When UAE Ambassador to the US Yousef Al Otaiba attended his first OPEC meeting 40 years ago with his father—six-time OPEC President and then UAE Minister of Petroleum and Mineral Resources—oil was the economy. Over the past four decades, the UAE has transformed itself through economic diversification, investing in high-growth industries like tech, aviation, logistics, advanced manufacturing and tourism. Today, oil accounts for less than a quarter of UAE GDP.

"Oil revenue was always a means to an end," Ambassador Al Otaiba writes in the Financial Times, recalling a recent conversation with his father. "The goal was never to be an oil state. It was to build something more enduring—a diversified economy, a knowledge society, a country with the depth and the partnerships to thrive in whatever the world became next."

Why This Matters

The UAE has the spare capacity and infrastructure to expand oil production to 5 million barrels per day by 2027. Ambassador Al Otaiba explains it is the country's responsibility to do so as regional instability has disrupted global supplies and driven prices toward record levels. Leaving OPEC is not just a commercial decision—it's a response to structural changes in global energy markets that demand more reliable, affordable energy.

Using a market-led approach to production, the UAE aims to deliver more abundant energy supplies and lower prices for US consumers and businesses. Revenues from expanded production will fund energy infrastructure investments worldwide through Masdar and ADNOC's XRG, both of which are currently investing tens of billions of dollars into US energy systems.  

“We have committed to a $1.4tn investment and technology partnership with the US. This is not the profile of a country whose primary interest is managing oil supply within a collective framework.” – Ambassador Al Otaiba