KUWAIT

State of Kuwait Dawlat al-Kuwayt CAPITAL: Kuwait (Al-Kuwayt) FLAG: The flag, adopted in 1961, is a rectangle divided equally into green, white, and red horizontal stripes, with a black trapezoid whose longer base is against the staff and is equal to the breadth of the flag, and whose shorter base is equal to the breadth of the white stripe. ANTHEM: National Anthem, melody only; no words. MONETARY UNIT: The Kuwaiti dinar (KD) has 1,000 fils. There are coins of 1, 5, 10, 20, 50, and 100 fils, and notes of 250 and 500 fils and of 1, 5, 10, and 20 Kuwaiti dinars. KD1 = $3.344 (or $1 = KD0.299) as of May 2003. WEIGHTS AND MEASURES: The metric system is the legal standard, but imperial weights and measures also are in use, and some US measures are recognized. HOLIDAYS: New Year’s Day, 1 January; Emir’s Accession Day, 25 February. Movable religious holidays include Muslim New Year (1st of Muharram); Laylat al-Miraj; Milad an-Nabi; ‘Id al-Fitr; and ‘Id al- ‘Adha’. TIME: 3 PM = noon GMT. 1LOCATION, SIZE, AND EXTENT Kuwait is situated at the western head of the Persian (or Arabian) Gulf. Its area is estimated at about 17,820 sq km (6,880 sq mi). Comparatively, the area occupied by Kuwait is slightly smaller than the state of New Jersey. Kuwait extends 205 km (127 mi) SE–NW and 176 km (109 mi) NE–SW. Islands that form part of Kuwait include Faylakah (an archaeological site that is the only inhabited island), Bubiyan, Maskan, ‘Auha, Al-Warbah, Al-Kubr, Umm al-Maradim, Umm al-Nami, and Qaruh. Bounded on the E by the Persian Gulf, on the S and W by Sa‘udi Arabia, and on the NW and N by Iraq, Kuwait has a total land boundary length of 462 km (287 mi) and a coastline of 499 km (310 mi). Kuwait’s boundary with Iraq remains unsettled. Following Kuwait’s declaration of independence in June 1961, the emir requested UK assistance to ward off an Iraqi invasion; the British forces were later replaced by troops from Arab League states. The UN upheld Kuwait’s sovereignty, and in October 1963, Iraq formally recognized Kuwait’s independence. In March 1973 there were armed clashes on the Iraq-Kuwait border, but a settlement was announced in June 1975; negotiations to demarcate the border have continued intermittently. Again in August 1990, Iraq invaded Kuwait, asserting their right to reclaim it as their territory. US-led international forces responded with a massive air attack in January 1991, and Iraq was defeated. Some Iraqi officials continued to assert their claim to Kuwait, and relations between the two countries remained tense. On 27 May 1993, the UN Security Council reaffirmed the established border between the two nations. In 1994, Iraq formally accepted the UNdemarcated border but continues to periodically challenge the rhetoric of the agreement. Kuwait’s capital, Kuwait City, is located on the Persian Gulf coast. 2TOPOGRAPHY Kuwait consists almost entirely of flat rolling desert and mud flats. There is a 1137-m (450-ft) ridge at Mina’ al-Ahmadi and a 290-m (951-ft) prominence in the southwest corner. There are no streams. 3CLIMATE During the summer, which lasts roughly from May to October, the air generally is dry, but southeasterly winds often raise daytime humidity to 90% for a few weeks in August or September. Between November and April, the climate is pleasant, with cool nights and warm sunny days. In December and January, night temperatures occasionally touch the freezing point. Summer temperatures range from 29°C (84°F) in the morning to more than 49°C (120°F) in the shade at noon. Frost, almost unknown on the coast, is common in the interior. Annual rainfall, which averages less than 25 cm (10 in), comes in the form of showers or storms between October and April. Cloudbursts have amounted to as much as 6.4 cm (2.5 in) of rain in one day, and can heavily damage roads and houses. The prevailing northwest wind (shamal) is a cooling breeze in summer. 4FLORA AND FAUNA Plants and animals are those common to the arid parts of Arabia. There is little vegetation except camel thorn in the desert and some shrubs along the coastal strip. Between October and March, however, when at intervals sufficient rain falls, the desert is transformed: grass and foliage are plentiful, flowers and plants appear in great variety, and in the spring truffles and mushrooms can be found. The fox and jackal have decreased in numbers; other mammals found in Kuwait include gerbils, jerboas, and desert hares. Reptile species include various lizards, geckos, and snakes. Fish are plentiful. Among the species of migratory birds are swallows, wagtails, chiffchaff, skylarks, wrens, eagles, cormorants, hoopoes, and terns. 5ENVIRONMENT The Persian Gulf War of 1991 and its aftermath caused severe environmental problems for Kuwait, releasing large quantities of oil into the environment and threatening the water supply. Kuwait has no renewable water resources and must rely on wells Kuwait 353 and desalination of sea water. The nation has some of the largest and most advanced desalination plants in the world, which provides much of its water. Kuwait’s cities produce an average of 0.9 million tons of solid waste per year. In 2001, one of Kuwait’s mammal species and three of its bird species were endangered. The slender-billed curlew and hawksbill turtle are on the endangered list. The Sa‘udi gazelle has become extinct in the wild. 6POPULATION The Kuwaiti population declined on average by 6.5% per year during 1990-95, due in part to the Iraqi invasion and Gulf War of 1990-91. The population of Kuwait in 2003 was estimated by the United Nations at 2,521,000, which placed it as number 137 in population among the 193 nations of the world. This number includes over one million non-nationals who live and work in the country. In that year approximately 1% of the population was over 65 years of age, with another 26% of the population under 15 years of age. There were 151 males for every 100 females in the country in 2003. According to the UN, the annual population growth rate for 2000–2005 is 3.46%, with the projected population for the year 2015 at 3,352,000. The population density in 2002 was 127 per sq km (330 per sq mi). The vast majority of the population resides along the coast. It was estimated by the Population Reference Bureau that 98% of the population lived in urban areas in 2001. The capital, Kuwait City, had a population of approximately 165,000 in that year. According to the United Nations, the urban population growth rate for 2000–2005 was 2.3%. 7MIGRATION With the discovery of oil and the consequent rise in living standards, Kuwait acquired a large immigrant population, attracted by jobs, free education for their children, and free medical care. The number of foreign residents more than doubled during the 1970s, and in 1994 they accounted for an estimated 56.4% of the population. After the Persian Gulf war, Kuwait deported tens of thousands of foreign workers from countries whose leaders had backed Iraq in the conflict. Of the estimated 400,000 Palestinians living in Kuwait before the 1990–91 Gulf War, reportedly only about one-sixth were allowed to remain. Only about 120,000 of the 220,000 prewar Bedouins (mostly nomads from Syria, Jordan, and Iraq) were allowed to stay. These stateless Arabs had remained in Kuwait under Iraqi occupation and were suspected of collaboration. Most other foreign workers were able to return to their home countries. By 1996, however, Egyptians, Pakistanis, Filipinos and others had filled the void that the previous foreign workers left behind. In 2000 there were 1,108,000 migrants living in Kuwait. This accounted for 57.9% of the population. The number of refugees that year was 2,800. In 2000, the net migration rate was 11.1 migrants per 1,000 population. The government views the immigration level as too high. 8ETHNIC GROUPS Ethnic Kuwaitis are mostly descendants of the tribes of Najd (central Arabia) but some descend from Iraqi Arabs. Still others are of Iranian origin. The number of non-Kuwaitis are divided roughly in half between Arabs and non-Arabs such as Iranians, Indians, Pakistanis, and Filipinos. In 1999, 45% of the population was Kuwaiti, 35% other Arab, 9% South Asian, 4% Iranian, and 7% other. 