The document provides an overview of the United Arab Emirates including its history, government structure, economy, society, and security issues. It discusses the UAE as a federation of seven emirates founded in 1971 with Abu Dhabi as the capital. The economy relies heavily on oil exports but has diversified significantly. Key security issues include disputes with Qatar, involvement in conflicts in Libya, Syria, Afghanistan, Iraq and Yemen often aligned with Saudi Arabia and Egypt.

1. STRATEGIC ANALYSIS OF UAE
POWERS – THREATS AND
ENERGY POLICY
Lefteris Barbatsalos

2. INTRODUCTION – UAE
UAE – know also as Emirates Federation of
7 nations:
Abu Dhabi, 'Ajman, Al Fujayrah, Ash
Shariqah, Dubai, Umm al Qayway and Ras
Al – Khaimah
Abu Dhabi, the oil-rich federation capital
Dubai, a large commercial hub; and the five
smaller and less wealthy emirates
Founders:
The Late Sheikh Zayed bin Sultan Al Nahyan
The Late Sheikh Rashid bin Saeed Al Maktoum
The Late Sheikh Khalid bin Mohammed Al Qasimi
The Late Sheikh Rashid bin Humaid Al Nuaimi
The Late Sheikh Ahmad bin Rashid Al Mualla
The Late Sheikh Mohammed bin Hamad Al Sharqi
The Late Sheikh Saqr bin Mohammad Al Qasimi
The flag incorporates all four
Pan-Arab colors, which in this
case represent fertility (green),
neutrality (white), petroleum
resources (black), and unity
(red);
The UAE has an open economy
with a high per capita income
and a sizable annual trade
surplus. Successful efforts at
economic diversification have
reduced the portion of GDP from
the oil and gas sector to 30%.
Religion : Muslim (official) 76%,
Christian 9%, other 15%
(primarily Hindu and Buddhist,
less than 5% of the population
consists of Parsi, Baha'i, Druze,
Sikh, Ahmadi, Ismaili, Dawoodi
Bohra Muslim, and Jewish)

3. HISTORICAL TIMELINE
The rulers of
the Trucial
States, with the
exception of
Ras Al Khaimah,
agreed to an
interim
constitution for
a federal state,
which defined
the political
system and the
state
institutions in
accordance with
the idea of the
state based on
shared ideas,
beliefs and
values
developed over
hundreds of
years. On 62
February 1972,
Ras Al
Khaimah joined
the federal
state after
ratifying the
interim
constitution,
giving birth to
the UAE
federation
between the
seven political
units
1971
The dirham
was
introduced
as the
UAE's
currency
1973
The Gulf
Cooperation
Council was
formally
launched in
Abu Dhabi.
The leaders
of the UAE,
Saudi
Arabia,
Kuwait,
Bahrain,
Qatar and
Oman put
their
signatures
to the basic
constitution
of the GCC
1981
His Highness
Sheikh
Khalifa Bin
Zayed Al
Nahyan
becomes
President of
the UAE.
2004
President
His Highness
Sheikh
Khalifa Bin
Zayed Al
Nahyan
registered in
the
population
register and
ID card
system,
triggering
the official
launch of
this national
program, the
largest
technologica
l program in
the Middle
East Region.
2006
The UAE
passport has
jumped to
Number 1
as the
world's most
powerful
passport.
With this
historic
achievement,
UAE
passport
holders are
now able to
gain visa-
free entry to
167
countries
worldwide,
according to
Passport
Index.
2018

4. GEOGRAPHY - DEMOGRAPHICS
The United Arab Emirates is situated in Middle East, bordering the Gulf of
Oman and the Persian Gulf, between Oman and Saudi Arabia; it is in a
strategic location slightly south of the Strait of Hormuz, a vital transit point
for world crude oil.
Land boundaries
total: 1.066 km
border countries (2): Oman 609 km, Saudi Arabia 457 km
Coastline
1.318 km
Capital
Abu Dhabi
Population
9.856.612 (July 2021 est.)
immigrants make up 87.9% of the total population, according to UN data (2019)
Abu Dhabi, Dubai, and Sharjah - are home to nearly 85% of the population
Ethnic groups
Emirati 11.6%, South Asian 59.4% (includes Indian 38.2%, Bangladeshi 9.5%, Pakistani
9.4%, other 2.3%), Egyptian 10.2%, Filipino 6.1%, other 12.8% (2015 est.)
Languages
Arabic (official), English, Hindi, Malayam, Urdu, Pashto, Tagalog, Persian

