- GDP, US$bn: 388.3
- GDP per capita, US$: 41,884.8
- Population, mn: 9.2
- Inflation, CPI ave: 2.2
- FX, LCY/US$: 3.7
- Budget Balance, % of GDP: -3.0
- Mining GVA, US$bn: 94.4
Regulatory Risk Rating
Score: 17
Critical Risk
UAE, like Qatar, is a country where any investor would have to negotiate a specific arrangement with the relevant authorities. The law does not provide for open access to its natural resources and there is no code with which to follow.
Corruption Potential Index
Score: 5
Extremely High Corruption Potential
Corruption Risk Index
Score: 13
Extremely High Corruption Risk
Mining Overview Commentary
UNITED ARAB EMIRATES – MINING REGULATION
GENERAL
The United Arab Emirates (UAE) occupies the southern shore of the Persian Gulf, with Oman bordering to the east, Saudi Arabia to the south and west, and Qatar to the northwest. The country was formed in 1971 and was established by a federation of seven emirates, namely Abu Dhabi, Ajman, Dubai, Fujairah, Ras-al Khaimah, Sharjah and Umm al-Quwain. The economy of the UAE was traditionally reliant upon its vast oil and gas reserves and, while this industry still accounts for over 25% of GDP, efforts to diversify the economy have proved somewhat successful with industry and services emerging as strong non-oil based contributors to GDP.
The UAE has substantial resources of limestone and aggregate, but few prospects for base or precious minerals production. There is a well-established quarrying industry in the Al-Hajar Mountains, located in the northeast of the country, which produces a range of rock products (mostly construction aggregate) from the UAE – Oman ophiolite rocks (mainly gabbro with ultramafic rocks including harzburgite and dunite).
PRINCIPAL LEGISLATION AND REGULATOR
Article 23 of the UAE Constitution states that “the natural resources and wealth in each Emirate shall be considered to be the public property of that Emirate. Society shall be responsible for the protection and proper exploitation of such natural resources and wealth for the benefit of the national economy.” There is no mining code applicable in the country. One must refer to the Civil Code (Civil Transactions Law) and the Commercial Code (UAE Code of Commercial Practice) if property rights were pursued from the State. The ministry responsible for quarries and mines is the Ministry of Energy.
GRANTS AND FORMS OF MINERAL TITLE
Not applicable.
DEVELOPMENT CONSIDERATIONS
Not applicable.
ENVIRONMENTAL REGULATION
See United Arab Emirates - Environmental Overview Commentary.
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