9LANGUAGES Arabic is the official language. The Arabic spoken in Kuwait is closer to classical Arabic than to the colloquial Arabic spoken in many other parts of the Middle East. English is used generally by business people, employees of oil companies, foreign residents, and students, and it is the second language taught in the schools. 10RELIGIONS Islam is the state religion. According 2002 figures, Muslims comprise about 71% of the total population, with a majority believed to be Sunni Muslim. About 35% of Muslim citizens are of the Shi‘a branch. Other religious groups are present, primarily among foreign worker groups. These include Christians (mostly Roman Catholics and Anglicans), Hindus, Parsis, Baha’is, Sikhs, and others. 11TRANSPORTATION Kuwait has a modern network of roads, with all-weather highways running north to Iraq and south to Sa‘udi Arabia. Roadways extended 4,450 km (2,777 mi) in 2002, including 3,590 km (2,230 mi) of paved roads. In 2000 there were some 552,400 passenger cars, and 167,800 commercial taxis, trucks, and buses in use. Land transport accounts for a significant share of Kuwait’s imports and exports. There are no railways. Kuwait has five ports, including a cargo port at Ash- Shuwaykh, on Kuwait Bay, and an oil port at Mina’ al-Ahmadi that is equipped with a huge pier at which eight large tankers can be loaded simultaneously. In 2002, Kuwait had 38 merchant ships in service with a capacity of 2,274,515 GRT. Kuwait has regular calls from ocean shipping, and local sailing craft carry goods between Kuwait and the neighboring sheikhdoms, Iraq, and Sa‘udi Arabia. Sea transport accounts for most of Kuwait’s foreign trade. In 2001, there were 7 airports, 3 of which had paved runways. The principal airport, Kuwait International Airport, is located south of the city of Kuwait. Air transportation is highly advanced, with Kuwait Airways providing service to and from the major Middle Eastern and European cities. In 2001, the airline carried 2,084,600 passengers on domestic and international flights. 12HISTORY The historical records of the Arab coast of the Persian Gulf are meager. Archaeological discoveries on Faylakah Island reveal an ancient civilization about 2800 BC that had trade links with the Sumerians. By the 6th century BC, this part of the Gulf was a principal supply route for trade with India. There is evidence of early migrations to the East African coast by the seafaring inhabitants. The historical turning point for the entire Arabian Peninsula was the conversion of the people to Islam in the 7th century AD, during the lifetime of Muhammad. Kuwait’s recent history starts in 1716, when several clans of the tribe of Aniza migrated from the interior of the Arabian Desert to a tiny Gulf coastal locality, later to be called Kuwait (a diminutive of the word kut, meaning “fort”). In 1756, the settled tribesmen rallied around the As-Sabah family and chose as their ruler Sheikh Sabah ‘Abd ar-Rahim, founder of the present ruling dynasty. During the latter part of the century, raids by land and by sea resulted in the decline of Kuwait, but after the British suppression of piracy in the region, trading and shipbuilding prospered. During the period in which Sheikh ‘Abdallah as-Sabah ruled Kuwait (1866–92), a dynastic battle raged in Arabia between the rival houses of Ar-Rashid and As-Sa’ud. The Ottoman Turks, supporting Ibn Rashid, sought to extend their control over the coastal area to the south of Kuwait. Fearing that his territory would be lost to the Turks which considered it part of their province of Basra, Sheikh Mubarak as-Sabah (r.1896–1915) asked to be taken under British protection. The British were concerned not only because of the Turkish claims but also because the Russians were seeking to set up a coaling station in Kuwait, and both the Germans and the Turks had planned to 354 Kuwait make it a terminus of the Berlin–Baghdad railroad. In 1899, Sheikh Mubarak agreed not to alienate any of his territory or to receive representatives of any foreign power without British consent. In return, the British offered their services as well as an annual subsidy to support the sheikh and his heirs. On 19 June 1961, the protective treaty relations with the United Kingdom were terminated by mutual consent, and Kuwait declared itself fully sovereign and independent. By this time, the sheikhdom had already become a major oil producer and had acquired a controlling interest in the petroleum industry. Iraq refused to recognize Kuwait’s independence, asserting it had inherited the Ottoman claim to the territory. Baghdad’s threat of an invasion was foiled by the dispatch of British troops and later the support for Kuwait of the Arab League. Iraq then appeared to acquiesce in Kuwait’s sovereignty, although border issues were never definitely resolved. During the next two decades, Kuwait succeeded in establishing an open and prosperous economy, based in large part on foreign, especially Palestinian and Egyptian, labor. During the Iran-Iraq War, Kuwait, albeit technically neutral, rendered important assistance to Baghdad, including the transshipment of goods and the provision of over $6 billion in loans. As a response, members of Kuwait’s large Shi’a minority and other radical dissidents waged a war of terrorism against the government. Throughout the 1980s, there were bombings, assassination attempts, hijackings, and sabotage against oil facilities. In 1987, Iranian attacks on Persian Gulf shipping led Kuwait to request US protection for its supertankers. Washington agreed and when a “reflagged” Kuwaiti vessel was attacked, American forces retaliated against an Iranian offshore oil rig. With the end of the war, Iraq-Kuwait relations were stable until 1990 when Saddam Hussein accused his neighbor of waging economic warfare against Iraq by illegally drilling oil from the shared Rumailia field, overproducing oil to drive down prices and unfairly demanding repayment of wartime loans. Tensions could not be defused by negotiations or mediation and on 2 August 1990, Iraqi forces invaded Kuwait, asserting that they were rightfully reclaiming their territory. Kuwaiti defense forces offered little resistance and most senior officials fled the country. The United States led an international coalition of Arab and other nations to demand the withdrawal of Iraqi forces. After a lengthy buildup of forces, Iraq was assaulted by massive air and land forces; after six weeks, its defenses collapsed and Kuwait was liberated in February 1991. Kuwait’s leaders returned to find a disgruntled population that resented their abandonment and demanded greater political participation. Enormous physical damage had been inflicted on the country, including over 700 oil well fires that did serious ecological damage before being extinguished after almost nine months’ effort. The regime, and many Kuwaitis, turned harshly against those suspected of collaboration with Iraq. As a consequence, much of the large Palestinian community was ejected from the country. Relations with Iraq naturally remained tense, with some Baghdad officials continuing to assert their claim to Kuwait. On 27 May 1993, the UN Security Council reaffirmed the decision of a Boundary Demarcation Commission establishing the border between the two nations. Kuwait’s vulnerability to possible attack from Iraq or Iran drew the nation closer to the United States, which has been willing to offer enhanced security collaboration. In October 1994, Iraq began moving 60,000 troops to within 32 km (20 mi) of the Kuwaiti border. The UN Security Council voted unanimously to condemn Iraq’s actions, and the United States, the United Kingdom, and other countries came to Kuwait’s assistance. Kuwait agreed to allow the United States to station a squadron of 24 warplanes there as part of a broad effort to curb Iraqi military power. The plan kept reserves of American warplanes and a division’s worth of tanks and armor stationed in the region. On 10 November 1994 Iraq agreed to recognize the independence and current borders of Kuwait, a major step apparently aimed at allowing at least some UN sanctions against Iraq to be lifted. However, in August 1995, Iraqi troop movements along the Kuwaiti border caused alarm again, and the United States began sending ships carrying equipment and supplies to the Persian Gulf. In April 1996, an international military exercise (involving forces of the