The financial shock from the Iran war, with its disruptions of oil shipping and global trade, is leading at least three Gulf states to review how their sovereign wealth funds are managing trillions of dollars in global investments.

The reassessments could lead to measures such as delaying some overseas investments, reassessing sponsorship commitments and potentially selling government assets in order to relieve pressure on their economies, Reuters reports, citing an unnamed Gulf official.

The individual sovereign funds were not identified by the news agency, which said three of the four largest economies in the Gulf – which are Saudi Arabia, the UAE, Qatar and Kuwait – were formally conducting the reviews.

Saudi Arabia’s Public Investment Fund, Abu Dhabi’s Mubadala, the Qatar Investment Authority and Kuwait Investment Authority are continuing to pursue international deals, while their governments decide whether spending priorities or the pace of investments should be adjusted as the crisis unfolds, Reuters said.

Meanwhile, Saudi Arabia’s $38 billion push to build a global video-game industry is facing new uncertainty as the Iran war raises security concerns that could deter foreign developers, investors and esports events the kingdom hopes to attract, Bloomberg reports.

The initiative, led by the PIF’s Savvy Games Group as part of the kingdom’s economic diversification strategy, depends heavily on international partnerships that could slow if regional instability persists.

The nuclear industry could benefit from the current bout of global energy insecurity as attacks on three more cargo ships in the Gulf push oil prices toward $100.

Boris Schucht, CEO of uranium enrichment company Urenco, told the Financial Times that a “nuclear renaissance” is underway, with the company holding a record $21.3 billion order book for uranium and fuel products.

“The supply crisis in the Middle East will refocus policymakers and industry on energy security and the need to have some form of baseload power in countries that is independent from supply threats,” Schucht said.

Analysts say the crisis is prompting governments from Europe to Japan to accelerate nuclear plans, while European Commission President Ursula von der Leyen called the continent’s earlier retreat from nuclear power a “strategic mistake.”

Governments around the world are scrambling to contain the escalating shock to energy markets from the Iran war, with oil traders tracking disruptions to Gulf exports and tanker traffic as officials weigh emergency measures to stabilize supplies.

Officials from the International Energy Agency are discussing what could be the largest coordinated release of strategic oil reserves in history – about 300 million to 400 million barrels – far exceeding the 182 million barrels released in 2022 after Russia’s invasion of Ukraine, Bloomberg reports.

Saudi Arabia, the UAE and other Gulf producers are assessing how much crude they can continue exporting as tanker insurers and shipping companies review the risks of operating in the region.

Many cargoes have been delayed and freight rates for vessels willing to enter the Gulf have surged as the conflict intensifies.

At the same time, officials are studying whether alternative routes – including Saudi pipelines that bypass the Strait of Hormuz and export terminals on the Red Sea – can help keep oil moving if shipping disruptions worsen, The Wall Street Journal reports.

The U.S. and its allies are also discussing naval measures to safeguard commercial traffic through the Gulf.

Energy traders say the combination of possible supply outages, tanker disruptions and a record emergency stockpile release has turned the oil market into a day-to-day calculation of how quickly governments can offset the barrels at risk from the conflict.

It’s not just oil. War with Iran is also making a range of chemicals critical for food production more expensive, including fertilizer components like urea and ammonia, Bloomberg reports.

The Middle East is the source of some 45% of the global urea supplies, which cannot be stored for long periods.

That means logistical disruptions such as the shutdown of the Strait of Hormuz can quickly tighten the market and send prices soaring.

Western sanctions have curtailed imports of Russian fertilizers, while China has imposed export restrictions to protect domestic demand and support its farming sector, the news agency said. 

Saudi Arabia’s ambition to build the world’s biggest urban park has received a $3.8 billion vote of confidence from foreign investors.

The King Salman Park Foundation said on Tuesday that the new funds raise the total investment in the Riyadh mega-project to more than $5.3 billion.

The development, launched in 2019 under Saudi Crown Prince Mohammed bin Salman’s Vision 2030 economic overhaul plan, calls for construction of offices, homes, hotels, schools and shopping centers within the 17 square-kilometer (6.6 square-mile) metropolitan oasis, along with the planting of more than 1 million trees.

“Securing investment of this scale, supported by international capital and expertise, is an important milestone,” the foundation’s CEO George Tanasijevich said. 

About 1,000 vessels carrying roughly 20,000 crew members are unable to pass through the Strait of Hormuz amid fears of Iranian attacks, cutting traffic by nearly 90%.

The International Maritime Organization says many of the ships are idling near the narrow waterway, while 2,474 vessels, including 178 oil tankers, have remained in the Gulf waters since March 5.

IMO Secretary-General Arsenio Dominguez expressed “grave concern” after recent attacks killed at least seven seafarers and called on operators to exercise “maximum caution.”

Roughly 20% of the world’s oil is transported through the Strait of Hormuz.

Saudi Aramco CEO Amin Nasser warned that the global energy industry is headed for disaster if conflict with Iran continues and the Strait of Hormuz is shut down.

“There would be catastrophic consequences for the world’s oil markets,” Nasser told reporters on an earnings call today after Aramco reported a 12% drop in 2025 annual profit. “The longer the disruption goes on,” he said, “the more drastic the consequences for the global economy.”

To protect its oil tankers from the threat of Iranian attacks, Aramco has stopped loading crude from Gulf terminals and is redirecting shipments through its East-West pipeline to the Red Sea port of Yanbu, Reuters reports.

The conflict briefly pushed Brent crude to a near four-year high of $120 a barrel on Monday before retreating to $85 today – which is up from $66 in mid-February. Insurers, shipping companies and airlines are making contingency plans for wider disruptions to global supply chains.

Iranian leaders have said no oil will leave the Middle East if U.S. and Israeli attacks continue, prompting a warning ‌from President Donald Trump that the U.S. would hit Iran ⁠much harder if it continues to block exports through Hormuz.

Saudi Arabia, the UAE, Qatar and other energy producers are raising prices to the highest levels since 2022 as the expanding conflict with Iran rattles global energy markets and disrupts shipping routes in the Gulf.

Brent crude surged during trading to around $119 a barrel, its highest level since mid-2022, amid growing fears that supplies from the Middle East could be cut off.

Natural-gas markets are also tightening as producers halt operations and traders scramble to secure alternative supplies.

The war could leave consumers and businesses worldwide facing months of higher fuel prices even if the conflict ends quickly, as suppliers grapple with damaged facilities, disrupted logistics and elevated risks to shipping, Reuters reports.

The U.S., France and other major consuming countries are discussing releasing strategic reserves while energy companies reassess shipments as the Strait of Hormuz – a key route for global oil and LNG – is effectively shut to normal traffic.

The turmoil is already spreading across global markets, forcing airlines, shipping firms and manufacturers to prepare for prolonged energy disruptions.