockade of the Strait of Hormuz following the outbreak of war with Iran on February 28.