United States, the United Kingdom, Russia, China, Italy, and other Arab nations) was held in Kuwait. The UN also renewed its multinational force of border observers in April 1996 to oversee the 14-km (9-mi) demilitarized zone that separates Kuwait from Iraq. Although some of its neighbors in the Persian Gulf began to pursue a rapprochement with Iraq over the following years, Kuwait maintained its vigilance against the regime of Saddam Hussein. Early in 1998 it granted expanded staging areas to the United States in anticipation of possible military action in response to Iraq’s failure to cooperate with UN weapons S Y R I A N D E S E R T Ra's al Qayd Kuwait Bay Persian Gulf Batin Shatt al Arab ¸ Warbah Faylakah Bubiya¯n Al Jahrah Salemy Ash Shuaybah Qasr Al Fuhayhil Az Zawr Ad Dawhah Kuwait A¯b¯ad¯an Qasr as Sabiyah ¸ ¸ ¸ Mina’ Al Ah¸ma¯di As¸ S¸ubayh¸iyah Al Ahmadi Khabrat Umm al H¸ ira¯n Min¯a’ ‘Abd Alla¯h ¯ Mina¯’ Su‘u¯d Al Khira¯n Al Khafji Al Bas¸rah SAUDI A R A B I A I R A Q I R A N Kuwait W S N EKUWAIT 0 50 Miles 0 25 50 Kilometers 25 LOCATION: 28°32' to 30°6' N; 46°33' to 48°27' E. BOUNDARY LENGTHS: Persian Gulf shoreline, 499 kilometers (312 miles); Sa‘udi Arabia, 222 kilometers (139 miles); Iraq, 242 kilometers (151 miles). TERRITORIAL SEA LIMIT: 12 miles. Kuwait 355 inspections. At the end of 1998 it supported NATO air strikes against Iraq over the same issue. In January 1999, Kuwait placed its military on full alert in response to renewed threats from Iraq. As of 2000, a special UN commission had awarded $15.7 billion in reparations for damages suffered in Iraq’s 1990 invasion of Kuwait. In January 2003, Iraqi and Kuwaiti officials resumed talks on the fate of people who went missing during the Iraqi occupation of Kuwait in 1990–91. Kuwait claims Iraq must account for more than 600 Kuwaitis who disappeared during the occupation. Iraq insists it holds no such detainees, and accuses Kuwait of failing to account for more than 1,000 Iraqis. On 8 November 2002, the UN Security Council passed Resolution 1441, calling on Iraq to disarm itself immediately of weapons of mass destruction (chemical, biological, and nuclear weapons), to abide by all former UN resolutions regarding the country since the end of the 1991 Gulf War, and to allow for the reintroduction of UN and IAEA weapons inspectors (they were expelled from the country in 1998). The United States adopted a firm position toward Iraq’s disarmament, which it disputed, and by March 2003, was preparing for war. Since Kuwait’s liberation from Iraq in 1991, it became the world’s largest per capita defense spender. As of 2003, Kuwait had purchased Patriot antimissile batteries, F/A-18 warplanes, and Apache attack helicopters for a military force estimated at 15,500, with 23,700 in reserves. However, Kuwait was not expected to take part in the expected US-led invasion of Iraq; instead, its forces were to defend the country from retaliation or other form of attack by Iraq. By early March 2003, nearly 140,000 US and British military personnel had arrived in Kuwait. On 21 January 2003, a civilian contractor for the US military was killed and another wounded when their car was fired upon outside Kuwait City. A Kuwaiti man was arrested and claimed responsibility for the shooting, expressing support for Osama bin-Laden’s al-Qaeda organization. Kuwait is concerned with a rise in Islamic fundamentalism and anti-American sentiment. On 19 March 2003, the United States launched air strikes on Baghdad, and the war in Iraq began. Iraq fired a number of missiles at Kuwait, and one struck a mall in Kuwait City, but resulted in no deaths. Most of the missiles were destroyed by defensive Patriot missiles. The regime of Saddam Hussein was toppled on 9 April, and the military stage of the war ended soon after. Plans for the reconstruction of Iraq and for the establishment of a legitimate government were in the making in April, but it was acknowledged such progress could take years. In May 1999, the emir of Kuwait dissolved the National Assembly in the wake of a long-standing political deadlock between government and opposition forces. However, the opposition gained even more ground in national elections held in July, with both Islamists and liberals gaining addition seats. Among the matters awaiting parliamentary consideration was a controversial decree by the emir that would allow women to vote and run for office by the next election, scheduled for 2003. Parliament on 23 November 1999 voted against the emir’s decree to grant full political rights to women. 13GOVERNMENT According to the constitution of 16 November 1962, Kuwait is an independent sovereign Arab state, under a constitutional monarch. Executive power is vested in the emir, who exercises it through a Council of Ministers. Succession is restricted to descendants of Mubarak as-Sabah; an heir apparent must be appointed within one year of the accession of a new ruler. The emir appoints a prime minister after traditional consultations and appoints ministers on the prime minister’s recommendation. Emir Sabah as-Salim as-Sabah died in December 1977 after a reign of 12 years and was succeeded by Emir Jabir al-Ahmad al-Jabir as- Sabah. The as-Sabah family, advised by wealthy merchants and other community leaders, dominates the government. The National Assembly (Majlis) consists of 50 elected representatives. Elections are held every four years among adult literate males who resided in Kuwait before 1920 and their descendants; candidates must be Kuwaiti males at least 21 years of age. As a result, the electorate only accounts for about 10% of Kuwait’s total population. In 1996, naturalized citizens who did not meet the pre-1920 qualification but had been naturalized for 30 years became eligible to vote. The assembly may be dissolved at any time by the emir. It was dissolved in 1976, as part of a political crackdown that followed the government’s announced support of Syrian intervention in Lebanon. Elections were held in February 1981 and a new assembly was convened after elections in 1985; it was dissolved once again in 1986 as a result of national tensions over the Iran-Iraq war. It remained suspended until elections in October 1992. In 1993, the new Assembly actively produced new legislation, including a national budget. The emir suspended the Assembly once again in 1999, but new elections were held within two months. 14POLITICAL PARTIES Political parties are prohibited, but opposition groups are active in the nation’s political life. Several political groups act as de facto parties: Bedouins, merchants, Sunni and Shi’ite activists, and secular leftists and nationalists. Political opinions are freely expressed in informal gatherings in the homes of government officials and leading citizens. Pro-government forces gained ground over Muslim fundamentalist candidates in the elections of 8 October 1996. Following the 1999 elections, the Assembly was split almost evenly between pro-government, liberal, and Islamic members. Pro-government forces held 13 seats, with the rest held by Islamic and liberal parties, and unaffiliated independents. The Islamists are divided between the Ikhwan, which traces its political antecedents to Egypt’s Muslim brotherhood, and two Salafi groups which draw inspiration from Sa‘udi Arabia. Current political groupings include the Islamic Constitutional Movement (ICM) and the Islamic Popular Group (of the Salafi tendency), two Sunni organizations; the Islamic National Alliance, the main faction for Shi’a Muslims; the Kuwait Democratic Forum (KDF), a loose association of groups with Nassarist and pan-Arabist foundations; and the National Democratic Group, composed of generally secular progressives with liberal tendencies. The rest are independents or are tribal confederations. 15LOCAL GOVERNMENT There are five governorates (Ahmadi, Al Jahrah, Al Kuwayt, Hawalli, and Al Farwaniyah), but political authority is highly centralized in the capital. A tradition of diwaniyya, or family or tribal gatherings, serves as a forum for debate in society, largely oriented around the proceedings of parliament. 