5. PEST ANALYSIS - POLITICAL
➢ The UAE is an elective monarchy formed from a federation of seven emirates. The UAE has a federal government that is made
up of several organs: the president and his deputy, the Supreme Council, the cabinet, the Federal National Council, and an
independent judiciary with a federal supreme court. The Supreme Council has both legislative and executive powers
➢ UAE president by the leaders of all the emirates, who collectively comprise the “Federal Supreme Council”
➢ The ruler of Dubai traditionally serves as vice president and prime minister of the UAE.
➢ UAE leadership posts generally change only in the event of death of an incumbent
➢ The UAE has provided for some limited formal popular representation through a 40-seat Federal National Council (FNC)—a
body that can review and veto recommended laws.
➢ Since the Arab Spring uprisings of 2011, the government has increasingly arrested or monitored domestic activists who have
agitated for more political space, particularly those using social media to criticize the government
➢ Reports by the State Department and groups such as Human Rights Watch assert that there are a variety of human rights
problems in the UAE, including unverified reports of torture, government restrictions of freedoms of speech and assembly, and
lack of judicial independence
➢ Except for the many organizations now operating in media free zones in Abu Dhabi and Dubai, most TV and radio stations
remain government-owned; widespread use of satellite dishes provides access to pan-Arab and other international broadcasts

6. PEST ANALYSIS - POLITICAL
Mohammad bin Zayid al- Nuhayyhan
Crown Prince/heir apparent of Abu Dhabi
De facto President of UAE due to brother’s incapacitation
Khalifa bin Zayid al-Nuhayyan
UAE president and Ruler of Abu Dhabi Emirate since 2004; incapacitated
since 2014 stroke
Mohammad bin Rashid Al Maktum
UAE Vice President, Prime Minister, and Defense Minister, and ruler of
Dubai Emirate

7. PEST ANALYSIS - ECONOMICAL
✓ It is the second largest economy in the GCC (after Saudi Arabia)
✓ A free market economy (14th freest in the 2021 Index), but financial institutions are weakly regulated.
✓ United Arab Emirates is the world's 8th largest oil producer with significant reserves.
✓ Huge economic growth based on oil exports from 1974 to 1980 (oil prices exponential rise)
✓ In addition, the free zones in the UAE have played a significant role in the economy. The
✓ Federation has more free zones (36) than any other country in the Middle East
✓ Economic recession due to global financial and economic crisis (years 2008–09)
✓ The UAE has provided billions of dollars in international aid through its government and through funds
controlled by royal family members and other elites. The Abu Dhabi Fund for Development (ADFD),
established in 1971, has distributed over $4 billion for more than 200 projects spanning 102 countries.
Credit rating
Fitch rating: AA- (2020)
Real GDP
$655.789 billion (2019 est.) – 34 place (global comparison)
Real GDP per Capita
$67,119 – 13 place (global comparison)

8. PEST ANALYSIS - ECONOMICAL
GDP - composition, by sector of origin
agriculture: 0.9% - cucumbers, tomatoes, goat meat, eggs, milk, poultry, carrots/turnips, goat milk, milk
industry: 49.8% - petroleum and petrochemicals, aluminum, cement, fertilizer, construction materials
services: 49.2% - tourism, real estate, telecommunications, financial services, aviation, space, health,
information technology
Exports – partners
India 11%, Japan 10%, Saudi Arabia 7%, Switzerland 6%, China 6%, Iraq 6% (2019)
Imports - partners
China 15%, India 12%, Untied States 7% (2019)
The UAE launched a diversification and liberalization program to reduce reliance on oil and
transform its economy from a conventional, labor-intensive economy to one based on knowledge,
technology and skilled labor (Abu Dhabi’s Economic Vision 2030)
The country is also accepting investment from China under that country’s “Belt and Road Initiative”

