An Arab diplomat, speaking on condition of anonymity, told Reuters last week he believed a majority wanted Syria to be readmitted - with only three or four states expected to oppose this.
UAE had closed its Embassy in the early years of the Syrian conflict.
UAE's Foreign Ministry said in a statement that "the step confirms that the UAE government is keen to restore relations between the two brotherly countries back to normal".
It said that the resumption of ties aimed to "support the sovereignty and independence of Syria" and face "the dangers of regional interferences".
Rumours of the Emirati embassy reopening have circulated in recent days as renovation work was spotted getting underway at the building.
Earlier this month, Sudanese President Omar Bashir became the first Arab head of state to visit Damascus since the start of the Syrian conflict, flying into Damascus airport.
Maher Ihsan, another expert, told Xinhua that despite the fact that no UAE ambassador has yet been named, the opening of the embassy is a fix to the broken relations between both countries.
The embassy of the United Arab Emirates (UAE) in the Syrian capital of Damascus has reopened with the UAE flag being raised again, for the first time in more than seven years.
Syria was suspended from the Arab League in November 2011, as the death toll was escalating and several regional powers bet on Assad's demise.
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Government forces and allied militia have since steadily regained significant ground.
Assad has vowed to recoup control of the entire country.
"Syria is a major Arab country in the region, we did not cut ties and it did not do so".
- On December 22, Syrian intelligence chief Ali Mamluk, a key regime figure, visits Cairo for talks with Egyptian officials.
Air flights between the two countries, it added, were also soon set to resume.
Hamad bin Isa al-Khalifa attends the Gulf Cooperation Council summit in Kuwait.
President Donald Trump said last week the United States would pull its troops out of Syria because the Islamic State terror group has been defeated, although some politicians and experts have disagreed on that claim.