Why is UAE richer than Saudi Arabia despite the later having more oil?

 

Saudi Arabia has about 268 billion barrels of proven oil reserves, which is more than double that of the UAE.

Despite having more oil, Saudi Arabia's economy is not as diversified as the UAE's.UAE has a more diversified economy than Saudi Arabia. The UAE has invested heavily in infrastructure, tourism, and real estate, which has contributed significantly to its GDP.with tourism, real estate, logistics, and financial services being some of the major contributors to its economy.

UAE has invested heavily in other sectors like technology, renewable energy, and manufacturing, which has helped to reduce its dependence on oil exports

The UAE's strategic location has enabled it to become a major hub for international trade, with the Dubai ports handling millions of containers annually.UAE's strategic location has made it a popular destination for international trade and investment, with Dubai being one of the busiest ports in the world.

Additionally, the UAE has invested in industries such as manufacturing, logistics, and financial services, which has helped to reduce its reliance on oil exports.

The UAE's business-friendly environment and favorable tax policies have attracted foreign investment, which has boosted economic growth.

The country has also invested heavily in human capital, with a focus on education and skills development, which has led to a highly skilled and productive workforce.

Oil exports account for only a small percentage of the UAE's GDP, whereas in Saudi Arabia oil exports make up a significant percentage of its GDP.  UAE's economy is less reliant on oil, with oil exports accounting for only about 30% of its GDP, compared to Saudi Arabia's 70-80%.

UAE's leadership has been credited with making smart decisions and investments, which has helped to drive the country's growth and development.

Furthermore, the UAE has invested in renewable energy, with a goal of generating 50% of its electricity from clean energy by 2050.

This investment in renewable energy has not only reduced the country's reliance on fossil fuels but has also created new economic opportunities

Owed to visionary and forward looking leadership of UAE, it can safely be said that UAE despite its less contribution in oil industry, its economy is growing so fast and investors and enterpreneurs love to come to UAE.

 

This has further been supported by liberal religious policies making it comfortable for followers of all relgions to live peacefully and practise their religious norms and values with only objective to work for themselves and the UAE' s economic growth.

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