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<strong>Kuwait</strong>


CSIS Middle East Dynamic Net Assessment


<strong>Kuwait</strong><br />

Recovery and Security<br />

After <strong>the</strong> Gulf War<br />

Anthony H. Cordesman<br />

/<br />

' A Member of <strong>the</strong> lfierseus Books Group


All rights reserved. Prixtted in <strong>the</strong> United States of America. No part of this publication<br />

may be reproduced or transmitted in any form or by any means, electronic or mechanicat,<br />

including photocopy, recording, or any iidorxnation storage and retrievaI system, without<br />

permission in writing from <strong>the</strong> publislwr,<br />

Copyright O 1997 by Antht~np H. Cordesman<br />

Published in 1997 in <strong>the</strong> United States of America by Westview Press, 5500 Central<br />

Avenue, Bc~ulder, Colorado 80302-2877, and in in<strong>the</strong> Unite&. King~tc?m by Westview Press, 12<br />

Hid's Copse Road, Cumnor Hill, Oxford. OX2 9JJ<br />

Library of Ccmgress Cataloghg-in-Publication Data<br />

Cordesman, Anthony H.<br />

<strong>Kuwait</strong> : recclverJI and sea1ri9 <strong>after</strong> fie Gulf War / Anthony H.<br />

Cordesman,<br />

p, cm,<br />

fr~cluda bibliogra-apl-tica1 references.<br />

IsaPIj 0-81 33-3263-5 - ESDN 0-~13~3-3244-3 (pbk.1<br />

1. <strong>Kuwait</strong>-Politics and government, 2. <strong>Kuwait</strong>-Defenses.<br />

I. Title.<br />

B247.K88C67 I997<br />

96-MO1<br />

CTP<br />

This book was vpeset by Lelra Libre, 1705 Fourteenth Street Suite 391, Borrlder, Colorado<br />

80302.<br />

The paper used in this publication meets <strong>the</strong> requirements of <strong>the</strong> American National Standard<br />

for Pczrmmence of Paper for P~ntr?cl Library Materials 239.48-19%.


List of Tnbles nad lllzlstrnfiorrs<br />

Preface<br />

Acknozukdg~n~~z ts<br />

1 Introduction<br />

Contents<br />

Strategic Background, 1<br />

Modernizatim a d Independence, 5<br />

ix<br />

xi<br />

xiii<br />

2 KuwaiFfs Extend Security: The Problem of fmn and Iraq 7<br />

<strong>Kuwait</strong> and <strong>the</strong> Irm-Iraq War, 8<br />

<strong>Kuwait</strong> and <strong>the</strong> Gulf Nr, 9<br />

<strong>Kuwait</strong> and fie Gonthuing nreat<br />

of hasion from Iraqf 11<br />

<strong>Kuwait</strong> and Lesser Threats from Iraq, 14<br />

<strong>Kuwait</strong> and Relations with Irm, 15<br />

<strong>Kuwait</strong> and Relations with Su<strong>the</strong>rn G~df<br />

and Arab States, 15<br />

3 Political and Economic Stability and Security<br />

<strong>Kuwait</strong>" Oil Industry, 24<br />

<strong>Kuwait</strong>i Oil Production, 30<br />

Plans to Expand Production, 33<br />

Downstream and Wgst~m Irrvestments, 35<br />

<strong>Kuwait</strong>i Gas Reserves and Production, 37<br />

<strong>Kuwait</strong>'s Ecmol-ny Siince Che Gutf War, 38<br />

<strong>Kuwait</strong>" Budget, Liquidity, and Debt, 43<br />

The Need to Create Real Jabs for Native Kuwai.tis, 51<br />

The Need for Structural Reform, 54<br />

4 Internal Security<br />

Ethic and Sectarim Divisio~~s, 59


Dependence on breign Litbor, 61<br />

Broadening <strong>the</strong> Base of Political Power, h3<br />

5 <strong>Kuwait</strong>'s Military Forces<br />

<strong>Kuwait</strong>'s Borders, 70<br />

<strong>Kuwait</strong>" Forces and Strategic Vuherabilities, 71<br />

6 ECuwaiti Miti-tary Spending and Ams Imports<br />

Military Spending, 73<br />

<strong>Kuwait</strong>i Arms Expenditures, 76<br />

<strong>Kuwait</strong>" Recmt Major Arms Purchases, 79<br />

<strong>Kuwait</strong>" Ams Purchases from <strong>the</strong> US, 81<br />

Nuwait's Military Forces Before <strong>the</strong> Gulf War<br />

The <strong>Kuwait</strong>i Am-ty Before <strong>the</strong> Gulf War, 85<br />

