Essays on Contribution of Expatriates to the UAE Economy Case Study

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The paper "Contribution of Expatriates to the UAE Economy" is a perfect example of a macro & microeconomics case study.   The United Arab Emirates has an open economy that has a high per capita income with a commendable annual trade surplus. The UAE is regarded as one of the highly liberal countries in the Gulf and where some cultures and beliefs across the globe are tolerated. After the discovery of oil in the UAE about three decades ago, the region has experienced tremendous economic growth from an impoverished desert region to a modern state comprising of high standards of living.

The oil industry triggered the influx of foreign workforce together with expatriates that now make approximately more than three-quarters of the UAE’ s population. Currently, the UAE is undergoing rapid economic development with the focus being to develop new economic sectors including tourism, shopping, business services, real estates and commercial sales. For instance, diversifying and developing the economy of the UAE are the main national goals (Country Profile, 56). The previous incredible economic development relied on the country’ s successful capability to import talents and expatriates from other countries.

For instance, in 2004, expatriates constituted approximately 2.5 million of the total labour force of 2.7 million; with regard to this is evident, that the latter’ s economy has been and still is highly anchored by the contribution of expatriates from other countries (Country Profile, 33). Studies have revealed that the nationals constitute less than 10% of the employed population. However, according to the country’ s profile, nationals make up an estimated 80 % of the federal and emirate-level civil service while only holding 2% of private-sector jobs.

The private sector is a vital driver and contributor to the UAE economic growth as it provides 52% of the jobs in the UAE (Country Profile, 101). The impact of recent changes in the UAE workforce The Emiratization strategy that unveiled by the UAE government in 2007 primarily focused on creating employment opportunities for the UAE nationals thus making sure that the country’ s future economic development is driven by the nationals workforce.

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