Contents Chapter 1. The History of the United Arab Emirates (UAE) Where is the UAE? What is the UAE? UAE economic and political environment within the UAE Creation of the Trucial States UAE formation - time line Chapter 2. The Discovery of Oil and its Impact on the UAE History of the oil sector in the UAE Early role of the British government Oil finds within the individual emirates Impact of oil discoveries Chapter 3. Monetary Environment in the Middle East and the Gulf Early origins of the UAE currency Origins of the sterling area The sterling area and the Middle East Currency arrangements prior to the introduction of the UAE dirham Breakdown of the sterling area Gulf currency boards and the issue of currencies The Bahrain dinar currency zone Currency systems in the Trucial States Chapter 4. Currency Boards: Predecessors of Central Banks What are currency boards? Currency board principles Why were they created and how do they differ from central banks? Role of the Loombe report Appendix 4.1 Loombe on currency board principles Appendix 4.2 Sterilisation coefficients and calculations Chapter 5. Creation of the UAE Currency Board UAE Currency Board Was the UAE Currency Board a success? Analysis of UAE Currency Board annual reports Currency board analysis: Testing for orthodoxy The Abu Dhabi-Bahrain currency zone Appendix 5.1 Union Law No 10,1980; The creation of the UAE monetary authority Appendix 5.2 UAE Currency Board financial statements; Authorised currency Appendix 5.3 Backing and orthodoxy tests Appendix 5.4 Qatar-Dubai Currency Board reports 1966-1972

Contents Chapter 1. The History of the United Arab Emirates (UAE) Where is the UAE? What is the UAE? UAE economic and political environment within the UAE Creation of the Trucial States UAE formation - time line Chapter 2. The Discovery of Oil and its Impact on the UAE History of the oil sector in the UAE Early role of the British government Oil finds within the individual emirates Impact of oil discoveries Chapter 3. Monetary Environment in the Middle East and the Gulf Early origins of the UAE currency Origins of the sterling area The sterling area and the Middle East Currency arrangements prior to the introduction of the UAE dirham Breakdown of the sterling area Gulf currency boards and the issue of currencies The Bahrain dinar currency zone Currency systems in the Trucial States Chapter 4. Currency Boards: Predecessors of Central Banks What are currency boards? Currency board principles Why were they created and how do they differ from central banks? Role of the Loombe report Appendix 4.1 Loombe on currency board principles Appendix 4.2 Sterilisation coefficients and calculations Chapter 5. Creation of the UAE Currency Board UAE Currency Board Was the UAE Currency Board a success? Analysis of UAE Currency Board annual reports Currency board analysis: Testing for orthodoxy The Abu Dhabi-Bahrain currency zone Appendix 5.1 Union Law No 10,1980; The creation of the UAE monetary authority Appendix 5.2 UAE Currency Board financial statements; Authorised currency Appendix 5.3 Backing and orthodoxy tests Appendix 5.4 Qatar-Dubai Currency Board reports 1966-1972