The complete history of Dubai: how a fishing village transformed into a metropolis

Today, Dubai stands as a modern and technologically advanced city. It is hard to believe that just 70 years ago, the emirate began its rapid development. In this article, we explore the key milestones in Dubai’s rise and share fascinating historical insights.

The earliest reference to Dubai dates back to the year 1095 in the «Book of Geography» by the Andalusian-Arab historian and geographer Abu Abdullah al-Bakri. It was not until 1580 that the Venetian pearl merchant Gaspero Balbi mentioned this region, known for its pearl industry, in his journal. However, it was only in the early 18th century that a fishing village was established as a permanent settlement when the Bani Yas tribe arrived in Dubai under the leadership of Sheikh Tahnun bin Shakhbut from Abu Dhabi. By 1822, local rulers had entered into a maritime truce with Great Britain, which led to the opening of trade routes and the flourishing of commerce. Dubai began forging relationships with many nations, gradually gaining renown.

The ancient history of the village  

The earliest human settlement in Dubai dates back to 3000 BCE, while remnants of what was once a mangrove swamp around Dubai are approximately 7,000 years old. Before the arrival of Islam, the inhabitants worshiped the deity Bajir. The region thrived under the rule of the Sassanid and Byzantine empires, with the Persian dynasty controlling much of the land.

The city’s history  

In the 19th century  

At the beginning of the 19th century, Dubai was a small walled settlement, with Al Fahidi Fort at its heart. In 1833, a pivotal moment occurred when Maktoum bin Butti of the Bani Yas tribe led his people to the Shindagha Peninsula, establishing themselves at the mouth of Dubai Creek and declaring independence from Abu Dhabi. For many years thereafter, Dubai remained a humble fishing village before blossoming into the vast metropolis it is today. Yet, one constant remains – the Al Maktoum dynasty continues to reign.

During this period, two disasters struck the city, causing significant damage. First, in 1841, a smallpox epidemic broke out in Dubai, prompting residents to relocate eastward. Then, in 1894, a great fire ravaged the city, destroying most of the homes. Despite these setbacks, Dubai's strategic geographic location continued to attract traders from all regions.

Today, Dubai is renowned as an oil-producing emirate, yet these reserves were only discovered in 1966. Shortly thereafter, under the visionary leadership of Sheikh Rashid bin Saeed Al Maktoum, the city began to flourish. The ruler believed that to secure the nation’s prosperous future, it was imperative to invest oil revenues in the development of infrastructure. He also focused on expanding the external economy, elevating the city’s status as a hub for free trade and entrepreneurship.

By the mid-20th century, Dubai had become home to numerous traders from neighboring Iran, India, and parts of Europe. However, in the early 20th century, Dubai’s population was a mere 10,000. The local inhabitants toiled tirelessly to make a living, with pearl export being their primary source of income for many years.

However, in the 1930s, the emergence of pearl farms in Japan posed a challenge that the local industry could not match. Moreover, Dubai's economy suffered greatly due to World War I and the Great Depression, leading to a significant migration of the population to other countries and cities in the Persian Gulf. In 1937, in a bid to revive the economy, Sheikh Saeed made a deal with Great Britain, granting Petroleum Concessions Limited the exclusive rights to explore for oil for 25 years in exchange for 60,000 rupees upon signing and a guarantee of financial support should oil be discovered in the region.

The quest for alternative sources of income transformed Dubai into one of the world's leading centers of re-export. To attract foreign traders, Sheikh Saeed reduced taxes, enticing merchants from Sharjah, which at the time was the region’s main commercial center.

Since their inception, the two emirates of Dubai and Abu Dhabi struggled to find common ground, and in 1947, their conflict escalated into a war along their shared northern border. A temporary ceasefire was achieved through British arbitration, which led to the establishment of a buffer zone extending southward along the eastern direction from the coast at Ras Hasian. The discovery of oil in 1966 brought a substantial influx of foreign workers, primarily from India and Pakistan, and between 1968 and 1975, Dubai's population nearly tripled.

Simultaneously, on December 2, 1971, six Arab emirates, including Dubai, formed the federal state of the United Arab Emirates. Shortly thereafter, in 1972, the seventh emirate, Ras Al Khaimah, joined the federation.

Dubai's remarkable growth began in the late 1960s. It was during this period, in 1966, that small oil reserves were discovered in the region, allowing the emirate to reduce its dependency on oil-rich Abu Dhabi. The first revenues from oil production were received in Dubai's budget in 1969.

A pivotal event in Dubai’s history was the unification of six Gulf emirates into a single federal state. In 1971, the world was introduced to a new country – the United Arab Emirates. Sheikh Rashid bin Saeed Al Maktoum became the first emir of Dubai. He played an active role in the emirate’s oil business and, recognizing the limitations of natural resources, initiated the diversification of the economy to reduce Dubai’s dependence on oil revenues.

On August 25, 1977, the establishment of a committee to manage Dubai Airport as an international aviation hub and tourist center was announced. The committee was headed by the emir’s son, Mohammed. Seven years later, in 1984, Sheikh Mohammed bin Rashid Al Maktoum approached Maurice Flanagan, managing director of dnata, with a proposal to create a new airline. With a $10 million investment, Emirates Airline was launched, and within five months, the airline conducted its first flights to Karachi and Mumbai using Boeing 737 and Airbus 300 B4 aircraft leased from Pakistan International Airlines.

