Middle East conflict impacts Gulf financial hub: Wall Street banks offer "evacuation options" for UAE employees

The military strikes by the United States and Israel against Iran have entered their tenth day, with both sides expanding their targets to civilian facilities. Multiple Gulf countries have reported new attacks and civilian casualties.

In this context, several major Wall Street banks have allowed their employees working in the UAE to temporarily leave the country and work remotely.

Sources revealed that Goldman Sachs, Morgan Stanley, Citigroup, and others have offered employees the option to temporarily relocate elsewhere. Consulting giant McKinsey has chartered flights to Turkey and allowed employees stationed in Dubai to leave in case of emergencies.

It is unclear how many have accepted these offers, but one bank stated that the number of people choosing to relocate is very limited. In many cases, employees can choose to work abroad, but the companies will not provide compensation for this move.

Even temporary relocations can be complex and involve tax issues. Some bankers may also need regulatory approval to work in foreign jurisdictions.

Sources said that at least some local companies are also offering similar flexible arrangements for employees, though some firms continue normal operations.

A Citigroup spokesperson told the media, “This is a troubling time for people across the Middle East. We will continue to take measures to support our colleagues and clients.”

He added that the company allows some Middle East-based employees to work remotely in other regions temporarily, while ensuring there are enough staff locally to serve clients.

In recent years, the UAE has gradually become a hub for hedge funds, private equity, and global banks. Institutions like Goldman Sachs have continuously expanded their teams locally, with some of the most senior bankers increasingly based in the region. Major consulting firms also view the Middle East as one of the most dynamic markets globally.

However, the scope of this conflict has almost exceeded all financial institutions’ expectations and has shattered the long-standing perception that this financial hub could avoid regional turmoil.

Earlier reports indicated that some organizations have begun reassessing their business continuity plans and remote work arrangements. Although the conflict may disrupt the inflow of wealthy individuals and businesses into the UAE, some investors and residents believe that the country’s robust infrastructure and governance will help it recover.

(Source: Cailian Press)