Introduction

State of Kuwait, is a small but influential country located at the northeastern tip of the Arabian
Peninsula in Western Asia. Kuwait is bordered by Iraq to the north and west, Saudi Arabia to the south
and west, and the Persian Gulf to the east. Its terrain is primarily flat desert, with some small hills and
salt marshes along the coast. The country has nine offshore islands, the largest of which is Bubiyan
Island.

Kuwait has a rich history, with evidence of human settlement dating back to ancient times. It was a
prominent trading hub in the early centuries of Islam due to its strategic location on the Arabian Gulf.
Kuwait came under British protection in the late 19th century and gained independence in 1961. The
country has since experienced rapid development, particularly after the discovery of oil.

Despite its small size, Kuwait has played a significant role in regional affairs and continues to strive for
further development and diversification of its economy.

History

The general opinion of most historians was that Kuwait's modern history began in the early 18th
century, when several clans from the Al Aniza tribe migrated to the northern shore of the Gulf from the
Najd, their famine-stricken homeland in central Arabia. These settlers combined to create an oligarchic
merchant principality, whose economic prosperity was based on fishing, pearling, and trade. Eventually
the Al Sabah emerged as the dominant clan, and were formally established as rulers in 1756. However,
new pieces of evidence came to light which confirm Kuwait’s foundation in 1613, changing, thereby,
Kuwait’s History. Some of these historical testimonies mention the year explicitly, others, indicate it
implicitly.

Throughout the eighteenth and nineteenth centuries, the Al Sabah proved adept at the kind of
maneuvering that was necessary for a small state to survive next to powerful Saudi, Rashidi, and
Ottoman neighbors. By the late nineteenth century, however, fears of growing Ottoman influence led
Sheikh Mubarak Al Sabah or "Mubarak the Great" (r.1896-1915) to enter into an agreement with Great
Britain, which effectively established Kuwait as an autonomous British protectorate.

In the mid-1930s work began on the development of Kuwait's petroleum industry, the basis of the
country's modern prosperity. Oil was first discovered in Kuwait in 1938, but the development of the
industry was interrupted by World War II. By 1945, drilling had resumed on a large scale, and the
commercial export of crude oil began in June 1946. Oil production and revenues grew rapidly, fueling a
dramatic expansion of the entire economy. By the 1960s Kuwait enjoyed a level of economic
development that made it one of the richest states in the world on a per capita basis.

On June 19, 1961 Kuwait gained full independence from Britain. Iraq initially refused to accept Kuwait's
independence and threatened to annex its neighbor, falsely alleging that Kuwait had once been part of
Iraq. Iraq's military threats resulted in a deployment of British troops, which were soon replaced by an
Arab League force, and the crisis subsided. In 1963 Kuwait became a member of the United Nations, and
later that year Iraq agreed to abandon its threats and recognize Kuwait's independence and borders in a
treaty signed by both governments (although there were border clashes in 1973).
During the Iran/Iraq War of 1980-88, Kuwait supplied Iraq with massive amounts of aid, fearful of Iran's
influence after the Islamic Revolution of 1979. In retaliation, Iran attacked Kuwaiti oil tankers, until the
US Navy intervened. Despite this earlier support for Iraq, on August 2, 1990, Saddam Hussein ordered
the invasion and annexation of Kuwait. Iraq claimed that Kuwait was actually a rogue Iraqi province; in
response, a US-led coalition launched the First Gulf War and ousted Iraq.

Retreating Iraqi troops took revenge by setting fire to Kuwait's oil wells, creating enormous
environmental problems. The emir and the Kuwaiti government returned to Kuwait City in March of
1991 and instituted unprecedented political reforms, including parliamentary elections in 1992. Kuwait
also served as the launchpad for the US-led invasion of Iraq in March of 2003, at the start of the Second
Gulf War

Economy

Virtually all of Kuwait’s wealth is derived directly or indirectly, by way of overseas investments, from
petroleum extraction and processing. The most dramatic element of Kuwait’s economic development
has been the steady and rapid expansion of its oil industry since the 1970s. By the mid-1980s Kuwait was
refining four-fifths of its oil domestically and marketing some 250,000 barrels a day in its own European
retail outlets under the name “Q8.”

However, both the Iraqi invasion (which nearly exhausted Kuwait’s overseas investment revenues) and
the increasing volatility of the global oil market in the 1980s reduced this income substantially, but
income levels rebounded when oil prices rose dramatically in the early 21st century. Other sectors of
Kuwait’s economy are weak by comparison; agriculture, manufacturing, and trade each constitute only a
small proportion of gross domestic product (GDP).

Foreign Policy of Kuwait

points

Relations with Kuwait

In recent times, the overall relationship between Kuwait and Iraq has been characterized by efforts to
improve cooperation across various fronts, including trade, diplomacy, security, and regional stability.
While historical tensions and issues such as war reparations remain, both nations have shown
willingness to engage in dialogue and work towards resolving differences. Economic ties have been
growing, with Kuwait expressing interest in investing in Iraq's reconstruction efforts. Diplomatic missions
have been established, and both countries have collaborated on border security to prevent illegal
activities. Additionally, they have participated in multilateral forums to address common challenges in
the region. Overall, while challenges persist, Kuwait and Iraq have made strides towards fostering a
constructive partnership based on mutual respect and cooperation.

Relation with Saudi Arabia

The relationship between Kuwait and Saudi Arabia is marked by a long-standing history of cooperation
and mutual support. Both countries share strong economic ties, with trade and investment playing a
significant role in their partnership. They collaborate on joint development projects and infrastructure
initiatives, enhancing economic integration in the region. Security cooperation is a key aspect of their
relationship, with joint efforts aimed at maintaining regional stability and security. Diplomatic relations
are traditionally strong, characterized by regular high-level engagements and diplomatic exchanges.
Cultural and people-to-people ties further strengthen the bond between the two nations, fostering
mutual understanding and solidarity. Despite occasional differences, Kuwait and Saudi Arabia prioritize
dialogue and cooperation, working together to promote shared interests and prosperity in the Gulf
region.