Gulf Conflict Ripples: Indian Workers Caught in Crossfire as Iran Strikes Back

Image Source: Internet

The escalating conflict between the US and Iran has sent shockwaves across the Middle East, with devastating consequences for Indian workers living and working in the United Arab Emirates. As tensions rise, thousands of Indians in the UAE are facing uncertainty and fear, with many left stranded and in need of evacuation. According to official estimates, over 4.3 million Indians live and work in the UAE, making up nearly 38% of the country's population. They are concentrated in key sectors such as construction, retail, hospitality, and logistics, which are among the first to be affected by a war. The Indian government has launched 'special flights' to evacuate stranded nationals, but the impact of the conflict is already being felt. Remittances from the UAE, which account for a fifth of India's total inward remittances, are at risk of being disrupted. The Reserve Bank of India estimates that the UAE contributes around $23 billion to India's remittance receipts, which stood at $119 billion in 2023-24. Experts warn that the conflict could lead to a rise in oil prices, increasing the import bill and stoking inflation. Biswajit Dhar, Distinguished Professor at the Council for Social Development, told news agency PTI that remittances could be severely impacted if the conflict continues, squeezing Indian households from both ends. The Indian government has condemned the attacks on the UAE and expressed solidarity with the country's President. External Affairs Minister S Jaishankar has reached out to foreign ministers of key Gulf countries and urged all sides to exercise restraint and prioritize civilian safety. India has also issued advisories for its nationals in Iran, Israel, Jordan, Qatar, and Palestinian territories to exercise utmost caution. Opposition parties have criticized the government's response, with Congress general secretary Jairam Ramesh calling it a 'betrayal of India's values, principles, and interests.' As the situation unfolds, Indian workers in the UAE are left to navigate the uncertainty, relying on their remittance lifeline to support their families back home.