spending on job creation and infrastructure
expansion and is opening up its utilities to greater private sector
involvement. In April 2004, the UAE signed a Trade and Investment
Framework Agreement (TIFA) with Washington and in November 2004
agreed to undertake negotiations toward a Free Trade Agreement (FTA)
with the US. Higher oil revenue, strong liquidity, and cheap credit
in 2005-06 led to a surge in asset prices (shares and real estate)
and consumer inflation. Rising prices are increasing the operating
costs for businesses in the UAE and degrading the UAE's allure to
foreign investors. Dependence on a large expatriate workforce and
oil are significant long-term challenges to the UAE's economy.

GDP (purchasing power parity):
$129.4 billion (2006 est.)

GDP (official exchange rate):
$110.6 billion (2006 est.)

GDP - real growth rate:
10.2% (2006 est.)

GDP - per capita (PPP):
$49,700 (2006 est.)

GDP - composition by sector:
agriculture: 2.3%
industry: 61.9%
services: 35.8% (2006 est.)

Labor force:
2.968 million (2006 est.)

Labor force - by occupation:
agriculture: 7%
industry: 15%
services: 78% (2000 est.)

Unemployment rate:
2.4% (2001)

Population below poverty line:
NA%

Household income or consumption by percentage share:
lowest 10%: NA%
highest 10%: NA%

Inflation rate (consumer prices):
10% (2006 est.)

Investment (gross fixed):
24.3% of GDP (2006 est.)

Budget:
revenues: $57.85 billion
expenditures: $36.89 billion; including capital expenditures of $3.4
billion (2006 est.)

Public debt:
17.7% of GDP (2006 est.)

Agriculture - products:
dates, vegetables, watermelons; poultry, eggs, dairy products; fish

Industries:
petroleum and petrochemicals; fishing, aluminum, cement,
fertilizers, commercial ship repair, construction materials, some
boat building, handicrafts, textiles

Industrial production growth rate:
4% (2000)

Electricity - production:
49.52 billion kWh (2004)

Electricity - production by source:
fossil fuel: 100%
hydro: 0%
nuclear: 0%
other: 0% (2001)

Electricity - consumption:
46.05 billion kWh (2004)

Electricity - exports:
0 kWh (2004)

Electricity - imports:
0 kWh (2004)

Oil - production:
2.396 million bbl/day (2005 est.)

Oil - consumption:
400,000 bbl/day (2004 est.)

Oil - exports:
2.5 million bbl/day (2004 est.)

Oil - imports:
0