The organisational performance comprises real results or outputs compared with intended outcomes. Organisations' capacity to continually evolve their technologies can also be characterised as a response to a changing environment. Influential innovation capabilities affecting organisational performance differ among countries due to differing prevailing conditions that influence organisations' objectives. There is a lack of organisational culture studies on innovation capabilities and organisational performance in the UAE. This study seeks to identify the effect of organisational culture between innovation capabilities to improve organisational performance of the department of economic development in the UAE. This study employed a quantitative approach. A survey was performed among the UAE economic development department employees. There was a total of 260 questionnaires, 246 of which are accurate. Moment Structure Modeling (AMOS-SEM) research was built based on the innovation-related categories: vision and strategy organisational intelligence; creativity and idea management; management of technology; organisational structure and system; organisational culture and organisational performance. The study's findings indicate that organisations' innovation capability and the significance of the mediating effect of organisational culture have substantial and direct effect on the performance of the UAE's economic development department. The study groups' effect size on innovation capability is medium from the R² (coefficient of determination). This analysis's effect is that the operating performance of the economic development department in the execution of the UAE can be strengthened by taking into account the corporate atmosphere and capacity for growth where the findings and recommendations are rigidly implemented.