Historically, the UAE has been one of the most stable political systems in the wider Arab region. The federation has maintained stability since it came into existence in December 1971. The UAE enjoys a stable general political environment. As the most diversified economy in the Arab World, the UAE has made tremendous progress in all sectors: education, infrastructure, public services, economic sustainability and human capital. In an index, the UAE had been placed in the list of more stable countries, rated higher than Spain, Italy, Greece, Malaysia, Cyprus, India, Russia and China.

 In 2010, Vision 2021 was launched as a national charter aimed to transform the UAE among the best countries by 2021.

Over the years, the UAE has taken many steps to develop its political system, make it more receptive to the needs of the socio-economic progress of the country and

to ensure that that UAE’s population is equipped to cope with the challenges of global development.

In late November 2015, the UAE granted Israel formal permission to establish a diplomatic office in Abu Dhabi and in August 2020, Israel and the UAE signed an agreement mediated by the-then US President Donald Trump. Under the deal, the UAE became the third Arab country, after Egypt and Jordan, to fully recognise Israel and open direct flights with the country.

The UAE has introduced business reforms permitting 100 per cent foreign business ownership anywhere in the

country, doing away with an earlier requirement of 51 per cent local ownership of firms based outside of a free zone.

 The country has also introduced social reforms legalising cohabitation and allowing non-Muslim expats to buy alcohol without a license (a permit is still required in the emirate of Dubai).