Indian expats worried as West Asian conflict shatters Gulf’s safe haven image

More than 9 million Indian expatriates live in West Asia, accounting for the second-largest share of remittances to India. But Iran's strikes on American bases in the UAE, Bahrain, Saudi Arabia and other regional countries have dented confidence. NewsIndian expats worried as West Asian conflict shatters Gulf’s safe haven image Devina Sengupta, Soumya Gupta6 min read4 Mar 2026, 05:50 AM ISTMore than 9 million Indians work in West Asia, and for the first time, Indian companies with employees in the region have to plan for their safety.(AP)SummaryMore than 9 million Indian expatriates live in West Asia, accounting for the second-largest share of remittances to India. But Iran's strikes on American bases in the UAE, Bahrain, Saudi Arabia and other regional countries have dented confidence. In 2016, Pranav Doshi, then an executive with the Canadian consulate, decided to move 2,000 kilometres away from their home in Mumbai. Doshi’s wife was given an option to choose between Unilever Plc’s London and Dubai offices, and she picked the largest city in the United Arab Emirates. “We selected Dubai because we had a young child, and wanted family support; that was not possible in London,” said Doshi, 47. “Our parents could come and go, childcare was better in Dubai, and there was never any identity crisis.”As Doshi spoke over the phone on Monday, everything appeared calm. But just the day before, five Iranian drones had dropped near his home. Doshi’s wife is now a marketing consultant, and he works as a director for Advanced Business Event, which organises global aerospace and defence conferences and summits. “If I were to be given a choice between London and Dubai today, I would take some time to think it over,” Doshi said. “Brand Dubai has definitely taken a hit. This was a safe haven where all wanted to invest, but now that sentiment, along with property prices, will be impacted.”A destination attracting top CEOs and migrant workers, offering the chance to earn a higher income and a better lifestyle, the Gulf Cooperation Council’s (GCC) image as a provider of a safe and stable business environment has come under attack. Iran’s retaliation to the joint strikes by the US and Israel has engulfed most of the region, including the UAE, Bahrain, Kuwait, Oman, Qatar, and Saudi Arabia.More than 9 million Indians work in West Asia, and for the first time, Indian companies with employees in the region have to plan for their safety. Domestic firms, including Tata Consultancy Services Ltd, KEC International Ltd, Larsen and Toubro Ltd, Afcons Infrastructure Ltd, and Adani Ports & SEZ Ltd, have been monitoring the situation, Mint reported on Monday.Also Read | Gulf states in race against time to repel Iran’s counterattackDubai, in particular, has attracted expats with its real estate, with sales and residential prices surging amid strong global investor demand. In 2025, the UAE led with a net gain of 9,800 millionaires, reinforcing the appeal of low taxes, luxurious living, and economic openness.But top developers in Dubai and Ras Al Khaimah (RAK) now fear near-term impacts across property sales and transactions, investments, and construction as the West Asian conflict spiralled, Mint reported on Monday.“The way all of these countries have built their brands—with initiatives such as Qatar hosting the World Cup—has made everybody feel across the world that these places are like paradise in the Middle East," Prashanth Challapalli, an advertising and marketing veteran, told Mint. “Taxes there are very low, the lifestyle is fantastic, and these places have become a centre of the world because you can go to any major city very quickly. Just look at the number of millionaires from India who are settling in Dubai and Singapore; it is in the thousands.”Celebrity destinationCities like Dubai and Abu Dhabi have been aggressively marketing themselves to wealthy Indians. In 2022, Dubai launched an ad campaign highlighting the city's delights and futuristic amenities, starring Bollywood superstar Shah Rukh Khan. Last year, Dubai's tourism authority launched a series of ads starring the cricketer-actor couple Virat Kohli and Anushka Sharma showcasing experiences in the city, including parasailing and bonfires by the beach.Similarly, Abu Dhabi's tourism authority has also been running ad campaigns starring the actor couple Ranveer Singh and Deepika Padukone. Last year, they starred in a series of ad films showcasing the city’s historical and natural beauty."Virat-Anushka appeal to the Indian diaspora, while Ranveer-Deepika have never really crossed over to the West," Challapalli said, adding that both couples represent a form of self-made success that is popular among the milieu that these Gulf cities are targeting for tourism and business.To be sure, the UAE is India’s second-largest source of remittances, accounting for a 19.2% share as of FY24, having slipped from the top slot it held until FY17 with 22.9%. The US ranks first in FY24, accounting for 27.7% of inward flows. Saudi Arabia and Kuwait rank lower.Also Read | Gulf tensions may push India’s fertilizer subsidy bill higherMore than 3.5 million Indians live in the UAE alone, accounting for the country’s second-largest diaspora, a