Abu Dhabi is the capital and the second largest city of the United Arab Emirates in terms of population and the largest of the seven member emirates of the United Arab Emirates. Abu Dhabi lies on a T-shaped island jutting into the Persian Gulf from the central western coast. The city proper had a population of 621,000 in 2012.Abu Dhabi houses important offices of the federal government, and is the seat for the United Arab Emirates Government and the home for the Abu Dhabi Emiri Family and the President of the UAE from this family
Abu Dhabi has grown to be a cosmopolitan metropolis. Its rapid development and urbanisation, coupled with the relatively high average income of its population, has transformed Abu Dhabi to a larger and advanced metropolis. Today the city is the country's center of political, industrial activities, and a major cultural, and commercial centre due to its position as the capital. Abu Dhabi alone generated 56.7% of the GDP of the United Arab Emirates in 2008.Abu Dhabi is home to important financial institutions such as the Abu Dhabi Securities Exchange, the Central Bank of the United Arab Emirates and the corporate headquarters of many companies and numerous multinational corporations. One of the world's largest producers of oil, Abu Dhabi has actively attempted to diversify its economy in recent years through investments in financial services and tourism.Abu Dhabi is the second most expensive city for expatriate employees in the region, and 67th most expensive city in the world. Fortune magazine and CNN stated that Abu Dhabi is the richest city in the world.