Dubai will provide economic incentives worth more than $400 million, authorities say, as businesses struggle to cope with the aftermath of the Middle East war and Iran’s blockade in the Strait of Hormuz, AFP reports.

Authorities approved “a second package of economic incentives valued at AED 1.5 billion ($408m)”, the Dubai government’s media office says in a post on X.

The incentives include exemptions from municipal fees for hotels and restaurants, reduced fines for customs violations and lower fees for civil aviation permits.

“The new package brings the total value of incentives introduced in under two months to AED 2.5bn ($680m),” the office adds.

The United Arab Emirates bore the brunt of Iran’s attacks during the war, as Tehran unleashed drones and missiles across the Gulf in response to US and Israeli strikes.