The UAE has an open economy with one of the world's highest per capita incomes and with a sizable annual trade surplus. Since 1973, the UAE has undergone a profound transformation from an impoverished region of small desert principalities to a modern state with a high standard of living. At present levels of production, oil and gas reserves should last for over 100 years. The UAE Government is encouraging increased privatization within the economy, and industrial development is expected to pick up in 1997-98.
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