We would like to draw your urgent attention to recent developments affecting critical infrastructure in the region.

According to multiple sources, including Reuters and WSJ, Amazon Web Services (AWS) has confirmed a disruption of its Bahrain region following drone activity linked to the ongoing Iran-related escalation.

Key points:

– The AWS Bahrain region has been disrupted for the second time this month due to regional hostilities;

– The disruption is linked to drone activity impacting or occurring near critical infrastructure, with no confirmed timeline for full recovery;

– AWS is advising customers to migrate workloads to alternative regions to ensure continuity;

– Earlier incidents this month reportedly caused power outages and structural damage to infrastructure in the Gulf.

Potential Impact: 

– Risk of service disruptions for cloud-dependent businesses (including banks, fintech companies, and trading platforms);

– Possible data accessibility issues and increased latency;

– Elevated operational and regulatory risks, particularly for licensed entities where business continuity is critical;

– Potential banking and compliance risks if systems become temporarily unavailable.

Recommended Immediate Actions

– If you are a bank customer contact your bank relationship manager and confirm the possibility of processing transactions manually (in case of system disruptions);

– If you are a company owner or director contact your CSP (Company Service Provider) and confirm the possibility of processing any type of the corporate requests with the FreeZones on the manual basis (in case of portals disruptions);

– Clarify any available alternative channels for executing payments;

– If transactions cannot be processed, consider transferring funds to accounts in other jurisdictions;

– Assess the current availability of your systems and any business-critical services.

If you have any questions or require a consultation, please contact us.

Ilia Maslov

Head of CSP

i.maslov@ucl.ae

Eleonora Tsargush

Senior Manager, Global Banking, CSP

e.tsargush@ucl.ae