The hwaiti Navy Before Chc Grxlf War, K6<br />

The <strong>Kuwait</strong>i Air Force Before <strong>the</strong> Gulf War, 87<br />

<strong>Kuwait</strong>i Paramilitary Forces Before <strong>the</strong> Gulf War, 89<br />

8 Rebuilding <strong>Kuwait</strong>'s Forces Following <strong>the</strong> Gulf War<br />

The Problem of <strong>Kuwait</strong>i Military Manpower, 92<br />

The Chdlenge of f3e-epipphg Kwaiti Forces, 95<br />

9 <strong>Kuwait</strong>'s Land Forces Since <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong>i Army Modernization and Expansion, 37<br />

<strong>Kuwait</strong>i A rq Readir7ess and Warfighting Capability, 103<br />

20 <strong>Kuwait</strong>'s Naval Forces Since <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong>i Naval Strength and Equipmt, 105<br />

<strong>Kuwait</strong>i Naval Iqeadiness md Warfighthg Capability, 102<br />

21 <strong>Kuwait</strong>'s Air Forces Since <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong>i Air Force Equipment, 109<br />

<strong>Kuwait</strong>i Air Farce Land-Based Air Defense<br />

iutd C"i/BM Systems, 113<br />

<strong>Kuwait</strong>i Air Force Readiness and<br />

Warfighl-ing Capabihty, 114<br />

Con fen is


Con fen ls<br />

12 <strong>Kuwait</strong>i Paramilitary and Internal Security Forces<br />

<strong>Kuwait</strong>i Security Measures, 116<br />

The Impad tof <strong>the</strong> <strong>Kuwait</strong>i Legal System, 117<br />

Freedonn of Expression and Peaceful Dsscnt, 119<br />

Treatment of Foreign Labor, 120<br />

13 Strategic Interests<br />

The Challenge of Self Drfense, 123<br />

The Challenge of Regional Cooperation, 124<br />

The Challer~ge of Relations with I-he U'nikd States<br />

and <strong>the</strong> West, 126<br />

The Challenge of fnteml Refom, 130<br />

Nofes<br />

Sources and Methods<br />

About <strong>the</strong> Book and Author


This page intentionally left blank


Tables and Illustrations<br />

One: Key Economic fndicaturs in <strong>Kuwait</strong><br />

Two: Estimated hcrease in MJorld Oil Production<br />

by Region and Country<br />

Three: Comparative Oil Reserves and Production Levels<br />

of <strong>the</strong> Gulf States<br />

Four: Cost of Mahtabhg and Expanding Oil Production<br />

h GCC Countries<br />

Five: World Natural Gas Proven Reserves by Country<br />

Six: Gulf and Gas Reserves and Production<br />

Seven: <strong>Kuwait</strong>i Budget Revenues and Expenditures<br />

Relative to Earnings: 1984-1996<br />

Eight: Gulf MiIitary Forces in 1996<br />

Nher Key <strong>Kuwait</strong>i Equ@nent Develogments<br />

Ten: US Foreign Military Sates, Coxsrme~ial Ams Export<br />

Agreements, Military Assistance Programs, and<br />

hternatimal Military Education and Raining Programs<br />

with <strong>Kuwait</strong>: FV 19851994<br />

One: <strong>Kuwait</strong>: GDC Population Growth in Millions, and<br />

Per Capita Income<br />

Two: <strong>Kuwait</strong>i Gross Domestic Product, Central Government<br />

Expeditures, Military Expenditures, Total Impo&s,<br />

Total Exports, and Arms Deliveries: 1983-1993<br />

Three: Total Oil Reserves of <strong>the</strong> Gulf States<br />

Four: <strong>Kuwait</strong>i Oil and Natural Gas Liquids Total Pmduction<br />

and Exports


Five: Total Gas Reserves of <strong>the</strong> Gulf States<br />

Six: <strong>Kuwait</strong>i Natural Gas Production<br />

Seven: <strong>Kuwait</strong>: Balmce of Trade<br />

Eight: Trends in <strong>Kuwait</strong> Budget Revenues md Expenditures<br />

Nine: Trends in <strong>Kuwait</strong> Budget &venues<br />

Ten: <strong>Kuwait</strong>: Liyuidity: 196&1993<br />

Eleven: <strong>Kuwait</strong>: GDP by Sector<br />

Twelve: Estimated Trends in <strong>the</strong> <strong>Kuwait</strong>i Popdation<br />

