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Is there poverty in Emirates?

While a lot of wealth exists in the country, the majority of it is concentrated in the hands of rich Emiratis. The country's economy is heavily reliant on migrant workers, who make up 88% of the population and are poorly paid. The poverty rate, defined as a daily income of less than 80 dirhams ($22) is 19.5%.



While the United Arab Emirates (UAE) is one of the wealthiest nations globally, relative poverty and economic disparity do exist, particularly among the vast migrant worker population. The UAE does not have a "poverty line" in the traditional sense like Western nations; instead, it uses a high-income threshold. Wealth is concentrated primarily among the local Emirati citizens, who benefit from extensive government subsidies, free education, and housing grants. However, the majority of the population consists of foreign expatriates, many of whom are low-skilled laborers in the construction and service sectors. These workers often live in "Labor Camps" on the outskirts of cities like Dubai and Abu Dhabi, earning wages that are high compared to their home countries but very low relative to the UAE's high cost of living. While "extreme poverty" (homelessness or starvation) is virtually non-existent due to strict laws and charitable foundations, there is a significant "working poor" class that faces challenges related to debt, limited social mobility, and restrictive labor contracts, creating a stark contrast with the glamorous, high-luxury image the Emirates projects to the world.

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