The United Arab Emirates (UAE) is a federation of seven emirates on the Arabian Peninsula, formed in 1971. Led by Abu Dhabi (capital) and Dubai (global hub for luxury, business, and tourism), it transformed rapidly due to oil wealth. Now a diversified economy, the UAE is a major player in finance, logistics, and tourism. It blends traditional Arab-Islamic culture with a highly cosmopolitan society, showcasing ambitious development and a focus on innovation.