[7]: 13 In the 19th century, pearls were the main commodity of the region, with buyers from Mumbai, commerce peaked in 1897.

In 1902, the company's vessels made 21 visits to Dubai and from 1904 on,[9] the steamers called fortnightly – in 1906, trading 70,000 tonnes of cargo.

[10] The frequency of these vessels helped to accelerate Dubai's role as an emerging port and trading hub of preference.

[7]: 28  Hopes were reignited when in 1937, an oil exploration contract was signed which guaranteed royalty rights for Dubai and concessionary payments to Sheikh Saeed bin Maktoum.

The exclave is bordered by Oman to the east and south, the villages of Sayh Mudayrah and Masfout in Ajman to the west, and Ras Al Khaimah to the north.