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There was a pearl-diving and fishing community at the mouth of Dubai Creek for many centuries, but modern Dubai dates its existence to the 1830s when the Baniyas tribe under the Al-Maktoum family settled there and renounced allegiance to Abu Dhabi. Successive sheikhs encouraged contacts with outsiders, especially the British, who made Dubai a regular port of call.

In February 2005 Dubai Waterfront was announced, it will be 2½ times size of Washington D.C. or the size of the island of Manhattan. Dubai Waterfront will be a mix of canals and islands full of hotels and residential areas that will add 500 miles of man-made waterfront. Dubai Also has launched Dubiotech. this is a new park to be targeted at Biotech companies working in pharma, medical fields, genetic research and even biodefense. the aim from creating this park is to foster the growth of this sector in Dubai and to utilize the regions's talent in addressing such a vital and rapidly growing sector.

Apart from donated land for the construction of churches and other religious facilities, including cemeteries, non-Muslim groups are not supported financially or subsidized by the Government. However, they are permitted to raise money from among their congregants and to receive financial support from abroad. Christian churches are permitted to openly advertise certain church functions, such as memorial services, in the press.

There are an increasing number of "freehold" villas and flats which come with a guaranteed residence visa renewable every three years for a around US$1350 per person. The Jumeira Palm, an artificial island in the shape of a palm tree, is one of these. It is illegal to seek employment on this visa though, and a separate job visa must be obtained from an employer. It is common practice among Dubai employers to hold on to employees' passports for the duration of the employment contract. This is done to prevent expatriate employees from moving to higher paying jobs. On termination of an employment contract, expatriates and their families are usually banned from the country for six months.

Non-Muslims in the country are free to practice their religion but may not proselytize publicly or distribute religious literature. The Government follows a policy of tolerance towards non-Muslim religions and, in practice, interferes very little in the religious activities of non-Muslims.

One of the most imporant personality figures in Dubai is Sheikh Rashid bin Saeed Al Maktoom. He ruled Dubai for over 30 years within which he created major large projects like the Jebel Ali free zone, world trade center and the airport.

The Dubai Post Department took over the postal service June 14, 1963 and the following day issued a series of stamps depicting sea life, views of Dubai, and Sheikh Maktoum bin Rashid Al Maktoum. This was the opening salvo of a barrage of issue over the next few years; the emirate discovered that stamp collectors were willing to give it money for colored labels with "Dubai" printed on them, and by the time the postal system was merged with that of other emirates, in mid-1972, it had issued over 400 stamps, few of which ever saw usage on mail.

The horse race known as the Dubai World Cup is held annually, and is the world's richest horse race with over US$15,000,000 worth of prize money.

The annual Dubai Shopping Festival (DSF) draws shoppers from the Indian subcontinent and around the region. Other, smaller shopping festivals such as Dubai Summer Surprises are held throughout the year.

The official language is Arabic, but English and Hindi are widely spoken.

Dubai refers to either one of the seven emirates that make up the United Arab Emirates on the Arabian Peninsula, or that emirate's main city, sometimes called "Dubai City" to distinguish it from the emirate.

Nearly all the commercial establishments are run by expatriates with a silent local partner who merely "rents" the business license for a negotiated annual fee without taking part in any capital investment. The numerous free trade zones allow for full expatriate ownership, but are only suitable for large businesses.

The first villa freehold properties that were occupied by non-UAE nationals were The Meadows, The Springs and The Lakes, all masterplanned communities designed by Emaar, resulting in luxurious upperclass neighbourhoods collectively known as Emirates Hills. Over the 2005-2006 time frame, most of the freehold skycrapers and other villa projects will be ready for occupation, sparking a new phase in Dubai's history as a city.

The ruler of Dubai is H.H. Sheikh Maktoum bin Rashid Al Maktoum, who is also the Prime Minister of the federation of the United Arab Emirates. The crown prince is H.H. Sheikh Mohammed bin Rashid Al Maktoum, one of the emir's younger brothers.