- Full name: United Arab Emirates
- Population: 3.1 million (UN, 2005)
- Capital: Abu Dhabi
- Largest city: Dubai
- Area: 77,700 sq km (30,000 sq miles)
- Languages: Arabic, Urdu, Hindi, Farsi and English
- Major religion: Islam
- Life expectancy: 76 years (men), 81 years (women) (UN)
- Monetary unit: 1 Dirham = 100 fils
- Main exports: Oil, gas
- GNI per capita: U.S. $23,770 (World Bank, 2006)
- Internet domain: .ae
- International dialling code: +971
- President, ruler of Abu Dhabi: Sheikh Khalifa bin Zayed
- Vice president, prime minister, ruler of Dubai: Sheikh Mohammed bin Rashid al-Maktoum
The United Arab Emirates (UAE) is situated along the south-eastern tip of the Arabian peninsula between 22? 50 and 26? north latitude and between 51? and 56? 25 east longitude.
Qatar lies to the north-west, Saudi Arabia to the west, south and south-east, and Oman to the south-east and north-east.
It occupies an area of about 83, 600 sq. km (32,400 sq. miles) � roughly the size of Portugal. The coastline of the UAE was approximately 1318 km but land reclamation projects, notably the three 'Palms', are extending this figure.
Summers are extremely hot with high humidity near the coast. Temperatures often exceed 48?C. Rainfall is generally low, although there are occasional short torrential storms towards the end of winter.
The UAE's economy was dependent on fishing and a declining pearling industry before oil was discovered in the 1950s.
However since 1962, when Abu Dhabi became the first of the emirates to begin exporting oil, the country's society and economy have been transformed.
The late Sheikh Zayed, ruler of Abu Dhabi and president of the UAE, oversaw the development of all the emirates and directed oil revenues into healthcare, education and the national infrastructure.
A large influx of foreign workers were attracted by the oil industry and now make up more than three quarters of the population.
In matters unrelated to diplomacy and defense, each emirate enjoys considerable autonomy in managing its own affairs.
The country's growing business sector and its tourist industry have helped to fuel a construction boom, with billions of dollars being pumped into showpiece schemes. Chic hotels and skyscrapers are emblematic of cities such as Abu Dhabi and cosmopolitan Dubai.
In business, the government of Dubai is committed to liberal, free market policies and to the creation of a business environment conducive to commercial activity. This approach is well illustrated by the incentives available to investors in the Jebel Ali Free Zone and by the continuing high level of public sector investment in the infrastructure.
International businesses interested in developing their trade with Dubai will find that the market has a number of attractive features, as follows:
1) Large. Despite a relatively small population, Dubai's total imports in 1994 exceeded $14 billion. The reason is that Dubai is the major re-export centre for the region.
2) Growing. The emirate's non-oil imports expanded by 200% between 1986 and 1994. Many of the economies of the region served by Dubai are still at a relatively early stage of development, so there is plenty of long term scope for diversification and expansion in the future. Another important consideration is Dubai's rapidly developing role as a supplier to such emerging markets as India, the CIS, Central Asia and South Africa.
3) Diversified. There is potential for almost any type of goods and services. In the prosperous, but sparsely populated Gulf states, there is demand for foodstuff, high technology equipment and luxury products. But, through its re-export trade, Dubai also reaches an "outer ring" of less prosperous markets. This means there are also opportunities for manufacturers and exporters of less sophisticated equipment and mass consumer products.
4) Free. There are no foreign exchange controls, quotas or trade barriers. Import duties are extremely low, and many products are exempt.
5) Accessible. The emirate's transport infrastructure is unrivalled in the region in terms of size, facilities and efficiency. Its ports are served by more than 100 shipping lines and the airport by 65 airlines. Also, overseas businessmen will find that their counterparts combine local and regional expertise with a full understanding of international business practices. English ranks on a par with Arabic as the main business language of business and there are plenty of foreign banks, lawyers and other advisors - as well as the Department of Tourism and Commerce Marketing, The Economic Department, Chamber of Commerce and Industry and Jebel Ali Free Zone Authority to help those wishing to enter the market.
6) Competitive. Inevitably, the various attractions outlined above have caught the attention of manufacturers and exporters from around the world. Any exporters seeking success in the Dubai market must ensure that their products can hold their own in terms of their price, technology, design and value, just as in any other market of the world.
Only about a quarter of Dubai's population is Emirate; expatriates come from all over the world and large communities of Iranians, Brits, Pakistanis, Indians and Philippines call the city home.
