This was not written by me. It was written by Ayman al-Sanad, who has been working for some time to create workable libraries for so Android devices can properly display Arabic. Oddly there was no thread posted here that I can find so I'm going to go ahead and post it, since I know this is a much-desired feature for many people and at least some people will find it over Google or the like, and if you have any friends that speak an RTL language you can point them here.
As Google has yet to add native support for Right-To-Left languages like Arabic, Persian and Urdu (despite it being the top feature request
) Ayman stepped in and created libraries for our usage.
The downloads page is available here: Downloads / ????? :: Arabic Android | ??????? ????
. I'm assuming the libraries will work with any Froyo install. Your phone has to be rooted. Put the relevant library zip on your SD card, flash it through Clockwork Recovery. Reboot will take some time on a black screen. After that you should have full Arabic support.
Big thanks to Ayman for his great work.
(note there are some issues with ligatures with Persian/Urdu but it is correct for the most part)