At last report (Feb 2026) the UAE had ~$250b in foreign currency reserves. They have plenty of non-AED currency.

The Yuan is the current bogeyman the Gulf States use when they want attention from the US (not that they’re not diversifying, just that it isn’t a structural shift in a meaningful way). The UAE is making this play right now to make sure they are part of the conversation in deciding how things with Iran end and making sure their influence is sustained after the current administration.

The wealth fund is a way to deploy whatever yuan they receive while gaining political favor with China as well.