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Dubai became one of the Trucial States in 1853. It joined the UAE on December 2, 1971. It has since become a large and modern city, with an estimated population of close to one million in 2004.

Emaar properties is on course to construct the world's tallest building, Burj Dubai. The corporation claims: "Burj Dubai's height is a closely guarded secret but it will beat all records and on a scale that will be a dramatic testament to Dubai's faith in the future."

Dubai is the second largest emirate in the federation after Abu Dhabi. The emirate is located on the Persian Gulf, southwest of Sharjah and northeast of Abu Dhabi, and reaches into the interior. The town of Hatta is a segregated portion of the emirate of Dubai and borders Wajajah, Oman.

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.

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 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.

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 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.

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.

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.

Dubai's land-reclamation projects, the Palm Islands The Palm, Jumeira, The Palm, Jebel Ali, The Palm, Deira, and The World will be the world's largest artificial island complexes, developed with villas, golf courses and holiday resorts.

Dubai has become an important tourist destination, helped by its rapidly-expanding airline Emirates, which is headed by Sheikh Ahmed bin Saeed Al Maktoum, an uncle of the emir. Dubai is also diversifying as a hub for service based industries such as IT and finance, with the new Dubai International Financial Centre or DIFC. The government has set up enclaves and freezones for industry specific corporations. Dubai Internet City, now combined with Dubai Media City as part of TECOM (Dubai Technology, Electronic Commerce and Media Free Zone Authority) is one such enclave and houses IT companies such as EMC Corporation, Oracle, Microsoft and IBM, and media organisations such as MBC, CNN, Reuters and AP.