9. PEST ANALYSIS - SOCIAL
▪ Migrant workers in the UAE are not allowed to join trade unions or go on strike. Those who strike
may risk prison and deportation (investigation from United Nations about evidence of migrant
workers treated as slave labour)
▪ The UAE has a modest dress code, which is part of Dubai's criminal law. Most malls in the UAE
have a dress code displayed at entrances. At Dubai's malls, women are encouraged to cover their
shoulders and knees.
▪ Emirati culture is based on Arabian culture and has been influenced by the cultures of Persia, India,
and East Africa
▪ The UAE constitution provides for freedom of religion but also declares Islam as the official
religion. The death penalty for conversion from Islam remains in law, but is not generally enforced.
▪ Educational system: consists of primary schools, middle schools and high schools. The public
schools are government-funded and the curriculum is created to match the United Arab Emirates'
development goals. The language of instruction in the public school is Arabic with emphasis on
English as a second language. There are also many private schools which are internationally
accredited. Public schools in the country are free for citizens of the UAE
▪ An organized modern health system (funded health service and a rapidly developing private health
sector). The life expectancy at birth in the UAE is at 76.96 years

10. PEST ANALYSIS – TECHNOLOGICAL
▪ Investing in space programs: UAE formed a “UAE Space Agency.” In September 2019, the country
sent its first astronaut to the International Space Station. In July 2020, the country launched an
unmanned spaceship that is to probe Mars.
▪ Rapid technological developments: identity cards with a unique identification number to all citizens and
legal residents. The card bears an electronic chip carrying personal data of its holder, including copies of
his/her official documents, such as passport and birth certificate, and biometric data (i.e. facial, iris, and
fingerprint)
▪ The government also established the Federal Electronic Network in the virtual world with the aim to
consolidate the ideas of electronic and smart government at the federal and local level.
▪ UAE is developing smart cities, using on information and communication technology. This enables
officials to manage, control and monitor the critical infrastructure, including roads, bridges, tunnels,
railways, trains tunnels, airports, seaports, telecommunications, water and energy, in order to achieve the
optimum level of resources and security
▪ All of Dubai City is covered by broadband and high-speed wired and wireless optical networks to ensure
communication between the population and its institutions and various facilities, which will form the
backbone of the future Dubai Smart City

11. NATIONAL SECURITY – ENVIROMENT
▪ The UAE occupies a critical strategic position on the Arabian Gulf, where nearly one-quarter of the world’s oil is produced and shipped. UAE
provides UN, US, European Union (EU) and NATO forces unprecedented access to ports and territory, fly over clearance and other critical
logistical assistance.
▪ The UAE has joined it allies to support the global fight against terrorism in restoring stability to the Middle East. The UAE has frozen the
accounts of known terrorists and enacted aggressive anti-money laundering initiatives. New counter-terrorist financing laws and regulations have
been introduced and enforced.
▪ The UAE’s opposition to the Muslim Brotherhood generally drives UAE policies toward countries where Brotherhood-linked groups are prominen
▪ United Arab Emirates Armed Forces have approximately 63,000 total active personnel (44,000 Land Forces; 2,500 Navy; 4,500 Air Force; 12,000
Presidential Guard). Armed Forces inventory is comprised of wide variety of mostly modern imported equipment; since 2010, the UAE has
acquired military equipment from more than 20 countries with the US as the leading supplier by far, followed by France and Russia (2020).
Armed Forces have become experienced from participating in several U.S.-led military operations: Somalia (1992), the Balkans (late 1990s),
Afghanistan (since 2003), as well as air operations in Libya (2011), and against the Islamic State organization in Syria (2014-2015)
▪ The UAE’s ability to project power in the region is a product of many years of U.S.-UAE defense cooperation that includes U.S. arms sales and
training, strategic planning, and joint exercises and operations. The United States and UAE have established a “Defense Cooperation Framework”
to develop joint approaches to regional conflicts and to promote U.S.-UAE interoperability. A “Joint Military Dialogue” (JMD) meets periodically.
Unlike Kuwait and Bahrain, the UAE has not been designated by the United States as a “Major Non-NATO Ally” (MNNA)
▪ The UAE has sought to build defense partnerships beyond that with the United States. In 2004, the UAE joined NATO’s “Istanbul Cooperation
Initiative. In January 2009, the UAE allowed France to inaugurate military facilities collectively termed Camp De La Paix (“Peace Camp”). UAE
and Russia might jointly develop a combat aircraft. In February 2019, the UAE ordered EM150 “Kornet” anti-tank weapons from Russia
▪ ▪The UAE is a member of the Gulf Cooperation Council (GCC), the Arab League, the Organization of Islamic Cooperation, the
United Nations, the Organization of the Petroleum Exporting Countries, the Non-Aligned Movement and the World Trade
Organization

