Introduction to Kuwait

The State of Kuwait (Arabic: الكويت‎) is a small oil-rich constitutional monarchy on the coast of the Persian Gulf, enclosed by Saudi Arabia in the south and Iraq in the north. The name is a diminutive of an Arabic word meaning "fortress built near water."

History

Kuwait was established in the 16th century when several clans (bedouins) from the "Al Aniza" tribe migrated to the northern shore of the Persian Gulf from the Najd, their famine-stricken homeland in central Arabia. They settled in what now is known as Qatar for more than 60 years before migrating over sea to settle in the Isle De Chader, where they built a small fort, or “kut”. The current rulers of the country are descended from Sabah I, who was chosen by the community, which was composed mainly of traders. They were tasked with administering the affairs of the State, including foreign affairs and taxation/duties. This is unlike most other Arab emirates of the Persian Gulf, where the rulers seized and maintained authority by force.

The 17th century saw the Arabian Peninsula experience some tumultuous times. The area that is now Kuwait was occupied by tribes and used for spice trading from India. By the 18th century, most of the local people made a living selling pearls. But as pearl farming developed in Japan during the 1930s, Kuwait became impoverished. In 1899, growing British influence led to Kuwait becoming a British protectorate. Oil transformed Kuwait into one of the richest countries in the Arab peninsula; in 1953 the country became the largest exporter of oil in the Persian Gulf. This massive growth attracted many immigrant laborers who were rarely granted citizenship. Kuwait, having amassed great wealth, was the first of the Persian Gulf-Arab states to declare independence, on June 19, 1961. Iraq challenged this declaration, claiming Kuwait was part of its territory. It threatened to invade Kuwait but was deterred by the British, who flew in troops.

An important period in Kuwait's political, social and economic development was the Souk Al-Manakh stock market crash of 1982. This was a major crash that had widespread consequences and has endured in the public memory even decades later.

After being allied with Iraq during the Iran-Iraq War until its end in 1988 (Kuwait paid Iraq to protect it from what it perceived as a threat posed by Iran), Kuwait was invaded and annexed by Iraq (under Saddam Hussein) on August 2, 1990. Hussein's primary justifications included a charge that Kuwaiti territory was in fact an Iraqi province, and that annexation was retaliation for "economic warfare" Kuwait allegedly had waged through slant drilling into oil supplies on Iraqi territories. Hussein deposed the monarchy after the annexation and installed a new Kuwaiti governor.

Authorized by the UN Security Council, an American-led coalition of 34 nations fought the Persian Gulf War to liberate Kuwait. After six weeks of fierce fighting in early 1991, the coalition forced Iraq to withdraw its troops from Kuwait on February 26, 1991; during retreat, the Iraqi Armed Forces exacted a scorched earth policy by setting fire to Kuwaiti oil wells. The fires took more than nine months to fully extinguish, and the cost of repairs to oil infrastructure exceeded $5 billion. Certain buildings and infrastructural facilities (including Kuwait International Airport) also were severely damaged during the war. Kuwait remains under the governance of the Emir, Sabah Al-Ahmad Al-Jabir Al-Sabah (since 29 January 2006) as an independent state and is of strategic importance to the United States.

Politics

Kuwait is a constitutional monarchy and has the oldest directly elected parliament of the Persian Gulf Arab countries. Chief of state is the Emir, a hereditary title. The Emir appoints the prime minister, who until recently was also the crown prince. A council of ministers aids the prime minister in his task as head of government which must contain at least one of elected members of the parliament. The number of minister must not exceed ⅓ of the elected members of the parliament.

The parliament has the power to dismiss the prime minister or anyone of his cabinet through a series of constitutional procedures. According to the constitution, nomination of a new crown prince by the ruling family has to be confirmed by the National Assembly. If he does not win the votes of an absolute majority of the assembly, the Emir must submit the names of three candidates to the National Assembly, and the Assembly must select one of these to be the new crown prince. The parliament known as the Majlis Al-Umma (National Assembly), consists of elected 50 members, who are chosen in elections held every four years. Government ministers, according to the Constitution of the State, are given automatic membership in the parliament, and can number up to 15.

Prior to 2005, only 15% of the Kuwaiti citizen population was allowed to vote, with all women, "recently naturalised" citizens (less than 30 years of citizenship), and members of the armed forces excluded. On May 16, 2005, Parliament permitted women's suffrage by a 35-23 vote, subject to Islamic law and effective for the 2006 Parliamentary Election. The decision could raise Kuwait's voter rolls from 139,000 to as many as 339,000 if all eligible women register; the total number of Kuwaitis is estimated at more than 960,000. Recently, the former Prime Minister Sheikh Sabah al-Ahmad al-Sabah announced the appointment of Dr Massouma Mubarak as planning minister and minister of state for administrative development affairs. The appointment of a woman as a cabinet minister was a major breakthrough in Kuwaiti political system and it makes Kuwait the third country in the conservative Persian Gulf Arab monarchies to have a woman cabinet minister.

Geography and Climate

Kuwait consists mostly of desert, with little altitude difference. Kuwait is the only country in the world with no natural lake or water reservoir. It has nine islands, the largest one being Bubiyan, which is linked to the mainland by a concrete bridge (after the liberation in 1991 the island was converted into a military base and currently no civilians are allowed in). The islands are:


Majority of Kuwait's population lives in the coastal areas. Shown here is the South-eastern Kuwait from spaceAuhah Island
Bubiyan Island
Failaka Island
Kubbar Island
Miskan Island
Qaruh Island
Umm al Maradim Island
Umm an Namil Island
Warbah Island
Kuwait enjoys a variable continental climate. Summers (April to October) are extremely hot and dry with temperatures reaching above 51 °C (124 °F) in Kuwait City. Winters (November to February) are cool with limited precipitation and temperature level dropping below 21 °C (70 °F). The spring season is cool and pleasant.

Economy

Kuwait is a small, rich, relatively open economy with proven crude oil reserves of 96 billion barrels (15 km³) - 10% of world reserves. Petroleum accounts for nearly half of GDP, 95% of export revenues, and 80% of government income. Kuwait's climate limits agricultural development. Consequently, with the exception of fish, it depends almost wholly on food imports. About 75% of potable water must be distilled or imported. Higher oil prices put the FY99/00 budget into a €1.7 billion ($2 billion) surplus. The FY00/01 budget covers only nine months because of a change in the fiscal year. The budget for FY01/02 envisioned higher expenditures for salaries, construction, and other general categories. Kuwait continues its discussions with foreign oil companies to develop fields in the northern part of the country. By 1990 the country earned more from foreign investment than from oil exports. The expenses of the Iraqi invasion and postwar reconstruction placed a heavy economic burden on the country, but by the mid-1990s Kuwait had resumed its preinvasion prosperity. Gross domestic product (GDP) for 2005 was $53.31 billion, giving Kuwait a per capita GDP of $22,800. The labor force totals 1,670,000 people,only about one fifth of whom are Kuwaiti citizens.

The Central Bank of Kuwait in the capital city issues Kuwait’s currency, the Kuwaiti dinar. The dinar is currently valued at 0.351676 KWD per 1EUR and at 0.292010 KWD per 1USD, making it the highest-valued currency in the world.