16JUDICIAL SYSTEM The system of Muslim law (the Shari’ah) was augmented by 1959 legislation that established courts of law, regulated the judicial system, and adopted modern legal codes. In each administrative district of Kuwait there is a summary court, composed of one or more divisions, each presided over by one judge. The summary courts deal with civil and commercial cases and leases. A tribunal of first instance has jurisdiction over matters involving personal status, civil and commercial cases, and criminal cases, except those of a religious nature, cases in which the amount involved exceeds KD 1,000. The High Court of Appeals is divided into two chambers, one with jurisdiction over appeals involving personal status and civil cases, the other over appeals involving commercial and criminal cases. State security court decisions may be appealed to the court of Cassation. Ordinary criminal cases may be appealed to the High Court of Appeals. The five-member 356 Kuwait Superior Constitutional Court is the highest level of the Kuwaiti judiciary. The Superior Constitutional Court interprets the constitution and deals with disputes related to the constitutionality of laws, statutes and by-laws. A military court handles offenses committed by members of the security forces. Religious courts, Sunni and Shi’a, decide family law matters, but there is also a separate domestic court for non-Muslims. There is no Shi’a appellate court. Shi’a cases are adjudicated by Sunni courts of appeals on appeal. While the 1962 constitution guarantees an independent judiciary, the executive branch retains control over its administration and budget. The Emir, after recommendation of the Justice Ministry, appoints judges in the regular courts. Kuwaiti nationals receive lifetime appointments; non-Kuwaiti judges receive renewable terms of one to three years. The constitution gives the authority to pardon and commute sentences to Emir. The Special State Security Court was abolished in 1995. 17ARMED FORCES Kuwait’s armed forces totaled 15,500 volunteers in 2002. The army had 11,000 personnel equipped with 368 main battle tanks. The air force numbered 2,500 and had 81 combat aircraft. The navy had 2,000 personnel and 16 craft. There is a 6,600-member National Guard. The UN provides troops and observers in Kuwait. The US maintains a military presence with 7,388 troops stationed in Kuwait. Estimated defense expenditures in 2001 were $1.9 billion or 5.5% of GDP. 18INTERNATIONAL COOPERATION Kuwait was admitted to UN membership on 14 May 1963 and is a member of ESCWA and all the nonregional specialized agencies. It belongs to the Arab League, G-77, OPEC, and OAPEC; in 1981, it was a leader in forming the GCC with Sa‘udi Arabia and four other Gulf states. Kuwait is a signatory of the Law of the Sea and a member of the WTO. 19ECONOMY The discovery of oil in 1934 transformed the economy. Kuwait’s enormous oil reserve of 94 billion barrels and huge quantities of natural gas have provided the base for an economic presence of worldwide significance. The Kuwaiti standard of living was among the highest in the Middle East and in the world by the early 1980s. Oil wealth has stimulated trade, fishery development, and service industries. The government has used its oil revenues to build ports, roads, an international airport, a seawater distillation plant, and modern government and office buildings. The public has also been served by the large-scale construction of public works, free public services, and highly subsidized public utilities, transforming Kuwait into a fully developed welfare state. Prudent management of budgetary allocations and development priorities, as well as substantial interest from overseas investment, helped cushion the adverse impact of the collapse of the Souk al-Manakh—an unregulated curbside securities market—in 1982, the collapse in world oil prices during the mid-1980s, and the 1980–88 Iran-Iraq war. In addition, acquisition in Western Europe of 5,000 retail outlets (marketed under the name “Q-8”) and expansion into the manufacture and sale of refined oil products bolster the Kuwaiti economy. Oil extraction and processing accounts for about 50% of GDP, 90% of export earnings, and 75% of government revenues. Kuwait’s economy suffered enormously from the effects of the Gulf War and the Iraqi occupation, which ended in February 1991 with the destruction of much of Kuwait’s oil production capacity and other economic infrastructure. The damage inflicted on the economy was estimated at $20 billion. Real growth in the GDP was estimated at 22.4% in 1993, 1.1% in 1994, and 3% in 1995. Economic improvement from 1994 to 1997 was largely from growth in the industrial and financial sectors. The “Difficult Debts Law,” which aided investors with losses incurred during the Iraqi invasion and an informal stock crash in the early 1980s significantly improved investor confidence. Reversing this trend, the GDP shrank 16% due to a large decline in world oil prices. The loss was more than restored by the recovery of oil prices beginning in the second half of 1999. GDP rose 17.22% in 1999, and then an extraordinary 26.88% in 2000. Inflation rose to 4.7% in 1999, but declined to 2.7% in 2000. Gross domestic product growth in 2001 was 5.43% and inflation was down to 2%. From 1999 to 2001 per capita GDP rose from $13,082 to $17,880. Kuwait’s portfolio investments have generally served to double the income it receives from its basic oil industry. 20INCOME The US Central Intelligence Agency (CIA) reports that in 2001 Kuwait’s gross domestic product (GDP) was estimated at $30.9 billion. The per capita GDP was estimated at $15,100. The annual growth rate of GDP was estimated at 4%. The average inflation rate in 2001 was 2.7%. The CIA defines GDP as the value of all final goods and services produced within a nation in a given year and computed on the basis of purchasing power parity (PPP) rather than value as measured on the basis of the rate of exchange. It was estimated that industry accounted for 60% of GDP and services 40%. Foreign aid receipts amounted to about $2 per capita. Household consumption includes expenditures of individuals, households, and nongovernmental organizations on goods and services, excluding purchases of dwellings. 21LABOR In 1998, the labor force was estimated at 1.3 million workers, many of whom were not Kuwaiti nationals. In 2002, 93% of the domestic workforce was employed by the public sector, while foreign workers make up 94% of the private workforce. The government-owned oil industry dominates the economy. The unemployment rate was under 2% in 1996, the last year in which statistics were available. Although workers are legally permitted to join unions, less than 5% of the labor force are union members. Virtually all are affiliated with the Kuwait Trade Union Federation, the only trade federation allowed by law. The government performs a pervasive supervisory role of all unions, both subsidizing union expenses and carefully monitoring union activities. The right to strike is severely limited, and strikes rarely occur. About 10% of union members are foreign workers, but foreign workers must be in Kuwait for five years before they join a union and then may not vote in elections or hold official positions. The right to strike is limited. In general, all workers are entitled to a 48-hour workweek, compensation for overtime, sick leave, termination pay, and access to arbitration for settlement of disputes. However, many laborers from developing countries are willing to tolerate poor or unhealthy working conditions in order to earn a wage significantly higher than in their own countries. The minimum working age is 18, although children who are at least 16 may work limited hours in non-hazardous occupations. Foreign workers must be at least 18 to work in Kuwait. In 2002, the public sector minimum wage was about $742 per month for citizens and $296 per month for non-citizens. Health and safety standards are lax in regard to foreign workers. 22AGRICULTURE Only 0.3% of the total land area is utilized for the cultivation of crops; permanent pasture land amounts to 7.7% of total land area. Despite the absence of rivers and streams, and the paucity of rain, the development of agriculture has been actively pursued. Kuwait 357 The government apportions arable land at nominal prices on a long-term basis among farmers to stimulate production of vegetables and other crops. It also provides farmers with longterm loans and low-cost irrigation. The state has supplied extension services and demonstration centers for new farming techniques in the attempt to increase agricultural production. Nevertheless, farming contributes less than 1% of the non-oil GDP. Agricultural output in 1999 included 134,000 tons of vegetables and melons, and 10,000 tons of fruit. 