Abu Dhabi Crown Prince leads $300B fund to bypass Strait of Hormuz

Sheikh Khaled bin Mohamed Al Nahyan, the Crown Prince of Abu Dhabi, is leading a $300 billion sovereign wealth fund initiative known as ‘Ormuz Zero’. The strategy aims to reduce the region's reliance on the Strait of Hormuz, a critical waterway that has faced blockades by Iran.

As part of this effort, L’imad Holding, a fund controlled by the prince, has announced plans to take Abu Dhabi Ports Co. private in a deal valuing the company at nearly $9 billion. The fund is expected to invest tens of billions of dollars into new port projects and infrastructure located outside the area affected by the strait.

In addition to infrastructure, the prince is playing an increasing diplomatic role, recently meeting with Iranian President Masoud Pezeshkian. The broader strategy includes partnerships with entities such as BlackRock, Temasek Holdings, and Abu Dhabi National Oil Co. (Adnoc) to direct up to $30 billion toward energy transport, logistics, and water resources. Adnoc is also constructing a second pipeline to double export capacity via Fujairah, a city situated outside the Strait of Hormuz.