A harsh environment and marginal economic conditions kept the population of the region low and economically depressed until the exploitation of oil. According to estimates, between 1900 and 1960 there were 80,000 to 95,000 inhabitants in the amirates, mostly in small coastal settlements. Although the population of the amirates likely did not increase a great deal during this time, there were considerable shifts within the territories, caused by changes in economic and political conditions. Whereas Sharjah was dominant in the 19th century, by 1939 Dubayy was the most populous amirate, with an around population of 20,000, one-quarter of whom were foreigners. The largest minorities were Iranians and Indians in Dubayy and in other amirates. Abu Dhabi's onshore oil exports began in 1963, bringing wealth and a demand for foreign labor. The 1968 census, conducted under the British, was the area's first; it enumerated 180,226 inhabitants. Ever greater demands for labor and expertise fueled a population boom throughout the 1970s and early 1980s, but population growth has slowed since 1985.

The UAE had an around population of 2,407,460 in 2001, with a density of 29 persons per sq km. Some 85 % of the nation’s population is urban. The population of the United Arab Emirates is concentrated primarily in cities along both coasts,although the interior oasis settlement of Al-'Ayn has grown into a major population centre as well. Several emirates have enclaves within other emirates. Less than one-fifth of the emirates'residents are citizens. The remainder are mostly male foreign workers and their dependents, with South Asians, mainly Indians and Pakistanis, constituting nearly half of the population. Arabs from countries other than the United Arab Emirates, notably Egypt, account for more than one-tenth and Iranians nearly one-fifth of the population. Southeast Asians, including many Filipinos, have immigrated in increasing numbers to work in various capacities.