Subdivisions of The United Arab Emirates - Economy

Economy

The UAE has a relatively high Human Development Index among the Asian continent, ranking forty-first globally. In 2011, UAE is ranked as the 14th best nation in the world for doing business based on its economy and regulatory environment, ranked by the Doing Business 2011 Report published by the World Bank Group

The GDP growth rate for 2010 was 3.20%. CPI inflation in the April 2008 — April 2009 year was 1.9%. The national debt as of June 2009 was $142 billion. In 2009, its GDP, as measured by purchasing power parity, stood at US$ 400.4 billion. With a population of just under 900,000 Abu Dhabi was labeled "The richest city in the world" by a CNN article.

Petroleum and natural gas exports play an important role in the economy, especially in Abu Dhabi. More than 85% of the UAE's economy was based on the exports of natural resources in 2009. The UAE has tried to reduce its dependency on oil exports by diversifying the economy, particularly in the financial, tourism and construction sectors. While Abu Dhabi remained relatively conservative in its approach, Dubai, which has far smaller oil reserves, was bolder in its diversification policy.

Emirati law does not allow trade unions to exist. The right to collective bargaining and the right to strike are not recognised, and the Ministry of Labour has the power to force workers to go back to work. Migrant workers who participate in a strike can have their work permits cancelled and be deported.

The UAE's economy, particularly that of Dubai, was badly hit by the financial crisis of 2007–2010. In 2009, the country's economy shrank by 4.00% and the property sector and construction went into decline. However, tourism, trade and the retail sector have remained buoyant and the UAE's overseas investments are expected to support its full economic recovery. Concern remains about the property sector. Property prices in Dubai fell dramatically when Dubai World, the government construction company, sought to delay a debt payment.

The UAE has been spending billions of dollars on infrastructure. These developments are particularly evident in the larger emirates of Abu Dhabi and Dubai. The northern emirates are rapidly following suit, providing major incentives for developers of residential and commercial property.

Dubai International Airport was the 6th busiest airport in the world by international passenger traffic in 2008. As roads in the western and southern regions are still relatively undeveloped, residents prevalently use airplanes as the main or alternative mode of transportation. A 1,200 km (750 mi) country-wide national railway is under construction which will connect all the major cities and ports. The Dubai Metro is the first urban train network in the Arabian Peninsula. The major ports of the United Arab Emirates are Khalifa Port, Mina Zayed, Port Jebel Ali, Port Rashid, Port Khalid, Port Saeed, and Port Khor Fakkan.

The UAE has signed peaceful nuclear agreements with France, United States, and South Korea, and a MOU with the United Kingdom.

The UAE is presently serviced by two telecommunications operators, Etisalat and Emirates Integrated Telecommunications Company ("du"). Etisalat operated a monopoly until du launched mobile services in February 2007. Internet subscribers are expected to increase from 0.904 million in 2007 to 2.66 million in 2012. The authorities filter websites for religious, political and sexual content.