With the Iran War underway, the United Arab Emirates is looking for some economic certainty. The rich Arab nation is home to a lot of foreign-held deposits, and they’re worried investors will pull those funds. So, they’re looking for an economic backstop. Enter: currency swap lines. Today, we explain why the UAE is looking to its close ally, the U.S., for a currency swap line and how it would work.The Indicator has a weekly newsletter! Be among the first to sign up now: npr.org/indicatornewsletter Related episodes: Where the US got $20B to bail out ArgentinaScott Bessent’s $20 billion dollar gamble on ArgentinaFor sponsor-free episodes of The Indicator from Planet Money, subscribe to Planet Money+ via Apple Podcasts or at plus.npr.org. Fact-checking by Sierra Juarez. Music by Drop Electric. Find us: TikTok, Instagram, Facebook, Newsletter.
Paddy Hirsch is an Editor at Kbbi. He covers a range of topics including business and economics, economic policy, and the global economy, with a particular focus on capital markets and regional economies. Paddy's work has been featured in various respected outlets such as NPR, WBUR, and Editor & Publisher Magazine.