12. NATIONAL SECURITY – DISPUTES
QATAR
▪ In June 2017, the UAE and
Saudi Arabia, joined by
Bahrain, launched a move to
isolate Qatar by denying it
land, sea, and air access to
their territories, asserting
that Qatar must end its
support for Iran and Muslim
Brotherhood-related
movements
EGYPT vs LIBYA
▪ Supported Egypt with
approximately $15 billion in
assistance (including loans,
grants, and investments);
most of the funds were loans
for the country to buy oil
and related products. In
Libya, the UAE is aligned with
Egypt and several other
outside actors in Libya’s
ongoing conflict. In 2011,
several GCC states, including
the UAE, conducted air
strikes and armed Libyan
rebels to overthrow then-
Libyan leader Muammar
Qadhafi
Syria
▪ During 2014-2015, as a
member of the U.S.-led
coalition combatting the
Islamic State organization,
the UAE sent pilots to
conduct and even command
some coalition air strikes
against Islamic State
positions in Syria
▪ The UAE did not provide
weaponry to particular
groups, but instead
contributed to a multilateral
pool of funds to buy arms
for approved rebel groups in
Syria

13. NATIONAL SECURITY – DISPUTES
AFGHANISTAN
▪ The UAE has assisted the U.S.-led
mission to stabilize Afghanistan by
allowing the use of its military
facilities for U.S. operations there
and by deploying a 250-person
contingent since 2003, in
Afghanistan’s restive south.
▪ In January 2017 when five UAE
diplomats were killed by a bomb
during their visit to the governor’s
compound in Qandahar
▪ The UAE was one of three countries
(Pakistan and Saudi Arabia were the
others) that recognized the Taliban
during 1996-2001 as the
government of Afghanistan
IRAQ
▪ The GCC states supported Iraq
against Iran in the 1980-1988 Iran-
Iraq war, and they fought in the U.S.-
led coalition that ended Iraq’s
occupation of Kuwait in 1990-1991.
No Arab state participated in the
U.S.-led invasion that overthrew
Saddam Hussein in 2003. To help
stabilize post-Saddam Iraq, the UAE
wrote off $7 billion in Iraqi debt in
2008, and the UAE hosted a German
mission to train Iraqi police and the
UAE provided funds for Iraq
reconstruction.44 In 2012, it opened
a consulate in the Kurdish-controlled
autonomous region of Iraq. After
several years of political tensions
over efforts by Iraq’s Shia-dominated
government to marginalize Iraqi
Sunni leaders, UAE officials hosted
Iraq’s then-Prime Minster Haydar Al
Abadi in 2014
YEMEN
▪ The UAE, in close partnership with
Saudi Arabia, intervened militarily in
Yemen in March 2015 with military
personnel, armor, and air strikes
against the Zaydi Shia “Houthi”
faction that had ousted the
government in Sanaa. Nearly 150
UAE soldiers have died in the Yemen
conflict.
▪ UAE decision in July 2019 to
withdraw most of its ground forces
from Yemen. UAE forces continues
to back a faction in southern Yemen
opposed to the Republic of Yemen
government

