United Arab Emirates (UAE) is well known for being one of the wealthiest countries in the world. Their wealth only partly contributed to developing their economy, society, and military, but their culture still mainly comes from their government and geography. With the majority of their population concentrated on the coast, UAE has a history of trading and interacting with other countries that helped evolve their society to what it is today. Since the beginning of their oil industry, UAE’s economy has dramatically changed and they are continuously looking for other sources of income to avoid solely depending on the oil revenue. UAE has established itself as a loyal ally to the United States with its military coalition actions. As …show more content…
For example when the president selects a new prime minister, the supreme council has to approve that candidate. When there is new proposed legislation it has to be examined by the Supreme Council, Council of Ministers (also known as the cabinets), and the Federal Nation Council to ensure that it is approved by all of the parties. UAE’s government has been the foundation to their economic success. For many years, the Emiratis economy depended mainly on fishing and pearl diving. It was not until they began looking into oil production that the economy’s growth “… was hugely accelerated by the discovery and export of oil in 1962. So much so that lifestyles in the Emirates today bear little or no resemblance to those of 50 years ago.” (“UAE Culture & Heritage,” 2017). Now the UAE is one of the largest petroleum and natural gas producers in the world. Their revenue allowed them to improve their cities infrastructures. It wasn’t until 2008 and 2009 when oil prices dropped causing a crisis in real estate and international banking that had a tremendous impact on UAE’s economy. Since then UAE’s government has increased spending on job creations and infrastructure to provide the country with more than one source of income and to avoid an economic disaster. Many people from across the world come to visit UAE’s beautiful tourist attraction, and now tourism is their country’s largest revenue. As a
Persian Gulf Development Literature Oil Curse Literature Arab and Islamic Factors Regional Ovemiew and Historical Background Dubai's Development History
By the beginning of the second Millennium, many countries realized the need and necessity to cope up with the rest of the rapidly developing world. As they realized this necessity, they also realized that the key to growth and development is, indeed, education. As a result, many countries around the world entered the heated race of reforming their education systems hoping that this would ensure them a foothold in the modern world.
In 1997 the sales of natural gas surged in 1997 as one of Qatar’s North Field came on line (Beard, p. 18). This specific event contributed to a total GDP of approximately 30% (Beard, p. 18). Further development in 04’ can be directly attributed to transportation, storage, hotels, bank and finance and government. Again, Qatar’s reinvestment in their community enables them to function and thrive even with any imbalances in the gas and oil industry that many other countries base their entire GDP to. Further growth was seen through Qatar’s history though. Specifically, in 2008, Qatar’s capital was believed to have peaked. Further contributing factors are the positive traits that coincided not only with the factors that enabled them to grow not only in the hydrocarbon sector nonetheless the non-hydrocarbon sector as well. The labor growth within Qatar has indefinitely increase. Specifically, many workers have migrated from one sector of growth to the other. The IMF stated that, “Qatar’s population rose from approximately 650 000 in 2001 to 1.9 million in 2013. The employment-to-population ratio rose from 48 percent in 2001 to 68 percent in 2007 and more than 85 percent in 2013. As a result, growth in GDP per worker has been slower than growth in GDP per population (Table 1). This is illustrated in the case of the non-hydrocarbon sector, which appears to be growing fast in per-capita terms but not in per-worker terms” (Beard, p. 20). However, with this population increase occurring, production by these workers lacked. IMF found that this production was in decline from 01’ through 09’, but then elevated in 12’ with a slight decline yet again in 2013. This may only be explained by the shift of labor to the construction sector of the
It started back in 1980 when President Carter determined UAE to be a viable asset by stating this in the “Carter Doctrine”, “…an attempt by any outside force to gain control of the ...[Arabian] Gulf region will be regarded as an assault on the vital interests of the United States of America, and such an assault will be repelled by any means necessary, including military force.” (uae-embassy.org, n.d.). In mid-1990, when Iraq invaded Kuwait, not only did UAE help fund the war for America, they also sent approximately 2,000 of their own troops to help fight the Iraqis in Operation Desert Storm. In Abu Dhabi, the first used United States Air Force base was opened to mainly provide refuel missions for US aircraft during the war, and is still utilized by US forces today. Also, a couple years later the US and UAE signs the defense pact, which allowed US forces to utilize UAE’s ports. One specifically in Dubai, Ali Port, is crucial to the US Navy due to the fact that it is the only port on the Gulf that is deep enough to be used for an aircraft carrier. Since 1992, UAE has been the largest manufacturer of US military equipment, investing over $360 million in defense gear for the American troops. As we move forward in time, lets take a look at the acts that hit closer to home. When we were attacked by arguably the most malicious terrorist attacks on American soil on September 11, 2001, UAE immediately froze all bank accounts to anyone suspected of funding terrorism, and instantaneously confronted Al Qaeda and the Taliban Regime. Only four short years later, the American people were hit by another catastrophic event, Hurricane Katrina. When the US was trying to regroup, UAE invested $215 million into the aid of people impacted by the event. The most important fact to date, is when UAE requested and the US approved to sell $15 billion in defense equipment to include the
But there’s more to Dubai than simply oil revenue. The westernisation of the emirate’s economy has created much diversification. Today’s new arrivals are as likely to find themselves employed in tourism, financial services or real estate as in energy or construction. They
The UAE has a federal constitution that divides power between the federal government (based in Abu Dhabi) and the governments of the constituent Emirates. However, throughout the Emirates, if a foreign company or investor wishes to establish a presence in the UAE they will be required to have a UAE national. A UAE national is another term for an agent, partner or sponsor who will counsel and guide them in while in the country. The UAE is an active member of the United Nations, the Organizations of the Islamic Conference (OIC), the Arab League, and the Arab Gulf Cooperation Council (AGCC).
