Author: Dr Issac PJ

[Editor’s Note: Follow media live blog amid Israeli, US strikes on Iran for the latest regional developments.]The sudden escalation of hostilities in the Middle East and the temporary closure of key air corridors have dealt a sharp blow to the Gulf’s thriving tourism and aviation sectors, halting flights across some of the world’s busiest global transit hubs and leaving thousands of travellers stranded.Industry analysts say the region — particularly the UAE and Dubai — has repeatedly demonstrated a remarkable ability to rebound from crises, suggesting the tourism downturn could prove temporary once hostilities subside.The conflict triggered widespread disruption across the Middle East…

The escalating Middle East conflict is beginning to strain financial systems across the region, but the UAE enters this period of heightened uncertainty with significant fiscal buffers, alternative oil export routes and strong banking liquidity that position it more resiliently than many peers, according to a new bulletin from S&P Global Ratings. While the report does not constitute a formal rating action, S&P said the gravity of the situation has shifted from “high” to “severe” under its predefined stress scenarios. That shift reflects a growing risk that prolonged hostilities could weaken credit quality across governments, banks and corporations — particularly if…

The closure of the Strait of Hormuz has dramatically accelerated the pace of the global oil price surge, transforming what began as a geopolitical risk premium into a fast-building supply shock with the potential to push crude decisively towards — and possibly beyond — $100 per barrel.Global energy markets were rattled after Iran’s Revolutionary Guard declared the strategic waterway closed, triggering an immediate scramble across trading desks. With nearly a third of global seaborne crude exports passing through the strait in 2025, the blockade represents not just a symbolic escalation but a direct threat to physical supply flows.The reaction has…

Middle Eastern sovereign credit ratings have enough buffers to absorb a short-lived regional conflict, but a prolonged escalation that disrupts energy exports or damages key infrastructure could trigger rating pressure across parts of the region, according to a new assessment by Fitch Ratings. Notably, the UAE stands out as comparatively well positioned to weather short-term shocks, thanks to strong fiscal buffers, diversified revenue streams and robust sovereign wealth assets.In a report issued from London on March 2, Fitch said its baseline scenario assumes the current conflict will last less than a month. The duration, it noted, will depend on the extent…

A wave of war-risk insurance cancellations is sending fresh tremors through global energy shipping, with tankers and LNG carriers anchoring in growing numbers off the UAE’s eastern seaboard as the Gulf conflict escalates.Several leading marine insurers — including members of the 12-strong International Group of Protection and Indemnity Clubs — have issued notices terminating war-risk cover for vessels entering the Gulf and adjacent waters, effective March 5. Clubs such as Gard, Skuld, NorthStandard, the London P&I Club and the American Club have confirmed that cover related to war, terrorism and conflict-linked damage will no longer automatically apply in designated high-risk…

Oil markets opened the week in turmoil, with crude prices surging more than 8 per cent amid mounting fears that an escalating US–Iran conflict could severely disrupt supplies through the Strait of Hormuz  — the world’s most critical energy chokepoint — propelling prices to $100 per barrel.West Texas Intermediate climbed to about $72.79 per barrel in early trade, up 8.6 per cent from Friday’s close near $67, according to CME data. Brent crude, the global benchmark, jumped roughly 9 per cent to trade around $79.41 per barrel, compared with $72.87 at the end of last week — levels not seen…

Bitcoin slid sharply over the weekend, dropping below $63,000 after news of a joint US–Israel military strike against Iran rattled global markets and triggered a broad risk-off move across digital assets.The world’s largest cryptocurrency fell more than 6 per cent in 24 hours, wiping out much of its recent recovery and extending its year-to-date losses. Ethereum and other major tokens followed suit, reflecting what analysts described as a classic flight to safety rather than a crypto-specific shock. Bitcoin was trading around $62,800 in late Sunday dealings, down from levels above $67,000 earlier in the week. The pullback comes amid an already…

Global oil markets are heading into one of their most precarious reopenings in years after coordinated US-Israel strikes on Iran triggered an aggressive retaliation from Tehran and effectively paralysed traffic through the Strait of Hormuz, the world’s most critical oil chokepoint.Brent crude, which settled near $82 a barrel on Friday and US benchmark West Texas Intermediate at around $78, is now expected to gap sharply higher when trading resumes. Early indications from market participants and energy consultants suggest prices could jump by $10 to $20 per barrel in a single session if tanker flows remain disrupted. That would potentially propel…

In a world where capital is increasingly restless — unsettled by abrupt tax changes, geopolitical friction and policy unpredictability — the UAE has transformed stability into its strongest economic currency and Dubai into the destination global investors and high-net-worth individuals keep returning to. What was once seen largely as a regional commercial hub has evolved into a full-spectrum global wealth centre: a place where entrepreneurs base headquarters, family offices anchor long-term capital and millionaires build multi-jurisdictional lives with the Emirates at the core.The wealth shiftThe shift is unmistakable in both capital flows and migration patterns. Greenfield foreign direct investment into the…

Dubai Aerospace Enterprise (DAE) is set to become one of the world’s largest aircraft leasing platforms after signing a definitive agreement to acquire Macquarie AirFinance in an all-cash transaction valued at about $7 billion, marking one of the most significant aviation finance deals of the year.The acquisition will create a combined fleet of 1,029 owned, managed and committed aircraft, serving 191 airline customers across 79 countries.  Narrow-body aircraft — the workhorses of global aviation — will account for about 70 per cent of the enlarged fleet, reflecting continued demand for fuel-efficient jets as airlines rebuild capacity and expand regional networks.The…