History
Records of the history of Dubai during the pre-Islamic time are not very clear. What we know right now is that the towns and villages in the area of Dubai were trading posts between the west and the east. During the 15th century, it became famous for its pearl industry.

Dubai became an independent Emirate a tribe from Abu Dhabi of the Al Maktoum dynasty took control of Dubai from the then reigning Abu Fasala clan in 1883. It then became a protectorate of the United Kingdom in the year 1892. Although struck by many misfortunes during the early years of development like epidemics and fires, its strategic location invited many traders which made Dubai flourish. It even became the primary port in the Gulf coast area during the 1870’s boasting of having the largest souks in the whole Arab region.

Dubai’s location to India made it an important port to traders from that country. Because of this, many people from India have decided to take up residence in Dubai. Its pearl industry which it was famous for deteriorated during the 1930’s, greatly damaged by the effects of World War I. It then died out during the 1940’s because of the entry of cultured pearls. The merchants of Dubai soon shifted their concentration to marketing gold and other important commodities.

In the 1950’s Dubai together with the newly independent country Qatar developed a new currency together called the Dubai/Qatar Riyal. On that same year oil was discovered off Dubai’s coast. This brought in a lot of major foreign oil corporations who were granted rights to develop the oil industry. Many foreign workers soon found employment in Dubai’s oil industry, majority are Indians and Pakistanis.

Even after joining the United Arab Emirates in 1971 after the U.K. left the region, it still had border disputes with its neighbor Abu Dhabi. A compromise was made between the two Emirates that ended the hostilities in 1979.

Today, Dubai does not depend on the oil industry anymore. It generates much of its revenues from its ever expanding offshore businesses and world class tourist attractions.