Escalating Conflict Prompts Wealthy Investors to Withdraw Funds from Dubai
Recent Iranian missile and drone attacks on Dubai have triggered unprecedented panic among major investors. Several Asian entrepreneurs and wealthy individuals are now taking drastic measures by withdrawing their assets from the United Arab Emirates (UAE) to relocate them to safer financial centres such as Singapore and Hong Kong.
The tension began when two Indian entrepreneurs based in Dubai attempted to transfer over US$100,000 (IDR1.69 billion) each from their local bank accounts to Singapore immediately following the attacks. The transfers were initially hindered by technical disruptions following the strikes, though one entrepreneur ultimately succeeded in redirecting funds through another bank based in the Emirates.
“One of them said he managed to transfer that amount to his Singapore bank account via another bank based in the Emirates,” according to a report cited by Reuters on Monday (16 March 2026).
This is not an isolated case, as dozens of other wealthy Asian individuals are reported to be undertaking similar investigations to relocate their assets. Singapore-based private wealth lawyer Ryan Lin revealed that approximately six or seven of his 20 Dubai-based clients contacted him this week, with three planning to execute asset transfers immediately.
“One client is examining how quickly they can transfer everything to Singapore,” Lin stated.
Fears of prolonged conflict between the United States and Israel against Iran have damaged Dubai’s reputation as a safe haven for foreign capital. Iris Xu, principal at Anderson Global, a global fund services provider, noted a surge in requests from 10 to 20 family offices seeking to relocate assets back to Singapore from the Middle East.
“Dubai has always been about tax benefits, but I think tax benefits may no longer be a top priority for them,” Xu said.
This negative sentiment is also felt by wealth management advisers in Singapore who serve UAE-based clients. One adviser, who requested anonymity, stated that more than half of the 13 clients they contacted were seriously considering relocating their assets to avoid operational risks resulting from the conflict.
“Frequent travel will become a challenge even if the conflict ends tomorrow. This is a matter of trust,” the adviser said.
Grace Tang, CEO of Phillip Private Equity, also confirmed that her clients, predominantly Asian residents, feel anxious. Approximately 10 to 20 clients have enquired about wealth transfers to Singapore to safeguard their capital amid heightened geopolitical tensions.
“Our clients feel anxious, with 10 to 20 people asking about transferring their wealth to Singapore and seeking to preserve their capital,” Tang said.
Despite the trend of capital withdrawal, some figures in Dubai’s financial industry remain optimistic. Dhruba Jyoti Sengupta, CEO of WRISE Private Middle East, claimed that his organisation has not yet witnessed serious discussions about capital withdrawal, as clients still trust in the UAE’s long-term resilience.
“They are sophisticated global investors, already diversified internationally, yet investing heavily in the UAE’s growth story. Despite broader geopolitical turbulence in the region, clients feel safe and secure,” Sengupta explained.
The UAE government is also attempting to quell market concerns. Khaled Mohamed Balama, Governor of the UAE Central Bank, emphasised that the country’s banking and financial sector remains robust, strong, and stable in facing regional developments.
“The UAE’s banking and financial sector remains robust, strong, stable, and well-positioned to navigate regional developments. Banks, financial institutions, and insurance companies operate normally and without disruption,” Balama stated firmly.
In line with this, several major wealth managers such as Bank of Singapore and DBS Group stated that most clients remain in a watch-and-wait position. Jeremy Lim, co-founder of GrandWay Family Office, is even proceeding with plans to open an office in Abu Dhabi as long as the UAE does not become directly involved in the conflict.
“A true deal-breaker for business would be if the UAE becomes directly involved alongside one of the parties in the conflict,” Lim concluded.