23ANIMAL HUSBANDRY When the desert is green (from the middle of March to the end of April), about one-fourth of Kuwait’s meat supply is provided locally. The 2001 livestock population included: cattle, 22,000; sheep, 630,000; goats, 130,000; and chickens, 32,463,000. Kuwait’s poultry production has recovered from damages inflicted during the 1990 invasion. Production in 2001 was estimated at 42,000 tons, exceeding the previous high of 21,000 tons in 1989. A small number of Bedouins raise camels, goats, and sheep for meat and milk. 24FISHING Small boats catch enough fish to satisfy local demand. Species caught include sardines, mackerel, tuna, shark (for the fins exported to China), barracuda, and mullet. Crabs, crayfish, and oysters are plentiful, and undik and zubaidi (butterfish) are both tasty and very popular. Shrimp are produced for a growing export market. The fish catch in 2000 totaled 6,300 tons, down from 8,466 in 1993 but up from the low of 2,034 in 1991, the year of the Iraqi invasion. 25FORESTRY There are no natural forests in Kuwait. The government’s afforestation projects cover an area of about 5,000 hectares (12,300 acres). Imports of forest products totaled $97.7 million in 2000. 26MINING In addition to petroleum and natural gas, the country’s main commodities, Kuwait produced caustic soda, chlorine, cement, clays, clay products, fertilizer, lime, salt, and sand and gravel. The cement and fertilizer production plants were damaged by retreating Iraqi troops during the 1991 Gulf War. Cement production rose from 98,000 tons in 1991 to 500,000 in 1996 and two million tons in 2000. Ammonia production (nitrogen content) in 2000 was 409,500 tons; and output of urea (nitrogen content) was 287,600 tons. 27ENERGY AND POWER The Persian Gulf is geologically unique: sedimentary deposits are combined with large, relatively unbroken folding that results in underground oil reservoirs 16 to 240 km (10–150 mi) long, containing billions of barrels of oil. Kuwait’s known petroleum deposits outrank those of any other country except Sa‘udi Arabia and Iraq. With proved reserves of about 96.5 billion barrels (13.3 billion tons) in early 2002, Kuwait possesses more than 9% of the known global resources of petroleum. Since its liberation from Iraqi occupation in February 1991, Kuwait has focused on the quick rebuilding of its preinvasion oilbased economy. During the occupation, oil production totally ceased following Iraqi sabotage and the havoc of Operation Desert Storm (the name of the allied military operation to free Kuwait). Iraqi troops had blown up 752 wells; 603 were ablaze while another 44 were gushing oil, creating oil lakes throughout the country. By November 1991, the fires were extinguished and the wells were under control, but the sabotage resulted in the loss of 1.1 billion barrels of oil. Crude oil production resumed in June 1991, exports in August 1991. Losses during the invasion had cost Kuwait $120 million per day. By 1994, Kuwait’s oil industry was back to full strength, producing a total of 2.0 million barrels a day, a rate last reached in 1989. In 2001, Kuwait had a crude oil output averaging 2.15 million barrels per day. The cost of production is perhaps the lowest in the world because Kuwait’s vast pools of oil lie fairly close to the surface and conveniently near tidewater; the oil rises to the surface under its own pressure and, owing to a natural gradient, flows downhill to dockside without pumping. Reserves of natural gas in early 2002 were estimated at 1.5 trillion cu m (53 trillion cu ft); 9.6 billion cu m (170 billion cu ft) of natural gas were produced in 2000. The Kuwait Petroleum Corp. (KPC), the state-run oil corporation, has a 30% share in offshore operations in the 16,000 sq km (6,200 sq mi) Neutral Zone partitioned between Kuwait and Sa‘udi Arabia under a 1992 agreement. The Kuwait National Petroleum Co. (KNPC), is the refining and shipping arm of KPC. Kuwait Oil Company (KOC), another subsidiary of KPC, runs oil and gas exploration and production. KNPC has a monopoly on all petroleum sold domestically and operates the refinery complex at Sha’iba. Oil was first discovered in commercial quantities in 1936, but only small amounts were produced before the end of World War II (1939–45). Commercial production began in 1946, and from 1951 on, a 50–50 profit-sharing plan governed the split of revenue between the Kuwait Oil Company and Kuwait’s emir. KOC’s concession (which was to run to the year 2026) covered all of Kuwait and its territorial waters, but in May 1962, it relinquished nearly half its area to the state. As of 1996, Kuwait was privatizing many of its state-owned companies, upon the recommendation of the World Bank. In March 1996 KNPC announced it would sell off 80% of its retail assets. With the dramatic rise in oil prices between 1999 and 2002, Kuwait’s forecasted budget deficit of $6 billion for 2001/02 turned into a surplus of roughly the same amount. All electric power is produced thermally from oil or natural gas. Installed capacity has grown dramatically during the past two decades and reached 8.5 million kW in 2001. Electric power production increased from 2,661 million kWh in 1970 to 20,610 million kWh in 1990 before falling to only 9,100 million kWh in 1991, due to the Iraqi invasion. In 2000, electricity generation totaled 30.6 million kWh, of which 100% was from fossil fuels. Most of the country is provided with electrical service; electric refrigeration and air conditioning are widely available. An extensive diesel power generating system serves outlying villages. 28INDUSTRY Although oil extraction continues to be the economic mainstay, Kuwait has diversified its industry. Small-scale manufacturing plants produce ammonia, fertilizer, paper products, processed foods, and other consumer goods. In 2002, the food processing industry was expanding, with growth sectors including vegetable oils, beverage bases, breakfast cereals, poultry parts, cheese, frozen vegetables, and snack foods. In 2002, Kuwait had three oil refineries with a total refining capacity of 828,000 barrels a day, including 773,000 barrels per day of crude oil distillation, 41,000 barrels per day catalytic cracking capacity, and 14,000 barrels per day reforming capacity. The major refinery products were fuel oil, gas oil, naphtha, kerosene, and diesel fuel. Industrial products include desalinated water, chemical detergents, chlorine, caustic soda, urea, concrete pipes, soap, flour, cleansers, asbestos, and bricks. The construction industry is highly developed. Manufacturing all but stopped during the Iraqi invasion due to shortages of inputs and looting of equipment. After liberation the sector was hard-hit by the departure of Palestinian skilled labor. Low international oil prices have cut down on the value of industrial exports, but increases from the latter half of 1999 have 358 Kuwait produced windfall returns. In 2000, industry accounted for 60% of GDP. 29SCIENCE AND TECHNOLOGY High technology in Kuwait has been largely confined to the oil industry and has been imported, along with the scientists and technicians needed to install and operate oil refineries and related facilities. The Kuwait Institute for Scientific Research, founded in 1967 at Safat, promotes and conducts scientific research in the fields of food resources, water resources, oil sector support, and environmental studies. The Agriculture Affairs and Fish Resources Authority has an experimental research station in Safat. Kuwait University, founded in 1962 at Safat, has colleges of science, engineering and petroleum, medicine, and allied health sciences and nursing. The College of Technological Studies, in Shuwaikh, was founded in 1976. The Telecommunications and Navigation Institute, at Safat, was founded in 1966. In 1987–97, science and engineering students accounted for 29% of college and university enrollments. 