US Treasury Secretary Scott Bessent has claimed that several Gulf allied countries have requested currency swap arrangements with the United States to support financial stability.
Speaking during a US Senate hearing, Bessent stated that the United Arab Emirates is among the countries that have shown interest in such financial arrangements.
Currency swap agreements typically allow countries to temporarily access US dollars in exchange for their own currency, helping stabilize liquidity in global markets.
According to Bessent, these arrangements also help prevent the disorderly sale of foreign assets by allied nations during periods of financial pressure.
He explained that under such agreements, the United States provides temporary dollar liquidity while receiving the partner country’s local currency as collateral.
The Treasury Secretary emphasized that such mechanisms are designed to maintain stability in the global financial system and support economic cooperation between allied nations.
Meanwhile, separate statements from UAE officials have previously indicated that the country maintains strong financial reserves and does not require external financial assistance.
