Zayed, who led UAE since its foundation in 1971, died on Tuesday in his early 90s after a long illness. He will be buried on Wednesday in a low-key funeral confined only to family and government delegations, officials said.

Saudi ruler Crown Prince Abdallah and other Arab leaders and foreign envoys are due to arrive for the funeral.

Grief engulfed the UAE where life came to a standstill with businesses closed. Quranic prayers blared from loudspeakers.

Shaikh Zayed, who received a kidney transplant in 2000, used oil income to transform seven mostly poor and feuding Shaikhdoms into modern cities with strong economies. The country of 4.04 million people has one of the world’s highest per capita incomes and expatriates make up over 85 percent of the population.

Shaikh Zayed’s death caused grief among his people who held him in high esteem and in the Arab world where his traditional generosity, moderation and diplomacy won him a prominent place.

US Secretary of State Colin Powell said in a condolence statement run by the UAE state news agency: “Shaikh Zayed was a model of generosity, wisdom and leadership. The whole world knew him as a man of development, justice and civilisation.”

Smooth transfer of power

UAE officials expected a smooth transfer of power. Shaikh Zayed’s eldest son Shaikh Khalifa bin Zayed Al Nahayan automatically took over as ruler of the capital Abu Dhabi.

Under the constitution, Vice-President and Prime Minister Shaikh Maktoum bin Rashid Al Maktoum, ruler of Dubai, will act as president until the federal council, which groups rulers of the seven emirates, meets within 30 days to elect a president.

Officials expect the council to elect Shaikh Khalifa president with power remaining in Abu Dhabi where 93 percent of the oil wealth is concentrated.

Born in 1948, Shaikh Khalifa plays a big role in running the UAE. He heads Abu Dhabi’s Supreme Petroleum Council, which drafts oil policy, and is deputy supreme commander of armed forces. The pro-Western moderniser also heads the emirate’s economic body.

Statements of mourning poured in from across the world for Shaikh Zayed, famous for his 2003 initiative to avert the US war on Iraq by calling on Saddam Hussein to step down.

The sorrow was shared by millions of Arab and Asian workers who form the bulk of the country’s workforce.

“When my father heard the news he started crying,” said Fadi Agha, a Palestinian who has lived in the UAE for 20 years. “This is a loss not just for the UAE but for all the Arabs”.

Indian worker Jagadish said: “The Indian people like him very much because he let us come to work here.