Gulf monarchies face a dilemma after Iran’s retaliation attacks target them
A building being struck by an Iranian drone strike in Manama, capital city of the Kingdom of Bahrain, on February 28, 2026. REUTERS The image of Gulf countries as havens of peace and prosperity amid the tumultuous Middle East has now been abruptly shattered. On Saturday, February 28, drone strikes hit Dubai’s luxury hotels and international airport; Kuwait City’s airport; residential buildings in Manama, the capital of Bahrain; the port of Duqm in the Sultanate of Oman; and an oil tanker off its coast on Sunday. Images of these attacks have since quickly spread across the internet. These Iranian attacks have not only targeted United States military bases in Saudi Arabia, Bahrain, the United Arab Emirates (UAE), Kuwait and Qatar. But they also threaten to paralyze the broader economy in the Gulf region, as a hub for air traffic between Europe, Asia and Africa; a global finance center; and an emerging tourist destination. The scenario the Gulf monarchies had feared most, being drawn into a war between Iran, Israel and the US, has now become …








