UAE may abandon dollar for oil without US aid

The United Arab Emirates is in talks with the United States for emergency financial support, fearing its reserves could be depleted by the economic fallout from the conflict with Iran. Emirati authorities state they are currently managing the consequences but may need a 'financial cushion' if the crisis deepens. Due to the situation in the Strait of Hormuz, Abu Dhabi is concerned about depleting reserves and an outflow of investors. Therefore, in the absence of sufficient dollar liquidity, the UAE may switch oil transactions to the Chinese yuan or other currencies, posing a risk to the dollar's dominance in the global oil market.