Most countries affected by the civil wars have been cut off from any regional connections therefore they weren’t able to attract many of their regular customers. The UAE has taken that to their advantage by reeling in the customers who would normally shop in Egypt, Syria, Tunisia, Libya and Yemen and give them the opportunity to shop in places in the UAE instead of in a dangerous country. This has led to a 10% rise in spending by shoppers affected by the Arab Spring. The United Arab Emirates is known as a modern country with a stable government system that the public seems to respect. Governments from different countries such as Syria have shut down Internet and power connections to avoid the world to see the troublesome county. Because of these barricades, countries such as the United States and England have been keeping a close eye, especially since they cannot export and import products between countries. Perhaps the Middle East would’ve been better off without the Arab Spring.
It elects from among its members a president and vice-president. The president appoints a Prime Minister to head the Council of Ministers. The legislature is the Federal National Council, whose 40 members are appointed by their respective emirs (Grolier). Within the military branches, Army, Navy, Air Force, and paramilitary (including Federal Police Force). The armed services have a total male population of about 425,000 (http//) [get reference from Sandy].
The economy in the United Arab Emirates has experienced substantial increases in the last 40 years. The UAE’s capabilities with the pearling and oil industries have given the region its necessary budgets to expand so rapidly. The economic policies in the UAE have gone through stages, since the birth of the region in 1971. Changes in economic welfare of the markets, and privatization policies are also key aspects in understanding the UAE’s economic liberalization and growth. In order to understand the UAE’s economic standard, economic liberalization must be analyzed. The argument of this paper will discuss how economic liberalization has occurred in the United Arab Emirates and is continuing to grow.
“The UAE is considered one of the least corrupt countries in the Middle East” (Freedom House, 2015), and the government have taken steps recently to increase the efficiency and modernize the bureaucracy. Citizens are limited to express their interests but only through the traditional counseling sessions offered. The constitution allows for some freedom of expression, however, the government controls this right. Yet, “those holding power in resource-abundant countries—typically politicians or bureaucrats—take personal advantage of natural resource wealth” (Paul Stevens, 2007) and in society, a small group usually from the loyal families holds all the power. “They engage in rent seeking and corrupt political and business practices and thus rob their countries of the opportunities that resource wealth could provide” (Paul Stevens, 2007). Therefore, it is considered “one of the least corrupt countries” because it coopts, or wins over its citizens by providing unlimited healthcare, education, and many other benefits, so they cannot complain about limited liberties and
Saudi Arabia is considered to be UAE’s most important neighbor. It is the largest neighbor in terms of economy, geographical size and population. KSA’s gross domestic product (GDP) in 2007 was $ 376 billion while UAE’s GDP was $193 billion [1]. Both UAE and KSA are oil-producing countries, which implies that the exports and imports commodities are not crude oil. However, UAE imports refined petrochemicals and plastics, which are considered to be the downstream product of crude oil. Other commodities the UAE imports are steel, cement, fertilizers and foodstuff. On the other hand, UAE exports to Saudi Arabia are re-exports goods such as cars and electrical commodities. In fact, UAE is the third most important re-export
The UAE has become one of the most important models of political stability when there are some nations in the region are suffering from unrest even when there is a presence of a large foreign community in the country. This political stability helped the BMW company to grow with minimal political tension and not having that much of risks in the market. (Opportunities)
Moreover, the election that Gargash planned was a significant representation of the UAE following in the footsteps of other Gulf countries that had introduced an electoral process to its political system. Due to Gargash infusing his confidence in his leadership style, he has earned the reputation of a respected intellectual responsible for helping the UAE move toward popular representation in government and an advocate of greater political participation for the FNC. As a result, the general perception regarding the elections has been enhanced which will support the FNC in moving towards a more crucial political role. Furthermore, Gargash is both, confident in and committed to, increasing the involvement of the people in the nation’s affairs, specifically the elections. However, he is also confident in the government’s gradualist approach that justifies the limited scope of these elections.
The military of the UAE has grown exponentially in size and spending and nearly doubled their defense budget in the last decade. In recent years, they have gone from an unsociable military to one that is considering creating a coalition against Islamist terrorist groups with Egypt, Saudi Arabia, and Kuwait. They assisted in the overthrow of Libyan dictator Muammar Gaddafi back in 2011. The UAE has utilized the U.S. in the importation of F-16 and F-35 fighter jets as well as their own PATRIOT and Terminal High Area Air Defense (THAAD) air and missile defense systems. Currently, the U.A.E. is the third largest defense importer in the world. (Rosen 2014) Furthermore, they are combating the fight against the spread of ISIS with bombing efforts along with the U.S and Australian fighter pilots. Exercises,
UAE is located at the southeast end of the Arabian Peninsula on the Arabian Gulf sometimes referred to as Persian Gulf, bordering Oman , and Saudi Arabia to the south, sharing sea borders with Qatar and Iran (CIA World Factbook). The population is estimated to be 9.446 million and consists of 1.4 million Emirati citizens and 7.8 million expatriates, majority of whom came from India, Pakistan, Philippines and other Arab countries. It was established in 1971 as a federation of seven emirates (states). Each emirate is governed by a monarch; together, along with some elected representatives, they form the Federal Supreme Council – legislative organ. One of the monarchs is selected as the President of the United Arab Emirates.