Citibank closes most UAE branches temporarily as banks evacuate offices in region

Citibank will close most of its branches and financial centres in the United Arab Emirates through March 14 as a precautionary measure, the bank’s website showed on Thursday, following a wave of banks sending staff home as the Middle East conflict deepens.

The U.S. bank’s branch in the Mall of the Emirates in central Dubai is exempted from the closure, the bank said, adding it plans to reopen all affected branches on March 16.

The measures are the latest sign of growing concern among banks after Iran threatened Gulf banking ​interests linked to the U.S. ‌and Israel.

The U.S.-Israeli war on Iran, which started almost two weeks ago, has so far killed around 2,000 people and thrown global energy markets and transport into chaos. The conflict has spread across the Middle East with Iranian strikes against Israel, U.S. bases and Gulf states.

Earlier this week, Citi told its staff to evacuate offices in the Dubai International Financial Centre (DIFC) and Dubai’s Oud Metha neighbourhood, telling them to work from home until further notice.

HSBC another major global bank, has closed all branches in Qatar until further notice, according to a customer notice, saying the measure was to ensure the safety of staff and customers.

The war in the region has dented Dubai’s sales pitch to international businesses as the region’s most reliable economic hub, prompting concerns of capital flight, layoffs and firms relocating elsewhere, Reuters reported last week.

Citiphone banking service in the UAE was currently operating at a limited capacity and the processing of cheques would experience delays, Citibank added in the statement posted on its website.