 In the mid- to long term, however, the peg will become less important, as the UAE transitions to a knowledge-based economy – and becomes yet more independent from the oil and gas sector (oil is currently still being traded not in AED, but in USD).On the contrary, it will become more and more important for the Government to have monetary policy at its free disposal to target inflation, shun too heavy reliance on taxes, and avoid situations where decisions on exchange rates and interest rates contradict fiscal policy measures – as has been the case in recent years, where monetary policy has limited fiscal policy effects on economic expansion.According to Fitch Ratings, the decline in property sector follows risks of progressively worsening the quality of assets in possession with UAE banks, leading the economy to rougher times ahead.