Durhg 1990-2035<br />

Thirteen: <strong>Kuwait</strong>i Mllitary Expenbiturcs, Total 1 mports,<br />

and Arms Imports: 1983-1993<br />

Fourteen: <strong>Kuwait</strong>i GNP Per Capita Versus<br />

Military Expmdih;lres Per Capita<br />

Fifteen: <strong>Kuwait</strong>i Arms Sales Agreelnents by Supplier Caulztry:<br />

1987-1994<br />

Sixteen: <strong>Kuwait</strong>: Military Maming-19'7"91996<br />

Seventeen: <strong>Kuwait</strong>: Armored Weapons Strength-1979-1996<br />

Eighteen: Kwiiit: Artilley Weapms Strength-19m-1996<br />

Nheteen: Gulf Naval Ships by Category in 1996<br />

Twenty: Kwait: Fixed Whg and btary Wing<br />

Cornbat Air Strength-1979-1996<br />

&e: <strong>Kuwait</strong><br />

TWO: <strong>Kuwait</strong>i berl5y Facilities


Preface<br />

This volume ir; part of an ongoing dynamir net assessment of <strong>the</strong> Gulf.<br />

The project was concejved by David Abshire anb Rjchasd Fairbanks of<br />

<strong>the</strong> Center for Strategic and International Studics, and focuses on <strong>the</strong> foreign<br />

policy, military forces, plitics, economics, energy sector, and internal<br />

security of each Gulf state, and US strategy and power projection<br />

capabilities in <strong>the</strong> Gutf. Separak volumes are awailable on <strong>Kuwait</strong>, Iran,<br />

Iraq, Saudi Arabia, and US forces. Balhrain, &an, Qatar, and <strong>the</strong> W E<br />

are combined into a single volume.<br />

Each of <strong>the</strong>se volumes is hterlinked to provide comparable data on <strong>the</strong><br />

cufmt situation and trends i,n each countrq:, and to prtray <strong>the</strong> overdl<br />

trends in key areas like <strong>the</strong> economy and. <strong>the</strong> military balance, The volume<br />

on Iran provides a detailed graphic overview cJf <strong>the</strong> military trends<br />

in <strong>the</strong> region, but each volume shukvs how <strong>the</strong> key econmic and military<br />

developments in each countr). relate to <strong>the</strong> devel.oyments in o<strong>the</strong>r Gutf<br />

countries.<br />

At <strong>the</strong> same time, this series deliberately emphasizes nation-by-nation<br />

analysjs, Iran and Iraq cleady deserve separate treabnent. The Sou<strong>the</strong>rn<br />

Gulf states are largdy indepmdent actors and are driven by separate<br />

strategic, political, econontic, and military interests. fn spite of <strong>the</strong> creation<br />

of <strong>the</strong> Arab Gulf Cooperation Council (GCC), <strong>the</strong>re is little practical<br />

pmgrrss in strategic, economic, or military cooperatim, and <strong>the</strong>re are<br />

serious rivalries and differences of strategic interczst between Bahrajn,<br />

<strong>Kuwait</strong>, Omm, Qatar, Saudi Arabia, and <strong>the</strong> UAE, The Sou<strong>the</strong>rn Gulf<br />

cannot be understood in terms of <strong>the</strong> rhetork of <strong>the</strong> Arab Gulf Cooperation<br />

Council, or by assumhg that developme~~ts i,n Bhrain, <strong>Kuwait</strong>,<br />

%an, Qatas, Saudi Arabia, and <strong>the</strong> UPIE are similar and <strong>the</strong>se states<br />

have m identity of interest.<br />

These Gulf studjes are also part of a broader dynamic nd: msessment<br />

of <strong>the</strong> Middle East, and a sepasate study is available of <strong>the</strong> trends in <strong>the</strong><br />

Arab-Israeli military balance and <strong>the</strong> peace process. See Anthony H.<br />

Cordesmm, Perilous Prospeciis, Boulder, Westviebv, 1996.