14. NATIONAL SECURITY – DISPUTES
IRAN
▪Located just across the Gulf, the UAE
and Iran have historic ties, including a
significant trading relationship. The UAE
and its allies in the GCC want the entire
region to be free of weapons of mass
destruction. UAE are asserting that Iran is
a major threat to regional stability.
▪Another factor in UAE-Iran relations is a
dispute over several Persian Gulf islands.
The UAE called for peaceful resolution of
the issue through direct negotiations or
referral to the International Court of
Justice. In 2014, the two countries
reportedly discussed a possible solution
under which Iran might cede control of
the disputed islands in exchange for
rights to the seabed around them. Iran
reduced its presence on Abu Musa to
build confidence, but no further progress
has been reported
▪UAE officials have at times expressed
concerns that the large Iranian-origin
community in Dubai emirate (estimated at
400,000 persons) could pose an internal
threat to UAE stability.
ISRAEL
▪Since its founding in 1971, the UAE has
had no formal diplomatic relations with
Israel. However, the two have reportedly
been increasing their cooperation for the
past decade, in large part to counter
Iran.
▪On August 13, 2020, President Trump
issued a joint statement announcing that
Israel and the UAE have agreed to fully
normalize their relations, and that Israel
is suspending plans to annex parts of the
West Bank (Abraham Accords)
▪The UAE decision to normalize relations
with Israel likely reflects a UAE
calculation that the move would help it,
in partnership with Israel and the United
States, counter the Iranian threat
▪The UAE’s Ambassador to the United
States published an editorial in a leading
Israeli newspaper in June 2020, warning
the Israeli public that unilateral
annexation of West Bank territory would
endanger Israel’s warming ties with Arab
countries.
YEMEN
▪The UAE, in close partnership with Saudi
Arabia, intervened militarily in Yemen in
March 2015 with military personnel,
armor, and air strikes against the Zaydi
Shia “Houthi” faction that had ousted the
government in Sanaa. Nearly 150 UAE
soldiers have died in the Yemen conflict.
▪UAE decision in July 2019 to withdraw
most of its ground forces from Yemen.
UAE forces continues to back a faction in
southern Yemen opposed to the Republic
of Yemen government

15. NATIONAL SECURITY – THREATS
▪ Threats: Threats to the idea of state, the physical base and the institutions supporting the existence of this state
▪ Imbalances in demographic structure in the UAE : The increase in the number of expatriates residing within their state led to attempts to
impose their foreign identities on UAE nationals in their own country, which imposes a perceived threat to the idea of the state. Also, the
private schools pose a threat to the national identity of the UAE, because of weak supervision by the Ministry of Education
88,50%
11,50%
TOTAL POPULATION
NON NATIONALS NATIONALS
YEAR 1980 1995 2020
TOTAL
POPULATION 1.043.078 2.411.041 9.856.612
NATIONALITY
EMIRATI
STUDENTS
FOREIGN
STUDENTS
TOTAL
STUDENTS
NUMBER OF
STUDENTS 106.462 441.708 548.170
19,42%
80,58%
STUDENTS IN PRIVATE SCHOOLS
EMIRATI STUDENTS FOREIGN STUDENTS

16. NATIONAL SECURITY – THREATS
▪ The idea of the state in the UAE evolved from the existing political structure of the seven local emirates which
were independently ruled by the royal families
▪ Small groups of militants relatively isolated from the society, who reject the idea of state and the existing
institutions implementing it. Therefore, the militants use force to weaken these institutions in order to overthrow
the regime and obtain gain access to power
▪ The groups that pose a threat to UAE institutions are the Muslim Brotherhood, al-Qaeda and ISIS
1. The Muslim Brotherhood Group branch in the UAE is part of an international organization, which has been
recently classified as a terrorist group by a number of countries. The aim was to attract UAE nationals and
create a secluded community in order to undermine the state institutions and establish a theocratic state.
2. Al – Qaeda target is to establish an Islamic emirate across the Arabian Peninsula by dismantling the ruling
regimes in the region. This was to be carried out mainly through destabilizing such states, by launching attacks
against oil facilities, foreigners, and security forces, which would weaken regimes allowing them to be toppled.
3. At the end June 2014, Islamic State of Iraq and Syria (ISIS), also known as Islamic State of Iraq and the Levant
(ISIL) and in the Arabian states as Daesh, announced the establishment of an Islamic caliphate under the name
of the Islamic State

