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FACTBOX-Key political risks to watch in the United Arab Emirates

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FACTBOX-Key political risks to watch in the United Arab Emirates

DUBAI, Dec 15 (Reuters) - The United Arab Emirates has

so far escaped the upheaval that has rocked the Arab world, but

the case of five activists convicted last month of insulting the

country's rulers suggests the oil producing state is not immune

to calls for reform.

UAE President Sheikh Khalifa bin Zayed al-Nahayan pardoned

the five last month, one day after a state security court

sentenced them to prison terms ranging from two to three years.

But the case had been seen as a gauge of how the

oil-producing Gulf Arab state, which allows no political

parties, responds to hints of political dissent after uprisings

toppled other Arab leaders.

The UAE is among the world's top five oil exporters and its

small local population has one of world's highest per capita

income, estimated at $66,625 in 2011, according to the IMF.

UAE security forces have moved swiftly to quell any attempt

at dissent. The five activists went through a five-month trial

before they were sentenced on Nov. 27, and a civil rights group

was disbanded.

The emirate of Dubai, which built itself into a finance and

trade hub only for its real estate bubble to burst in 2008-09,

faces possible debt refinance and investor flight risks.

There are lingering worries about Iran's nuclear programme,

a long-running territorial row with Tehran, and Islamist

radicalism.

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