Observers have warned that Gulf states may be reviewing their investment strategies after bearing the brunt of Iran's attacks, while their oil and gas exports reel from its blockade of the Strait of Hormuz.

But the UAE's sovereign wealth funds, which manage more than two trillion dollars in assets, "continue to deploy that capital actively at home and abroad", Investment Minister Mohamed Alsuwaidi said.

"Our sovereign investors continue to operate with the same long-term mandate they have always held, a posture of steady, disciplined deployment," he added.

The war in the Middle East raised fresh speculation about investment priorities for the Gulf, a major source of capital for a range of industries including artificial intelligence.

Saudi Arabia's Public Investment Fund last week said it would stop funding the LIV Golf tour as it pares back a string of grandiose projects aimed at diversifying its oil-reliant economy.

The UAE has sought to reassure investors and boost its economy since a fragile ceasefire took hold last month.

The country exited OPEC as it seeks to boost oil production to finance investments in non-oil sectors including AI.

Industry and advanced technology minister Sultan Al Jaber insisted that "investing at home... is no longer an option... it is a priority" during a conference this week to kickstart the local economy.

The UAE, a staunch US ally and one of the few Arab states to recognise Israel, has been targeted by more than 2,800 missiles and drones during the war.

Although most attacks were intercepted, the war dented the Gulf's image as a haven of stability in a turbulent Middle East.

The UAE reported fresh Iranian drone and missile strikes this week as the US navy sought to reopen the Strait of Hormuz -- though Tehran denied resuming attacks.