Not content to stop there, Sheikh Mohammed organized Dubai's first airshow in 1989. By 2013, the number of exhibiting companies had grown to over 1,000. This event became the setting for Emirates' largest aircraft order in history, totaling $99 billion. Today, Emirates operates 100 Airbus A380s and is the world's largest operator of Boeing 777s, with a fleet of 134 aircraft.

Having conquered the skies, Sheikh Mohammed turned his attention to port development. In 1991, he merged the management of Jebel Ali and Port Rashid, creating a free trade zone within the port area. This led to the rapid formation of the Dubai Ports Authority. Eight years later, in 1999, Sheikh Mohammed founded Dubai Ports International. In 2005, this company, along with the emirate's Ports Authority, was reorganized into DP World, a leading global port operator. Within just 3-4 years, the company transformed from a regional player into one of the world’s top three port operators.

Another initiative for the region’s economic development was undertaken in late 1995 with the creation of the Dubai Shopping Festival. Conceived by Sheikh Mohammed bin Rashid Al Maktoum, the event was designed to boost retail trade. The first festival attracted over $500 million in just one month. The festival industry has since become a key sector in the emirate’s economy, fueling the growth of tourism and retail.

These successes were not enough for Sheikh Mohammed, who sought to create a project that would attract the world’s elite. In 1999, Dubai opened one of the most luxurious hotels in the world – the Burj Al Arab. Designed as a symbol of the emirate, the architects aimed to create a unique structure. Today, the hotel remains the tallest all-suite hotel in the world, offering only luxury accommodations. With its unparalleled opulence and first-class service, the Burj Al Arab is often referred to as a 7-star hotel.

Despite strict Islamic rules, Sheikh Mohammed was determined to transform Dubai into a cosmopolitan and technologically advanced metropolis. He succeeded in his mission, and today the emirate is one of the most popular and accessible cities for living, business, and investment. Prioritizing technology and development, in October 1999, he established Dubai Internet City. Additionally, another free zone, the Dubai International Financial Centre, has flourished, becoming the leading financial center in the Middle East. According to the 2023 Global Financial Centres Index, DIFC ranks as the top financial center in the Middle East, Africa, and South Asia, and holds the 21st position among the world’s 100 largest financial centers.

Development prospects  

Dubai is renowned for its skyscrapers and continuously sets new height records. By 2027, Azizi Developments plans to complete the construction of a 600-meter-tall tower. The skyscraper will house a 7-star hotel designed to the developer’s standards, making it the second tallest building in the UAE after the 828-meter-tall Burj Khalifa, and the fourth tallest in the world.

The UAE’s largest project is the construction of the Etihad Rail, which will connect all the emirates and enhance transport links with other Gulf countries, contributing to the region’s economic growth. The railway is planned to stretch over 1,200 km.

Another significant development is the upcoming opening of the world’s largest agritourism center, Agri Hub. This facility will feature a nature and heritage conservation center, eco-tourism and wellness centers, and an agricultural technology institute. URB, the developer, plans to create 10,000 jobs in the agritourism hub, which will operate on 100% renewable energy. Water and waste will be recycled on-site, and a 20 km network of cycling paths will be integrated throughout the complex.

Additionally, the construction of the world’s largest solar park, the Mohammed bin Rashid Solar Park, is worth noting. The project, managed by DEWA, aims to reduce the country’s reliance on natural gas and diversify its energy sources. The park will provide power to over 270,000 homes and reduce carbon emissions by 1,8 million tons annually. The fifth phase of the project is currently operational.

The first settlements in what is now Dubai appeared thousands of years ago

Today, Dubai is known as one of the world's fastest-growing cities. However, archaeological discoveries, such as spearheads, indicate that life existed in this region as far back as 100,000 years ago. Those interested in the city's history can explore it further at the Saruq Al-Hadid Archaeological Museum, which showcases artifacts from a desert excavation site that was once a major center of metalworking several thousand years ago.

Pearl diving was Dubai’s primary industry

Until the late 1960s, before the discovery of oil in Dubai, pearl diving was the city's main industry. In the early 20th century, more than 7,000 sailors and divers were engaged in this trade. To learn more about this historical era, visit the Pearl Museum, where you’ll find an incredible collection of natural pearls, as well as diving gear, tools, and maps.

The oldest building in the city is over 230 years old 

Dubai is famous not only for its skyscrapers that break world records but also for its historic buildings and architectural landmarks. One such landmark is the Al Fahidi Fort, built in 1787. It remains the oldest preserved building in Dubai to this day.

The world’s first 3D-printed office building

In 2016, Dubai became home to the world's first 3D-printed building. The construction of this two-story office involved only three workers and a single industrial 3D printer. The government has announced that by 2030, 25% of new buildings will be constructed using this innovative technology.

Dubai's first public school opened

Founded in 1912 by the renowned pearl merchant Sheikh Mohammed bin Ahmed bin Dalmook, Dubai's first public school initially taught only the Quran. Over time, natural sciences and geography were added to the curriculum. The school building, located in the Deira district, is no longer in use for its original purpose and now houses the Museum of National Education.

Expat life in the city

Despite cultural and religious differences, expatriates feel very comfortable in Dubai. Nearly all locals speak English, so communication is never a challenge. The city has a large Russian community, with regular training sessions and masterminds organized for compatriots.

Conclusion  

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