30DOMESTIC TRADE Until the early 1960s, the traditional small shop or market stall dominated retail trade. In recent decades, however, modern business centers with hundreds of new shops and offices have opened, and some smaller villages have developed retail stores with impressive stocks of foreign goods. Franchising is also becoming well established, though most of the franchise market is currently held by American fast-food and restaurant firms. The city of Kuwait is the distribution center for the emirate and serves the transit trade of nearby states. Usual business hours in summer (May to October) are from 6 AM to noon and from 4 to 6 PM; during the rest of the year, from 7 AM to noon and from 3 to 6 PM. Stores are closed Fridays. 31FOREIGN TRADE For many years, Kuwait had maintained a boycott of imports from Israel. However, after liberation from Iraqi occupation in 1991, Kuwait relaxed its trade policies so that Israeli companies previously subject to boycott were permitted to do business in Kuwait. Kuwait also announced a trade embargo against the countries it regarded as having supported Iraq during the occupation—Jordan, Yemen, Tunisia, Sudan, Algeria, and Mauritania. Major export partners in 1997 were Japan (24%), India (16%), the United States (13%), South Korea (11%), and Singapore (8%). Imports came primarily from the US (22%), Japan (15%), the United Kingdom (13%), Germany (8%), and Italy (6%). The export of fuels sustains Kuwait, accounting for the vast majority of commodity exports (91%). Kuwait is the source of 3.3% of the world’s crude petroleum exports. Polymers are another important export (4.8% of Kuwait’s exports). In 1999 Kuwait’s imports were distributed among the following categories: Consumer goods 22.3% Food 15.2% Fuels 0.5% Industrial supplies 22.4% Machinery 20.5% Transportation 19.0% Other 0.1% 32BALANCE OF PAYMENTS Kuwait enjoys a highly favorable payments position because of its huge trade surpluses. The Kuwaiti dinar is completely covered by the country’s reserve fund, 50% of which must be in gold. The US Central Intelligence Agency (CIA) reports that in 2001 the purchasing power parity of Kuwait’s exports was $16.2 billion while imports totaled $7.4 billion resulting in a trade surplus of $8.8 billion. The International Monetary Fund (IMF) reports that in 2001 Kuwait had exports of goods totaling $16.2 billion and imports totaling $6.93 billion. The services credit totaled $1.79 billion and debit $5.34 billion. The following table summarizes Kuwait’s balance of payments as reported by the IMF for 2001 in millions of US dollars. Current Account 8,562 Balance on goods 9,238 Balance on services -3,551 Balance on income 4,956 Current transfers -2,081 Capital Account 2,931 Financial Account -6,036 Direct investment abroad -323 Direct investment in Kuwait -39 Portfolio investment assets -7,372 Portfolio investment liabilities -78 Other investment assets 430 Other investment liabilities 1,347 Net Errors and Omissions -2,553 Reserves and Related Items -2,905 33BANKING AND SECURITIES The Central Bank of Kuwait, established in 1969, formulates and implements the nation’s monetary policy, regulates the currency, and controls the banking system. There are seven commercial banks with 96 branches in Kuwait, of which one is a singlebranch operation belonging to a joint-venture bank (the Bank of Bahrain and Kuwait). Apart from this special case, foreign banks are not permitted to operate within Kuwait or to own shares in Kuwaiti-banks. Kuwaiti bank shares are typically closely held, either by the government and its agencies or by the merchant families who founded them. The preeminent bank is the National Bank of Kuwait, which at the end of 1999 accounted for onethird of all Kuwaiti bank branch assets. The Central Bank of Kuwait only took on a serious regulatory role in 1984, after a debt crisis engulfed commercial banks, all of which had exposure to the collapsed informal stock market. However, the Central Bank’s powers are limited, and, although it considers some of the banks to be too weak to be competitive, it has so far been unable to force mergers. There are three specialized banks, one of which, Kuwait Finance House, operates as a commercial bank restricted to Islamic financial transactions. The other two, Industrial Bank of Kuwait and Kuwait Real Estate Bank, were created to provide long-term credit at a time when the supply of fresh capital from the public sector was not constrained. In the more austere environment since the war, they function like a US investment bank. The idea of establishing more Islamic banks has been welcomed. The International Monetary Fund reports that in 2001, currency and demand deposits—an aggregate commonly known as M1—were equal to $5.4 billion. In that same year, M2—an aggregate equal to M1 plus savings deposits, small time deposits, and money market mutual funds—was $30.0 billion. The money market rate, the rate at which financial institutions lend to one another in the short term, was 4.62%. The discount rate, the interest rate at which the central bank lends to financial institutions in the short term, was 4.25%. Kuwait’s official securities exchange, the Kuwait Stock Exchange (KSE), first introduced in 1962, was founded in 1977, and handles only government bonds and securities of Kuwaiti companies. An unofficial and unregulated securities exchange, the Souk al-Manakh, listing the stocks of 45 Gulf companies outside Kuwait and considered highly speculative, collapsed Kuwait 359 suddenly in August 1982. At the time of the crash, some 6,000 investors and $94 billion in postdated checks drawn in anticipation of future stock price increases were said to be involved. In order to limit the effect of the collapse on the Kuwaiti economy, the government created a special rescue fund to pay compensation to small investors for validated claims. All trading operations of the KSE were suspended on the Iraqi invasion of Kuwait on 2 August 1990. The KSE recommenced trading on 28 September 1992. On the exchange, 1995 was a banner year. The combined effect of rapidly expanding credit and privatization resulted in a 36% increase in the stock price index and a 226% increase in trading volume. By the end of 2001, 88 companies were listed with a total capitalization of KD26.7 billion ($86.9 billion) and a trading value of KD11.7 billion ($38 billion). Only Gulf Cooperation Council (GCC) citizens are permitted to buy shares in Kuwaiti companies. 34INSURANCE The insurance sector is closed to foreign institutions. As of 2000, the insurance sector was dominated by three companies: Ahlia Insurance, Gulf Insurance, and Kuwait Insurance Co. Marine, fire, accident, and life insurance policies constitute the bulk of all policies issued. Third-party liability insurance for motor vehicles is compulsory. In 2001, there was US$60 million spent on life insurance premiums and US$199 million on nonlife insurance premiums in Kuwait. 35PUBLIC FINANCE Much of the recent improvement in public finances is the result of higher oil prices and production, rather than government reforms. In 1994, the Kuwaiti government began to consider various austerity measures, which became a source of debate in parliament. Several plans in discussion call for reductions in government subsidies and welfare benefits, increases in taxes, privatization of state-owned businesses, and banking sector reforms. Subsidies are one of the most contentious and politicized austerity measures; in 1995, the Ministry of Finance stated that the country annually spends $1.8 billion on utility subsidies and free health care. The Kuwaiti cabinet passed a reform package in 1999, including a reduction in subsidies and increasing taxes on luxury goods. A government surplus of about 15% if GDP in 2000 was reduced to a deficit of over 2% in 2001 as a result of soft world oil prices. The US Central Intelligence Agency (CIA) estimates that in 2001/2002 Kuwait’s central government took in revenues of approximately $11.5 billion and had expenditures of $17.2 billion. Overall, the government registered a deficit of approximately $5.7 billion. External debt totaled $6.9 billion. The following table shows an itemized breakdown of government revenues and expenditures. The percentages were calculated from data reported by the International Monetary Fund. The dollar amounts (millions) are based on the CIA estimates provided above. REVENUE AND GRANTS 100.0% 11,500 Tax revenue 10.0% 1,145 Non-tax revenue 90.0% 10,352 Capital revenue <0.1% 4 EXPENDITURES 100.0% 17,200 General public services 9.2% 1,584 Defense 17.3% 2,972 Public order and safety 9.4% 1,615 Education 14.8% 2,547 Health 7.2% 1,230 Social security 20.4% 3,506 Housing and community amenities 4.8% 818 Recreation, cultural, and religious affairs 3.1% 538 Economic affairs and services 9.9% 1,707 Other expenditures 4.0% 683 36TAXATION Income from oil concessions is based on royalties, generally at the rate of 50% or higher. Individual or local company incomes are tax exempt. Profits of foreign corporations are taxed at rates ranging from 5–55% of the total Kuwait-source profit. The only other tax is a 5% levy on a shareholding company’s profit payable to the Kuwait Foundation for Scientific Research. Kuwaiti citizens are exempt from paying taxes. The government passed a law to introduce limited taxation in 2000, in the form of sales taxes. 