This page intentionally left blank


Acknowledgments<br />

This volume is part of a six-volume series reparting on a dynamic net<br />

assessment of <strong>the</strong> Gulf. The px^oject was conceived by David Abshire and<br />

Rchard Fakbanks af <strong>the</strong> Center for Strategic and I~~ternational Sbdies,<br />

and is part of a brnader dynamic net assesment of <strong>the</strong> etntire Middle East.<br />

The auEhor would like to thmk Khberly Goddes md Kiydm Batmmtjlidj<br />

for <strong>the</strong>ir research and editing help in writing chis series, and. 17lmas<br />

9idenstein and David, Hay<strong>war</strong>d for helping to ecfit each volume.<br />

Many US and international andysts md agencies played a role in commenting<br />

on drafts of <strong>the</strong> manuscript. So did experts in each Sou<strong>the</strong>rn<br />

Gulf country. The aut.lnar camat achowledge <strong>the</strong>se contributions by<br />

name or agency but he is deeply grateful. The author would also like to<br />

thank his colleagues at <strong>the</strong> CSIS who rwicwed varicrus manuscripts and<br />

commented on <strong>the</strong> anatysis. 'These colleagues include Richard Fairbanks<br />

and Arnaud de Borchgrave, and. his Co-Director of <strong>the</strong> MiddXc East Protjran-t,<br />

Judith Kipper.


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Introduction<br />

Kwait plays a critical role in any prqcction cJf <strong>the</strong> world's future oil supplies.<br />

As of 1994, <strong>Kuwait</strong> had esti,ma.t.ed proven oil reserves of 94.8 to 96.5<br />

billion barrels, or about 8.GCG to 9.I;7'X, of all world reserves, Most estimates<br />

indicated that <strong>Kuwait</strong> has prohable Rscrrwes of at feast 4 billion banels<br />

more.Wany of <strong>Kuwait</strong>'s resemes are easy to extract and have recovev<br />

costs of d y about $2 a basrei.-.I..2<br />

<strong>Kuwait</strong> is also one of <strong>the</strong> tw major oil exporting powers that can<br />

rapidry increase production in m emergency, an important fact that kvill<br />

grow steadily over tim. The US Department of Energy esthates that<br />

<strong>Kuwait</strong> will expand its pmduction frttrn a little over 2.3 million barrels<br />

per day in 1995 to 3.1 (3.0-3.3) million barrels per day in 2000,3.8 (3.64.5)<br />

milXion barrels per day in 2005, and 4.6 (4.0-5.3) million barrels per day<br />

in 2010.3<br />

At <strong>the</strong> same time, <strong>Kuwait</strong>'s ggeography; small size, md limited population<br />

make it one of <strong>the</strong> most vuherable Gulf states. Its location m Iraq's<br />

border has been <strong>the</strong> some of continuing Iraqi threats, military con-<br />

.frontation, and actual invasion. Its locatio~z within a k~ minutes flying<br />

tirne of Iran has made it equally vulnerable to Iranian thrtzats and pressure.<br />

Iranian aircraft attacked <strong>Kuwait</strong> several tilnes during <strong>the</strong> Iran-Irq<br />

War1" Iranian naval forces attacked tankers and o<strong>the</strong>r ships moving to<br />

<strong>Kuwait</strong>. Iranian mti-ship missiles attacked targets in <strong>Kuwait</strong>" harbors,<br />

and Irmian intelligence sponsored bombings and terrorist attacks.<br />

This cornbjnation of oil wcalth and geographical vul~wcability make<br />

<strong>Kuwait</strong> a critical strategic pivot in a net assessment of <strong>the</strong> Gulf. The abjlity<br />

of <strong>Kuwait</strong>, its neit;hbors, and <strong>the</strong> West tc:, deal with Iraqi intimiciation<br />

or invasion largely determhes <strong>the</strong> seczrrity of <strong>the</strong> upper Gulf and <strong>the</strong> containment<br />

of Iraq's pdtical and military ambitions,<br />

Strategic Bachraund<br />

Kwait is located in <strong>the</strong> far northwestern corner of fie upper Gulf<br />

between Iraq and Saudi Arabia, and kvithin a short distance of Iran. It is


2 Introdzret ion<br />

MAP ONE Kuw-ait<br />

one of <strong>the</strong> worZd% major oil powers, but it has a total area of mly 32,8110<br />

square kilorneters-roughly <strong>the</strong> size af New Jersey; At its largest poht,<br />

<strong>Kuwait</strong> is about 200 kilometers from north to south md l70 kilometers<br />

from east to west. It shares a 242 kilometer border with lraq and a 222<br />

Elometer border wi& Saudi Arabia. It has a 499 kilometer coastlhe an<br />

<strong>the</strong> Gulf, and. its territory includes nine islands. Bubiyan and Warb;rh-


