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Dubai was founded in the 19th century as a fishing village. Beginning in the early 20th century, it has developed into a significant regional and international trade hub, with a particular emphasis on tourism and luxury. However, oil production contributed less than 1 percent to the emirate's GDP in Dubai has the second-most five-star hotels in the world [ 18 ] and the tallest building in the world , the Burj Khalifa , which is metres 2, ft tall. Located in the eastern Arabian Peninsula , on the coast of the Persian Gulf , [ 19 ] it is a major global transportation hub for passengers and cargo.
Many theories have been proposed as to the origin of the word "Dubai". One theory suggests the word used to be the souq in Ba. The history of human settlement in the area now defined by the United Arab Emirates is complex and extensive. It points to extensive trading links between the civilisations of the Indus Valley and Mesopotamia , and even as far afield as the Levant. The area was known to the Sumerians as Magan and was a source of metallic goods, notably copper and bronze.
The area was covered with sand about 5, years ago as the coast retreated inland, becoming part of the city's present coastline. Dubai is thought to have been established as a fishing village in the early 18th century [ 31 ] and was, by , a town of some — members of the Bani Yas tribe and subject to the rule of Sheikh Tahnun bin Shakhbut of Abu Dhabi.
The main footpath out of the village led to a reedy creek while another trailed off into the desert and merged into caravan routes. In , following tribal feuding, members of the Al Bu Falasah tribe seceded from Abu Dhabi and established themselves in Dubai. The exodus from Abu Dhabi was led by Obeid bin Saeed and Maktoum bin Butti , who became joint leaders of Dubai until Ubaid died in , leaving Maktoum to establish the Maktoum dynasty. This led to the Perpetual Maritime Truce. Dubai also — like its neighbours on the Trucial Coast — entered into an exclusivity agreement in which the United Kingdom took responsibility for the emirate's security in In , a smallpox epidemic broke out in the Bur Dubai locality, forcing residents to relocate east to Deira.