37CUSTOMS AND DUTIES Customs duties are generally 4% ad valorem, but many goods are admitted duty-free. The tariff on cigarettes was reduced to 70% (from 100%) as of July 1997. Imports of liquor are prohibited by law. Protective tariffs may be levied at up to 25%. 38FOREIGN INVESTMENT Through tax concessions, Kuwait welcomes foreign investment in heavy and light industries, but continues to resist foreign investment in the oil sector. In May 2000 the government passed the Indirect Foreign Investment Law, allowing the purchase of up to 100% of the stock of companies listed on the Kuwait Stock Exchange except for banks. In March 2001 the government passed a liberalized Foreign Investment Law that, together with a five-year privatization plan announced July 2001, is expected to substantially increase foreign investment in Kuwait. Previously, foreign investment was not permitted in certain sectors such as banking or insurance, and was restricted to less than 49% of ownership shares in permitted areas. Foreign investors are no longer required to have a Kuwaiti sponsor, but are subject to a 55% corporate tax that Kuwaiti companies do not pay. Major foreign investors in Kuwait as of 2001 included Japan’s Arabian Oil Company and US-owned Texaco. In July 1995, the Union Carbide Corp. and Kuwait’s Petrochemical Industries Co. began construction of a $2 billion petrochemical plant, the biggest joint venture involving a foreign company to date in Kuwait. Foreign investment totaled $110 million in 1995. Foreign direct investment (FDI) has historically been low and not encouraged by a government concerned “Kuwaitization” of the economy. In 1997, FDI was reported at $20 million, rising to $59.1 million in 1998, and reaching $72.3 million in 1999. However, FDI inflow fell to $16.3 million in 2000, and then in 2001 turned into a net outflow of -$39 million. Low inward investment contrasts with remarkably high outward investment, though the government does not publish any statistics for these activities. Kuwaiti outward investment consists of portfolio investments held by the Kuwait Investment Authority (KIA), other direct investments by other government entities, and outward investments by private citizens. The KIA portfolio was estimated to have reached about $60 billion in 2002. Entities like the Kuwait Petroleum Corporation have sizeable investments in production, refining and marketing activities abroad, but only the roughest estimates as to their value can be made. Investments by private citizens are thought to at least equal the government’s holdings. 39ECONOMIC DEVELOPMENT Since the mid-1970s, Kuwait has restrained its spending on economic development and has fostered a policy of controlled growth. From 1977 to 1982, allocations for development projects remained steady at $1.7–2.5 billion annually, of which 76% was spent on public works, electric power plants, and desalination and irrigation projects. Development plans for the 1980s, stressing industrial diversification, included the expansion of local oil refineries and major projects in petrochemicals, electricity, water supply, highway construction, and 360 Kuwait telecommunications. Overseas, refining and marketing operations were stepped up. Post-war economic planning was hampered by the expulsion of the mainly Palestinian middle-ranking civil servants in various government departments. The Industrial Bank of Kuwait played a major role in the industrial redevelopment of the emirate following the war. Diversification and privatization continue to be the strategic goals of the government to increase employment and counter the abrupt swings in the economy due to the heavy dependence on the oil sector. Increased foreign investment has come to be seen as essential to these goals. In May 2000, the government passed the Indirect Foreign Investment Law, allowing foreign investors to buy up to 100% of companies listed on the Kuwait Stock Exchange (KSE) except for banks. The government, however, controls what companies are publicly traded. In March 2001, the Foreign Direct Investment Law was passed, allowing up to 100% ownership of a company operating in Kuwait, although with the disincentive that the profits of the foreign company would be subject to a 55% tax. In July 2001, the government announced a five-year privatization program. 40SOCIAL DEVELOPMENT Kuwait has a widespread system of social welfare on a paternalistic basis, financed by government oil revenues. It offers welfare services for the poor, provides free medical service and education to all Kuwaiti citizens, and spends heavily for waterworks, public gardens, and other public facilities. Social insurance legislation enacted in 1976 provides for old age, disability, and survivor pensions, for which the worker pays 5% of earnings and the employer pays 10% of payroll. In 1999, retirement benefits ranged from 65% to 95% of earnings, depending upon the length of employment. Large subsidies for electricity, gasoline, and rice hold prices below market rates but contribute to the government’s annual deficit. Women are denied equal rights and legal protection under Kuwaiti law, and their testimony in a court of law is not considered to be equal to that of men. Women must first obtain their husband’s permission before applying for a passport. Kuwaiti women married to foreign men suffer legal discrimination, are not entitled to government housing subsidies and are required to pay a residency fee. Female political parties are banned, and women are not allowed to vote or seek national elective office. However, 33% of women of working age are employed, and some occupy professional positions. The government is actively working to segregate all classrooms by gender. Women (including foreign women) who wear Western clothing are often subject to harassment. Domestic abuse is common. Rape and abuse of foreign domestic workers is widespread. Bedouin minorities face considerable legal discrimination. They are not entitled to citizenship, and are unable to work or enroll their children in schools. 41HEALTH Kuwait has a highly advanced public health service, which is extended to all Kuwaiti residents, regardless of citizenship. In 1993, 100% of the population had access to health care services. As of 1999, total health care expenditure was estimated at 3.3% of GDP. In 1999, 100% of the urban population had access to safe water and 100% of the urban population had adequate sanitation. In 1994, there were 16 public hospitals and sanatoriums (with 4,271 beds) and 70 clinics and other health centers. Medical personnel included 2,717 doctors and 399 dentists in 1994. As of 1999, there were an estimated 1.9 physicians and 2.8 hospital beds per 1,000 people. The incidence of typhoid fever and most infectious diseases is comparatively low; however, influenza is common and measles has resulted in a high fatality rate among children up to age five. Between 1990 and 1994, immunization rates for children up to one year of age were as follows: tuberculosis, 93%; diphtheria, pertussis, and tetanus, 98%; polio, 98%; and measles, 97%. As of 1999, the rates for DPT and measles were 94% and 95%, respectively. Common diseases were malaria (1,379 new cases in 1993) and measles (432 new cases in the same year). Life expectancy in 2000 was 77 years and infant mortality was estimated at 9 per 1,000 live births. As of 2002, the crude birth rate and overall mortality rate were estimated at, respectively, 21.8 and 2.5 per 1,000 people. The total fertility rate in 2000 was 2.7 children per woman during childbearing years. In 1990 and 1991, there were approximately 200,000 deaths attributed to the war between Kuwait and Iraq. In 1999 the HIV prevalence was 0.12 per 100 adults. 