The jockey shirt, in which Al Maktoum won an international endurance competition in Spain in 2002, was bought by Farhan Faraidooni, the CEO and chairman of the Sama Dubai company, the real estate investment and development arm of Dubai Holding.
Faraidooni said that, "Sheikh Mohammed is a visionary. This shirt is symbolic of his leadership and is priceless," the English daily Gulf News quoted him as saying.
The winning bid for the shirt far outstripped final bids for other items at the auction, including silver and golden ancient coins, a 300-year-old Koran, and silk carpets.
The auction was held as part of charity campaign aimed at raising money for education in the world's poorest countries.