Business executives are developing contingency plans as a rivalry between Saudi Arabia and the UAE intensifies, potentially leading to an economic conflict. Global investment banks are reportedly concerned about having to choose sides between Abu Dhabi and Riyadh. Some companies are preparing for separate logistics operations and scrutinizing contracts for clauses like force majeure, while also assessing local relationships that could lead to repercussions from either Gulf state. The competition extends to geopolitical hotspots and economic ambitions, with Saudi Arabia aiming to position Riyadh as a regional business hub against Dubai. The UAE's decision to leave the Saudi-led OPEC alliance and boost oil production has also created friction. Reports indicate significant delays at the UAE-Saudi border crossings, with truck drivers facing extended waits. Furthermore, payments from Saudi banks to UAE-based entities have been returned or held up since May without clear explanations. Law firms are becoming more selective in their work to avoid antagonizing either nation, and some investment funds are being restricted to investing solely within Saudi Arabia, excluding the UAE.
