Gulf States in March 2026: the most important developments in economy
The economy of the Gulf states in March 2026 was shaped by the war involving Iran, which began with strikes on Iran on 1 March. Air travel across the region was severely disrupted: airspace closed, Emirates suspended operations and the UAE shut its stock markets for two days. Dubai's airports partially reopened on 2 March for limited, mainly repatriation flights, and Emirates, Etihad and Qatar Airways then ran reduced schedules while thousands of travellers remained stranded. On 16 March Dubai International suspended all flights again after a drone attack and fuel fire, and by 17 March British Airways and other carriers had suspended routes until summer.
Oil prices rose about 10% on 1 March, passed $90 by 6 March and topped $100 on 8 March. Iran said it had closed the Strait of Hormuz, and shipping there nearly halted. Bahrain's Bapco Energies declared force majeure on 9 March after an attack on its Sitra refinery, which it attributed to Iran, and Kuwait cut production. Saudi Arabia diverted exports through the Red Sea, where shipments reached record levels, and the International Energy Agency announced a record 400-million-barrel emergency release. Loading at the UAE port of Fujairah was suspended after a drone attack on 14 March and restarted the next day. Iran later imposed fees on ships in the strait, which the Gulf Cooperation Council called illegal. Prices briefly exceeded $119, fell below $100 on 25 March amid ceasefire hopes, and reached record monthly highs by 30 March.
Qatar halted liquefied natural gas production on 2 March after an Iranian drone attack, and Shell, TotalEnergies and other buyers declared force majeure on 11 March. Iranian attacks later damaged the Ras Laffan gas facility, with reports that exports could be disrupted for years; European gas prices rose 35%. Aluminium hit a four-year high, and Bahrain's Alba smelter cut 19% of its capacity.
In the UAE, food prices rose and gold prices swung, while developers said Dubai property remained stable. Drone strikes damaged Amazon data centres in the UAE and Bahrain.
by WorldBrief & Maksim Micheliov | AI-generated summary
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