Introduction

The United Arab Emirates are the monarchy situated in Western Asia by Persian Gulf and Gulf of Oman. The head of the state is president sheikh. The federation comprises seven emirates: Abu Dhabi, Ajman, Dubai, Al Fujayrah, Ra’s al Khaymah, Sharjah and Umm-al-Qaywayn. Each of the emirates is ruled by a sheikh. Power in individual emirates is handed down from father to son.

This jurisdiction is competitive with reference to the conditions on which it is possible to start and conduct business activity. Actually, there are no taxes or customs in the Emirates. State administration is financed from the incomes coming from production and refining of oil, which still constitutes about 18% of GDP. Due to the fact that the resources of “black gold” are running out, the emirates are liberalizing their market through the development of financial services sector.