Dubai was once one of the Iran’s gate to the outside world and one of the biggest business center for Iranians, but the international sanctions against Tehran caused a sharp decrease in the business scales the two countries used to have, Reuters reported.
“Banks in the United Arab Emirates, including in Dubai, have become more reluctant to work with Iranians for fear of exposing themselves to U.S. legal action. And the rial’s nearly 70 percent fall against the U.S. dollar this year has made business with Iran risky,” the report published on Monday.
The situation is even riskier for the small-scale Iranian business to survive in Dubai.
According to the report, thousands of Iranian faced problems doing business in Dubai, with many of them already closed down their shops and restaurants.
“Two-way trade between Iran and the UAE shrank to $1.75 billion in July from $2.49 billion last December. In 2014, at the height of the previous sanctions period, monthly trade averaged $1.92 billion,” added the report.
US president Donald Trump pulled out of the 2015 Iran Nuclear deal in May, called the deal “worst ever” agreement, which was signed during Barak Obama’s administration.
As a consequence, the international sanctions hit Tehran once again. According to US officials the new wave of sanctions are the toughest imposed by Americans against a country.