Arabic is the official language, but English is the language of business and most often used. Urdu, Farsi and Malayalam are also useful.
Although there's little in the way of a national cuisine in the UAE - the Bedouin diet catered more to sustenance than to decadence - the city's tradition of trade and long-standing commitment to multiculturalism has nurtured a centuries-old love of international edibles.
If you attend any of Dubai's festivals, you may be lucky enough to see traditional dances like the fast-paced liwa or the Bedouin ayyalah performed. Most Bedouin crafts are practical as well as beautiful: Pots like the birnah and hibb are designed to keep milk cool, while the mehaffa, or hand fan, does the same for you. The barjeel, a windtower and attractive architectural element, directs the smallest breeze into the house; it's surprisingly effective air conditioning.
The UAE President and ruler of Abu Dhabi, Sheikh Khalifa bin Zayed, was named as president by the UAE Federal Council shortly after the death of his father, Sheikh Zayed Bin-Sultan Al Nahyan, in November 2004. The former president, who was 86, had been in poor health.
Often referred to as the father of the nation, Sheikh Zayed succeeded his brother as ruler of Abu Dhabi in 1966 and, because of his strong leadership and commitment to forming the federation, he was elected as the first president of the United Arab Emirates in 1971.
Re-elected every five years since 1971, Sheikh Zayed instilled the values of religious tolerance and equality, especially for women, into his policies, which greatly enhanced the stability of the UAE.
The UAE does not have any enforced federal income tax legislation for general business. An income tax decree has been enacted by each Emirate, but in practice, the enforcement of these decrees is restricted to foreign banks and to oil companies. This practice is not likely to change in the near future as the relevant mechanisms with which to implement the tax decrees have not yet been established. The decrees indicate, however, that if taxation were enforced, taxes could be imposed retroactively.
Foreign banks are taxed at 20 percent of their taxable income in the Emirates of Abu-Dhabi, Dubai and Sharjah. The tax is restricted to the taxable income which is earned or deemed to be earned in that particular Emirate. Oil Companies (which include any chargeable person that deals in oil or right to oil both off-shore and on-shore) pay a flat rate of 55 percent on their taxable income in Dubai and 50 percent in the other Emirates. In addition, they pay royalties on production.
Personal incomes, including all forms of salary and capital gains wherever arising, are not subject to taxation in any of the Emirates.
Administered by the Federal Ministry of Labour and Social Affairs, Labour Law in the UAE is loosely based on the International Labour Organization's model. UAE Law No. 8 of 1980, as amended by Law No. 12 of 1986 (the "Labour Law") governs most aspects of employer/employee relations, such as hours of work, leave, termination rights, medical benefits and repatriation. The Labour Law is protective of employees in general and overrides conflicting contractual provisions agreed under another jurisdiction, unless they are beneficial to the employee.
The Ministry issues a model form of labour contract in Arabic which is widely used, but other forms of contract are enforceable, provided they comply with the Labour Law. End of contract gratuities are set at 21 days pay for every year of the first five years of service and 30 days for every year thereafter. Total gratuity should not exceed two years' wages. Employees are entitled to pro-rated amounts for service periods less than a full year, provided they have completed one year in continuous service.
Trade unions do not exist. In the case of a dispute between employer and employee, or in interpretation of the Labour Law, the Ministry of Labour and Social Affairs will initially act as an adjudicator, in an effort to resolve matters. If a party wishes to appeal any such decision it can take its case to court. Strikes and lock outs are forbidden.
The normal maximum working hours are eight per day or 48 per week. However, these hours may be increased to nine daily for people working in the retail trade, hotels, restaurants and other such establishments. Similarly, daily working hours may be reduced for difficult or dangerous jobs. Many businesses work on a two shift system (for example, 8am - 1pm and 4pm - 7pm). As in all Muslim countries, Friday is the weekly day of rest. In practice, commercial and professional firms work 40-45 hours a week and government ministries about 35. The weekend for office workers has traditionally been Thursday afternoon and Friday, but a number of organizations have changed over to a five day week with Friday and Saturday as the weekend. During the Muslim holy month of Ramadan, normal working hours are reduced by two hours per day.
There are 10 days of public holidays (paid) in any year. The employee's annual leave is two days for every month if his service is more than six months and less than a year. In every completed year of service after the first, an employee is entitled to 30 days annual paid leave. This is in addition to public holidays, maternity leave for women and sick leave.
