Middle East and North Africa

United Arab Emirates
Last revised: 12 January 2009

Country information

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Country Map: United Arab Emirates

Full Country Name: United Arab Emirates
Area: 83,600 sq km
Population: 4.6 million (2005 census estimate)
Capital City: Abu Dhabi
People: Arab (55%), South Asian (28%), Iranian (8%), other expatriates (9%)
Languages: Arabic
Religion(s): Muslim (96%) Hindu (4%)
Currency: 1 UAE Dirham=100 fils
Major political parties: None
Government: Federation
Head of State: Sheikh Khalifa Bin Zayed al-Nahyan
Prime Minister/Premier: Sheikh Mohammed bin Rashid Al Maktoum
Foreign Minister: Sheikh Abdallah Bin Zayid Al Nahyan
Membership of international groups/organisations: Gulf Co-operation Council (GCC), Arab League, Organisation of the Islamic Conference (OIC), United Nations

ECONOMY

Basic Economic Facts

GDP: US$67.4bn
GDP per head: US$19,600
Annual Growth: 5%
Inflation: 2.7%
Major Industries: Oil, gas, Petrochemicals, manufacturing and construction
Major Trading Partners: UK, US, France, Italy, Japan, India, Singapore, South Korea
Aid & Development: None
Exchange Rate: Dh3.67=US$1

The UAE has one of the highest GNP's per head in the world. While still heavily dependent on revenues from hydrocarbons, the UAE is relatively well insulated from periods of low oil prices due to successful moves towards economic diversification, large foreign exchange reserves and overseas investments. The global economic crisis is being felt in the UAE with a number of projects being either shelved or cancelled. There have been redundancies across all sectors, and particularly in construction. The lack of funds and credit, while mild compared to Europe and the US is beginning to have an effect.

Abu Dhabi has approximately 10% of the world's proven oil reserves and 5% of the gas. The Emirate also has an impressive investment portfolio financed from oil income. Dubai is different. It has far more limited hydrocarbon reserves and therefore has a more diverse economy based on a vision of making Dubai the region’s business, logistics, media and leisure hub. The Northern Emirates fair less well, although Sharjah has established itself as a base for manufacturing. The Northern Emirates are, to a greater or lesser extent, reliant on Abu Dhabi and funds from the Federal Government.

HISTORY

Recent History

The UAE Federation was formed on 2 December 1971 as a fully independent state when the so called 'Trucial States' ended their individual treaty relationships with Britain. Shaikh Zayed bin Sultan Al Nahyan became the first President of the UAE until his death on 2 November 2004. His son Shaikh Khalifa Bin Zayed Al Nahyan was elected President on 4 November. Sheikh Sheikh Mohammed bin Rashid Al Maktoum became the UAE Vice President and Prime Minister and Ruler of Dubai following the death of his brother, Sheikh Maktoum in 2006.

Longer Historical Perspective

The earliest significant settlements in the area which now makes up the UAE date from the Bronze Age. During the Middle Ages they formed part of the Kingdom of Hormuz. European influence began with the Portuguese in the 16th century followed by the British in the 18th century. In 1892 the British signed a number of agreements with the ruling shaikhs in the region which led to the formation of the 'Trucial States'.

BBC News Country Timeline: United Arab Emirates

INTERNATIONAL RELATIONS

Relations with Iran have been soured by the dispute over the sovereignty of the three Abu Musa and Tunbs islands. The UAE takes a philosophical view about the need for reconciliation with Iraq partly because of concerns that a weakened Iraq encourages Iran's regional ambitions. The UAE strongly condemned the terrorist attacks in the USA in September 2001.

UAE'S Relations with the UK

Bilateral relations are good. The UAE is our largest export market in the Middle East for non-military goods. As many as 120,000 British nationals reside in the UAE and one million visit every year. Our Defence Cooperation Agreement represents our largest defence commitment outside NATO.