42HOUSING For centuries, housing in Kuwait consisted of small cottages, mud huts, and a few larger dwellings built of coral and plastered with cement and limestone. Improved housing for the general population has been a main government objective. The National Housing Authority built about 50,000 dwelling units in 1977–85. Between 1989 and 1994, 25,213 applications were presented for the housing distribution program. According to the 1995 census, there were 255,477 households in Kuwait. The total number of dwellings that year was 251,682, of which 234,153 were private and 17,529 were collective dwellings. Including vacant dwellings and those under construction, the total number was 287,574 in 1995. About 50% of all housing units were apartments, 19% were villas, 15% were traditional dwellings, 10% were annexes, and 4% were shacks and other marginal dwellings. In 2000/2001 there were 8,875 government housing projects and 3,118 new dwellings constructed. 43EDUCATION Kuwait offers its citizens free education, including free food, clothing, books, stationery, and transportation, from kindergarten through the fourth year of college. Most expatriates are not eligible for free education and must register their children at a private school. The Ministry of Education sets tuition levels for private schools. In 1998, 142,308 students were enrolled in 286 primary schools, with 10,798 teachers. Student-to-teacher ratio stood at 13 to 1. In the same year, secondary schools had 224,293 students and 21,187 teachers. The pupil-teacher ratio at the primary level was 14 to 1 in 1999. In the same year, 66% of primary-school-age children were enrolled in school, while an estimated 50% of those eligible attended secondary school. Schools below university level are segregated by sex. Kuwait University was opened in 1966 with 866 students and in 1995 had a student enrollment of 12,712 and a graduating class of 1,880. Kuwaiti nationals composed 92% of the student body. Kuwaiti students who complete their secondary-school science courses in the upper 80% of their class and arts courses in the upper 70% are eligible to study abroad at government expense. Universities and equivalent institutions had a total of 29,509 students and 1,691 teachers in 1997. The government has adopted a program to wipe out illiteracy by opening adult education centers. For the year 2000, adult illiteracy rates were estimated at 17.7% (males, 15.7%; females, 15.7%). As of 1999, public expenditure on education was estimated at 6.5% of GDP. 44LIBRARIES AND MUSEUMS The National Library of Kuwait has over 150,000 volumes, 90% of them in Arabic; it has established 22 branches throughout the country. The Kuwait University library system has over 294,000 volumes. Other schools and the oil companies maintain special libraries. In 2000, Kuwait had five museums. The Kuwait Museum displays ancient Kuwaiti artifacts (recovered from excavations on Faylakah Island), as well as exhibits concerning Kuwait 361 local plant, bird, and animal life. The Educational Science in Safat Museum was established in 1972 and features sections on natural history, space, oil, health, and meteorology. 45MEDIA The government administers telephone, television, radio, postal, and telegraph services. By 1994 damage to the telecommunications infrastructure from the Gulf War had been repaired and operations returned to normal. In 1997, 412,000 telephones were operated from a fully automatic exchange; a cellular telephone system also operates throughout Kuwait and had about 210,000 subscribers in 1997. Kuwait Television is government-controlled and has offered color broadcasts since 1974; it broadcasts over three channels. Radio Kuwait produces programs in English, Urdu, Persian, and Arabic. In 1998, there were 6 AM and 11 FM radio stations and 13 television stations. In 2000, there were 624 radios and 486 television sets for every 1,000 people. In 2001, there were 165,000 Internet subscribers served by three service providers. As of 2002, Kuwait had eight daily newspapers. Major Arabic dailies (with estimated 2002 circulation), include Al-Anbaa (The News, 106,830), Al-Rai al-’Amm (Public Opinion, 86,900), Al Jameheer (83,000), Al-Qabas (Firebrand, 79,700), Al-Seyassa (Policy, 70,000), and Al-Watan (The Homeland, 59,940). English-language dailies include the Arab Times (41,920) and Kuwait Times (28,000). The popular monthly magazine Al- ’Arabi (350,000 in 1995), similar to the Reader’s Digest, is widely read in Kuwait. The constitution provides for freedom of speech and the press, and with a few exceptions, citizens are said to freely criticize the government in all media. The government ended pre-publication censorship in 1992. The government does not censor foreign journalists and allows them open access to the country. 46ORGANIZATIONS The Ministry of Social Affairs and Labor encourages and supports cultural and recreational organizations and sponsors theatrical activities for youth. The Kuwait National Commission for Education, Science and Culture is a primary organization for the advancement of science, art, and culture. The multinational Islamic Organization for Medical Sciences and the Arab Center for Medical Literature are in Kuwait. National youth organizations include the National Union of Kuwaiti Students and the Boy Scouts and Girl Scouts Associations. There is a chamber of commerce and industry in the capital. The Red Crescent Society is active. 47TOURISM, TRAVEL, AND RECREATION By the second anniversary of the Iraqi invasion, many of the physical scars of war and occupation had already been erased, and the government was well on its way to restoring the country’s extensive prewar accommodations and amenities, although hotel prices have risen steeply since the war. Except for nationals of the other Gulf states, visitors must obtain visas in advance from Kuwaiti embassies or consulates. In 2000, there were 1,988 hotel rooms and a total of 2,857 beds. That year there were 1,944,233 foreign visitor arrivals in Kuwait and tourism receipts reached $198 million. In 2001, the US Department of State estimated that the daily expenses for a stay in Kuwait City were about $339. 48FAMOUS KUWAITIS During the reign of Emir Sir ‘Abdallah as-Salim as-Sabah (1870– 1965), Kuwait attained a prominent position among the great oilproducing nations of the world, and the state adopted a social welfare program founded on a unique patriarchal system; the emir was revered as a man of simplicity, devotion, and deep concern for his people. His successors as emir have been Sabah as-Salim as-Sabah (1913–77), from 1965 to 1977; and Jabir al- Ahmad al-Sabah (b. 1926). 49DEPENDENCIES Kuwait has no territories or colonies. 50BIBLIOGRAPHY Assiri, Abdul-Reda. Kuwait’s Foreign Policy: City-state in World Politics. Boulder, Colo.: Westview Press, 1990. Cordesman, Anthony H. Kuwait: Recovery and Security After the Gulf War. Boulder, Colo.: Westview Press, 1997. Crystal, Jill. Kuwait: The Transformation of an Oil State. Boulder, Colo.: Westview Press, 1992. Crystal, Jill. Oil and Politics in the Gulf: Rulers and Merchants in Kuwait and Qatar. New York: Cambridge University Press, 1990. Fernea, Elizabeth Warnock (ed.). Remembering Childhood in the Middle East: Memoirs from a Century of Change. Austin, Tex.: University of Texas Press, 2002. Finnie, David H. Shifting Lines in the Sand: Kuwait’s Elusive Frontier with Iraq. Cambridge, Mass.: Harvard University Press, 1992. Isiorho, S. A. Kuwait. Philadelphia: Chelsea House, 2002. Khadduri, Majid. War in the Gulf, 1990-91: The Iraq-Kuwait Conflict and its Implications. New York: Oxford University Press, 1997. Marcovitz, Hal. Kuwait. Philadelphia, Pa.: Mason Crest Publishers, 2003. Slot, B. The Origins of Kuwait. New York: E.J. Brill, 1991. Tétreault, Mary Ann. Stories of Democracy: Politics and Society in Contemporary Kuwait. New York: Columbia University Press, 2000.