Economy of the United Arab Emirates Economy of the United Arab Emirates The economy of the United Arab Emirates is the second largest in the Middle East (after Saudi Arabia), with a gross domestic product (GDP) of $403.2 billion (AED 1.46 trillion) in 2014. The Emirates have been successfully diversifying its economy. Although the UAE has the most diversified economy in the GCC, its economy remains extremely reliant on petroleum (oil). With the exception of Dubai, most of the UAE is dependent on oil revenues. Petroleum and natural gas continue to play a central role in the economy, especially in Abu Dhabi. More than 85% of
United Arab Emirates present day emirate of Ras Al Khaimah, as a major regional trading and maritime hub in the area. The maritime dominance of the Persian Gulf by Emirati traders led to conflicts with European powers, including the Portugese and British. Following decades of maritime conflict, the coastal emirates became known as the Trucial States with the signing of a Perpetual Treaty of Maritime Peace with the British in 1819 (ratified in 1853 and again in 1892), which established the Trucial States as a British Protectorate. This arrangement ended with independence and the establishment of the United Arab Emirates on 2 December