Cultural Relations with the UK

The British Council maintains offices in Abu Dhabi, Dubai and Sharjah.

British Council, UAE

Recent Visits

Outward

January 2008: HRH The Duke of York
October 2007: Lord West
June 2007: The Defence Secretary
June 2007: Alistair Darling, Trade Secretary
March 2007: Foreign Secretary
February 2007: HRH The Prince of Wales and Duchess of Cornwall
February 2007: The Lord Mayor
December 2006: The Prime Minister (Tony Blair)
December 2006: The Lord Mayor of London
December 2006: Tessa Jowell, Secretary of State for Culture, Media and Sport
November 2006: The Defence Secretary
November 2006: Ed Balls, Chief Secretary, HM Treasury
October 2006: Des Browne, Secretary of State for Defence
April 2006: Dr Howells, Minister of State, Foreign and Commonwealth Office
January 2006: Dr Howells, Minister of State, Foreign and Commonwealth Office & the Duke of Gloucester (Condolence visit)
February 2005: HRH The Duke of York
February 2005: Secretary of State for Defence
January 2005: Baroness Symons, Minister of State, Foreign and Commonwealth Office
November 2004: HRH The Prince of Wales, HRH The Duke of York, Secretary of State for Defence (Condolence visit)
April 2004: the Lord Mayor of London
March 2004: Secretary of State, Foreign and Commonwealth Office
November 2003: HRH The Duke of York
February 2003: Lord Mayor of London

Inward

November 2007: His Highness Sheikh Abdullah bin Zayed called on the Foreign Secretary
October 2007: His Highness Sheikh Mohammed bin Rashid Al Maktoum, UAE Vice President, Prime Minister and Ruler of Dubai met with the Prime Minister.
November 2006: His Highness Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi met with the Prime Minister.
March 2006: His Highness Sheikh Abdullah bin Zayed Al Nahyan, Foreign Minister met with the Foreign Secretary.
January 2006: His Highness Sheikh Mohammed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi met with the Prime Minister.
June 2003: His Highness Sheikh Khalifa bin Zayed Al Nahyan, Crown Prince of Abu Dhabi.

GEOGRAPHY

The UAE is a federation of seven autonomous Shaikhdoms with a total land area of 83,600 square kilometres. The seven emirates are Abu Dhabi, Dubai, Sharjah, Ras Al Khaimah, Fujairah, Umm al Qaiwan and Ajman. The total population is 3.48 million (85% of which is expatriate). The climate is dry sub tropical with hot summers (May to October) and high humidity near the coast.

TRADE AND INVESTMENT WITH THE UK

The UAE is our largest trading partner in the Middle East, and our 14th largest globally in terms of exports (£ 2.3 billion in 2007, though the latest figures, still pending are likely to be much higher). Main sectors of trade are telecommunications; power generating machinery and equipment, electrical goods, transport, office machinery and non-metallic mineral manufacture.

UK Trade & Investment Country Profile: UAE

POLITICS

The UAE's system of government is enshrined in the 1971 constitution. It consists of the Federal Supreme Council (consisting of the rulers of the seven Emirates), a President and Vice President (elected by the Supreme Council for a five year term), a Council of Ministers and a 40-strong Federal National Council (drawn from representatives of all seven Emirates). From the summer of 2006, half of the Federal National Council has beenelected.

HUMAN RIGHTS

The UAE has a relatively good human rights record. The UAE participated in the Universal Periodic Review (a process involving a review of the Human Rights record of each of the 192 UN member states every four years) in December 2008. Sharia law is not applied comprehensively and death sentences and amputations are rarely carried out. The practice of a wide range of religions is permitted. Women are not discriminated against in law but play a limited role in political and commercial decision-making. The UAE continues to moitor its labour laws in relation to migrant workers and domestic staff. One area where the UAE had been criticised was the use of children as camel jockeys. UAE legislation outlaws the use of children and the UAE authorities have worked closely with UNICEF on this issue.