17. GREEK – EMIRATI RELATIONS
▪ Greece established diplomatic relations with the United Arab Emirates in the first
years of the state's independence, and opened an embassy in Abu Dhabi in 1989.
Greece also has a commercial section in Dubai. The United Arab Emirates is
represented in Greece by its embassy in Athens.
▪ In November 2020, Greece and the United Arab Emirates signed a foreign policy and
defense agreement, as both shared mutual tensions with Turkey (including a mutual
defense clause). Athens hailed it as one of the most important agreements it had
signed since World War II. The roots of Greek-Emirati cooperation can be traced
back to the Arab Spring, which created a new dynamic from the Mediterranean to the
Gulf.
▪ From 13 March the airline Etihad Airways will conduct flights from Abu Dhabi to
Athens. twice a week
▪ Greece’s cultural relations with the UAE are not particularly developed, and therefore
there is room for improvement.

18. ENERGY ISSUES
▪ The UAE is wealthy because it exports large amounts of crude oil while having a small population that
receives benefits and services. Abu Dhabi has 80% of the federation’s proven oil reserves of about 100
billion barrels, enough for many decades of exports at the current rate of about 2.9 million barrels per day
(mbd) of exports. Oil exports, of which over 60% go to Japan, account for about 25% of the country’s
GDP. The United States imports negligible amounts of UAE crude oil.
▪ The UAE has vast quantities of natural gas but consumes more than it produces. Through its participation
in the Dolphin Energy project, the UAE imports natural gas from neighboring Qatar – an arrangement that
has not been disrupted by the GCC rift discussed above. A UAE effort to become self-sufficient in gas by
2030 could benefit from the discovery, announced in early 2020, of a large field (“Jebel Ali field”) of non-
associated gas in UAE waters.
7th & 8th largest gas and oil reserves
respectively
27% share of non-fossil energy
sources in the energy mix in 2021

19. ENERGY ISSUES
•Each emirate has its own government-owned company; foreign actors participate through public-private
partnerships.
•Slowdown in power generation and stable oil and gas production since 2015.
•Rapid progression in solar capacity in 2019.
•Energy prices are among the lowest in the world.
•The country has one of the highest energy consumptions per capita in the world (127,000 gigawatthours
(GWh)
•Diversification of the power mix with the commissioning of nuclear, solar, and coal capacities.
•Pipelines: 533 km condensate, 3277 km gas, 300 km liquid petroleum gas, 3287 km oil, 24 km oil/gas/water, 218 km
refined products, 99 km water
0
200
400
600
800
1.000
1.200
2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
billion cubic feet
Source: OPEC Annual Statistical Bulletin 2019
imports
exports
July 2007: Dolphin Energy

20. UAE ENERGY STRATEGY 2050
▪ The Government targets a share of 44% of renewables in the energy mix in 2050
▪ The strategy aims to increase the share of clean energy in the country’s electricity
generation capacity to 50% by 2050 (44% renewable and 6% nuclear). This goal
complements the UAE’s Vision 2021 strategic plan to generate 27% of its energy
requirements from clean sources, including nuclear power. These plans include the 2.4
GW Dewa clean-coal facility and the 5.6 GW four-reactor Barakah nuclear facility, the
first of four nuclear reactors the UAE plans to start up by 2030
▪ Muhammad bin Rashid Al Maktoum Solar Park, which will be the largest such facility in
the world when completed in 2030. The solar park will generate an estimated 25% of
Dubai’s total energy production (5 GW capacity)
▪ In a region with extreme heat and scarce natural water sources, the UAE is taking
aggressive action to meet the global climate challenge and believes low-carbon
investments will support economic growth and job creation. The first Middle Eastern
nation to sign the Paris Agreement and home to the 163-member International
Renewable Energy Agency (IRENA), the UAE is committed to global partnership and
domestic policy for a low-carbon future

21. THANKS FOR YOUR ATTENTION