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Sheikh Mohammed bin Zayed al-Nahyan elected United Arab Emirates President

Sheikh Mohammed has been the UAE's de facto ruler for many years. (AP: Frank Augstein)

United Arab Emirates' de facto leader Sheikh Mohammed bin Zayed al-Nahyan has been elected president of the Gulf Arab state a day after the death of his half-brother and former ruler Sheikh Khalifa bin Zayed Al Nayhan. 

The nation's long-ailing ruler, Sheikh Khalifa, died on Friday at the age of 73. 

Sheikh Mohammed becomes takes the position at a time when the UAE's long-standing ties with the United States are strained over perceived US disengagement with its Gulf allies' security concerns and as Western countries seek support from the region to help isolate Russia over the Ukraine conflict.

The federal supreme council, which groups the rulers of the seven emirates of the UAE federation, elected Sheikh Mohammed, known as MbZ.

"We congratulate him and pledge allegiance to him as do our people … and the entire country will follow his leadership to glory," Dubai ruler Sheikh Mohammed bin Rashid al-Maktoum, who is also UAE vice-president and premier, said in a Twitter post.

Sheikh Mohammed, 61, had already been wielding power for years during which he led a realignment of the Middle East that created a new anti-Iran axis with Israel and invested in the UAE military which, coupled with its oil wealth, extended Emirati influence.

UAE rulers announced on Saturday they had unanimously appointed Sheikh Mohammed (centre). (AP: Hamad Al Kaabi)

The UAE, a trade and tourism hub, has also deepened ties with Russia and China at a time when Washington's political capital with Abu Dhabi and Riyadh has been eroded by differences over the Yemen war, Iran and US conditions on lucrative arms sales.

"The future direction under him is set and is mirrored in other Gulf leaders adopting state-led and globally oriented economic diversification and a more assertive foreign policy that looks beyond the Gulf and traditional partners."

The Biden administration has moved to mend ties with oil heavyweights Saudi Arabia and the UAE. Both have refused to take sides in the Russia-Ukraine conflict and rebuffed Western calls to pump more oil to help tame crude prices.

President Sheikh Khalifa died on Friday at the age of 73.  (Reuters: Jamal Saidi)

It was not clear if US President Joe Biden would be among world leaders heading to Abu Dhabi to offer condolences following Sheikh Khalifa's death. French President Emmanuel Macron is due to arrive on Sunday.

Emirati political scientist Abulkhaleq Abdulla said Sheikh Mohammed would not lead the UAE to break with the United States or other Western partners but he would diversify the Gulf Arab state's international partners.

"That is going to be the new thing on the agenda," he said.

Sheikh Mohammed has shifted away from the hawkish foreign policy and military adventurism that saw the UAE wade into conflicts from Yemen to Libya, to instead focus on economic priorities.

This has seen the UAE engage with foes Iran and Turkey after years of animosity, as well as Syria's President.

"MbZ will need to take further steps to cement the UAE's position as the region's leading financial, logistics, and trading hub," James Swanston of Capital Economics said in a note, referring to a push by Gulf states to diversify economies amid a global energy transition away from hydrocarbons.

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