OREANDA-NEWS  The United Arab Emirates (UAE) has announced that it is severing all economic relations with Iran after its territory was shelled by ballistic missiles. This was reported by Bloomberg.

Justifying the decision, Abu Dhabi announced an escalation that undermines regional and international peace and security. In turn, Iran denies its involvement in the shelling of the UAE territory.

The agency recalled that due to geographical proximity and deep historical ties, the UAE and Iran have maintained close trade ties for many generations. The UAE has been Iran's main trading partner in recent years, and Tehran relies on this relationship for access to foreign goods and hard currency.

Earlier it was reported that the official representative of the Iranian Foreign Ministry, Ismail Bagai, categorically denied the accusations of the United Arab Emirates that Iran launched missiles at their territory.