White House Economic Advisor Kevin Hassett Calls UAE an “Incredibly Valuable Ally,” Signals Treasury Secretary Scott Bessent Ready to Provide Support if Needed

Reflecto News – White House National Economic Council Director Kevin Hassett has publicly praised the United Arab Emirates as an “incredibly valuable ally” to the United States and indicated that Treasury Secretary Scott Bessent would “make every effort to help them out” should the ongoing regional conflict with Iran worsen the UAE’s economic outlook.

Speaking to CNBC, Hassett addressed concerns about the financial impact of Iran’s missile strikes on the UAE and the broader war, stating:

“The UAE has been an incredibly valuable ally throughout this effort, and I’m sure the Treasury secretary will make every effort to help them out, should that be necessary.”

He added that a formal currency-swap line would probably not be needed at this stage, but left the door open for other forms of U.S. financial or economic support if conditions deteriorate.

Background and Context

The UAE has faced direct Iranian missile and drone attacks during the recent escalation, causing damage to energy infrastructure (including parts of the Ras Laffan complex in Qatar and similar sites) and contributing to economic pressure across the Gulf. UAE officials have held discussions in Washington with U.S. Treasury and Federal Reserve counterparts about potential liquidity backstops and dollar access.

Hassett’s comments come as the two-week U.S.-Iran ceasefire remains fragile, with recent incidents including reported gunfire against merchant vessels near the Strait of Hormuz and ongoing disputes over the U.S. naval blockade.

The UAE, a key U.S. partner hosting major American military assets (including Al Udeid Air Base), has played an important role in regional stability efforts while managing the economic fallout from the conflict.

Strategic Significance

• For the UAE: Assurance of U.S. support helps stabilize investor confidence and provides a safety net against prolonged regional instability.
• For the U.S.: Reinforcing ties with a critical Gulf ally amid the Iran conflict, while protecting energy markets and supply chains.
• Broader implications: Signals Washington’s willingness to use financial tools to back key partners affected by the war, even as it maintains pressure on Iran.

No specific new mechanisms (such as a currency swap) were announced, but Hassett’s statement leaves flexibility for Treasury Secretary Bessent to act if the situation worsens.

Reflecto News will monitor any follow-up statements from the UAE, Treasury Department, or White House, as well as developments related to the U.S.-Iran ceasefire and regional economic stability.

Frequently Asked Questions (FAQs)

Q1: What did Kevin Hassett say about the UAE?
He described the UAE as “an incredibly valuable ally” and said Treasury Secretary Scott Bessent would make every effort to help if the Iran war worsens the UAE’s economic outlook.

Q2: Is the U.S. offering a currency swap or financial bailout?
Hassett indicated a currency-swap line would probably not be needed at this stage, but left open the possibility of other forms of support should circumstances require it.

Q3: Why is the UAE seeking U.S. support?
Iranian attacks have damaged infrastructure and created economic pressure. The UAE is exploring options to ensure dollar liquidity and financial stability amid the conflict.

Q4: How does this relate to the broader U.S.-Iran situation?
The comments come as the two-week ceasefire remains strained, with ongoing issues over the Strait of Hormuz and the U.S. naval blockade affecting Gulf economies.

Q5: What role has the UAE played in the conflict?
The UAE hosts important U.S. military facilities and has been directly impacted by Iranian strikes, making it a key partner in regional security and energy matters.

Q6: Has the UAE commented on Hassett’s remarks?
No immediate official reaction from Abu Dhabi has been reported, but the statement aligns with ongoing discussions between UAE and U.S. officials.

Q7: What could U.S. assistance look like?
Possible options include financial backstops, enhanced economic coordination, or other liquidity measures, though specifics would depend on evolving needs.

For the latest updates on U.S.-UAE relations, economic impacts of the Iran conflict, and regional diplomacy, follow Reflecto News — your source for accurate, timely reporting.