Overtime is used extensively and additional pay is required for manual and lower ranking staff.
UAE citizens generally enjoy a high standard of living because of oil wealth; diversification has dampened the shocks of oil price fluctuations.
The general lack of taxation also has a significant impact on the cost of certain items, e.g. cars.
On the other hand, the cost of accommodation is sometimes high, as is that of certain food items, particularly imported foods. If you buy internationally recognised branded foods and household goods, you might pay higher prices than in your home country, but there are usually plenty of cheaper locally and regionally produced alternatives that are of excellent quality. Clothing can also be expensive if you favour designer labels � this isn�t peculiar to Dubai � although there�s little need for winter clothing.
Electronic goods, such as televisions, hi-fis, DVD players, photographic equipment and computer hardware and software, are generally less expensive than in Europe, mainly because of lower import duties.
Utilities, such as electricity, water and gas, are subsidised to some extent by the region�s governments, which own the services (except for bottled gas supplies) in order to provide inexpensive electricity and water, mainly for the benefit of the local population. Utilities are therefore cheaper than in most European countries.
However, at the height of summer, air-conditioning costs will escalate, rather as the cost of heating increases in winter in colder climates. Newcomers sometimes make the expensive mistake of keeping their air-conditioning on even when they�re out, but this is unnecessary, as air-conditioning systems reduce the temperature in your accommodation quickly when activated on your return home.
You should also allow for the cost of international telephone calls, although these are kept low by Dubai�s government, which wants to encourage international business and investment in the region.
Your cost of living will obviously depend on your lifestyle. When you�re negotiating a work contract, it�s usual for your prospective employer to produce detailed cost of living figures for his country, which are useful in helping you to decide whether the proposed job is financially attractive or not.
The UAE Federal Authorities are primarily responsible for all immigration matters, and visitors are advised to consult their nearest UAE embassy or consulate about visa requirements. Information can also be obtained from the overseas offices of the Department of Tourism and Commerce Marketing.
* Visas are required by all except:
- Citizens of the Gulf Cooperation Council states; United Arab Emirates, Bahrain, Kuwait, Oman, Qatar and Saudi Arabia.
- British nationals for a stay of up to 30 days and holding onward/return travel tickets.
- Nationals of Australia, Austria, Belgium, Brunei, Canada, Denmark, Finland, France, Germany, Greece, Hong Kong SAR, Iceland, Irish Republic, Italy, Japan, Korea Republic, Luxembourg, Malaysia, Monaco, Netherlands, New Zealand, Norway,Portugal, Singapore, Spain, Sweden, Switzerland and the United States, for a stay of up to 30 days on a visit visa.
Visit visas for tourists and business travellers must be arranged via a sponsor (the tour operator, UAE resident or company concerned).
Visas are easily obtainable for visitors except for Israelis and travellers whose passports bear Israeli stamps.
Airlines may require confirmation that the sponsor is holding a valid visa for the incoming visitor.
* Additional local information
- Air operators: Many airlines operate international services to and from the UAE
- Buses: tend to be slow and are rarely used by expats
- Railways: No railways exist
- Car hire: Avis, Europcar and Hertz
- Shopping hours are 09:00 - 13:00 and 16:00 - 19:00 Saturdays to Thursdays. Most supermarkets stay open all day
- Banking hours are 08:00 - 13:00 and 14:30 - 18:30 Saturdays to Wednesdays. 08:00 - 11:00 Thursdays.
- Post office opening hours are generally from 08:00.� 13:00 and 16:00 � 19:00. Saturday to Wednesday. Closed Thursdays and Fridays. 08:00 �12:00 on Public Holidays, but closed on the first day of Eid holidays.
- Electricity: 220 - 240 V AC 50 Hz
- Plug type: Continental plugs and British 13 amp square pin
- Light fittings: Bayonet and screw
- Health and safety: Concern for malaria, rabies and hepatitis. Vaccinations against typhoid, polio, tetanus and hepatitis A are recommended. Exposure to the sun should be minimised
- Health care: The standard of care is excellent with modern equipment and well-trained staff
- Schools: Many schools offer an American curriculum plus UK and/or international syllabi. Many schools require a uniform
- Cuisine: Pork is forbidden under Islamic law. You'll find Chinese, Lebanese, Indian, British and French influences. Local cuisine is of Persian derivation and usually involves poultry, lamb or beef. Strict liquor laws apply. Specialities: 'Tabbouleh' and 'Ghuzzi