Tnf rodztcfion 3<br />

two large islands in <strong>the</strong> north-are uninhabited but artl of strategjc<br />

importance, because <strong>the</strong>y border <strong>the</strong> Urn Qasr channel, which is Iraq's<br />

only waterway with direct access to <strong>the</strong> Gulf.4<br />

Like a number sf states in <strong>the</strong> upper Gulf, <strong>Kuwait</strong> can trace its history<br />

as far back as that of Dilmm. <strong>Kuwait</strong>'s rnodcrn history began in <strong>the</strong> early<br />

1170Qsf when lfamilies from <strong>the</strong> Bmi Ukb clan of <strong>the</strong> haizah tribe<br />

migrated from @tar to found <strong>the</strong> city of <strong>Kuwait</strong>. In 1765, <strong>the</strong>se tribes<br />

chose Sabah al Sabah as <strong>the</strong>ir rulhg sheik. He was succeeded by his son<br />

AbduIlah, who was succeeded in turn by his son Jabair.<br />

This line sf successisn established <strong>the</strong> tradition that <strong>the</strong> ruler sf <strong>Kuwait</strong><br />

is to be chosen by a com~cil of <strong>the</strong> Al Sab& family; <strong>after</strong> consultation with<br />

o<strong>the</strong>r leading families. This decision had a major impact on <strong>the</strong> hture of<br />

both Qatar and Bahrain. 'The Al m~alifa family, closely refated to <strong>the</strong> Al<br />

Sabahs and a rivat for leadership of Kuwaik decided to seek a new power<br />

base elsewhere h <strong>the</strong> Gulf. The Al aalifas first took control of Qatar and<br />

<strong>the</strong>n cmwrc.d Babrain with <strong>the</strong> aid of <strong>the</strong> Al Sabahs oE hwait.<br />

By 1770, Kukvait was a fishing and tsacllng twn surrounded by tsiba)<br />

iamilies who mgaged in nomadic agriculture. The role of <strong>the</strong> Al Sabah<br />

Sheik cmsisted largely of negotiating with <strong>the</strong> atoman Empire, surrnunding<br />

tribes, and o<strong>the</strong>r Gulf states. In 1775 <strong>the</strong> British East India Cornpmy<br />

made its first contacts with <strong>Kuwait</strong>, Between 1775 and 1779, <strong>the</strong><br />

British-operated Persian Culf-Aleppo Mail Srwice was diverted throu$<br />

Kuwajt fmm Persian-occupied Basra (today Iraq). At <strong>the</strong> same time, Ihe<br />

rise of <strong>the</strong> Wahhabis and AI Saud iamily created a new center of power in<br />

Arabia. These developments forced <strong>Kuwait</strong> to deal increasingly with <strong>the</strong><br />

British md Al Sauds, as well as <strong>the</strong> Ottoman Empire. <strong>Kuwait</strong> had little<br />

trade or contact with <strong>the</strong> Persian Empire at this tirne.<br />

By <strong>the</strong> late 377Os, <strong>the</strong> growiw regional competition between Britairr,<br />

<strong>the</strong> Ottoman Empire, and <strong>the</strong> Persian Empire forced <strong>Kuwait</strong> to choose<br />

one of <strong>the</strong> powers as a patron. In 1871, Abdullah Al Sabah X I allied <strong>Kuwait</strong><br />

with Turkey anci took <strong>the</strong> title of Qaimaqam, or pm"incial gowemor, h m<br />

<strong>the</strong> Ottamm Sultan. These ties had little practical meanlng, however,<br />

since <strong>the</strong> Ottoman Empire did not exert any significant control over<br />

<strong>Kuwait</strong>,<br />

<strong>Kuwait</strong> ended its ties to <strong>the</strong> Ottoman Empire in 1896. Abdullh A1<br />

Sabah fE died in 1892. He was succeeded by Muhammad Ai Sabah who<br />

died four years later. AI Sabah's death trigge~d a struggll. for power that<br />

was eventudly won by Muharak M Sabah, who kiled his bro"rhers during<br />

<strong>the</strong> struggle. Illu:bxak oppowed Turkish influence so when <strong>the</strong><br />

atomans backed his rivals, he appmached Britain, which was concerned<br />

with <strong>the</strong> growth of German influence in Turkey, constructim of Ihe<br />

Berlin-to-Baghdad railway and pEans to link <strong>the</strong> railway to <strong>the</strong> port oi<br />

<strong>Kuwait</strong>,


4 Introdzret ion<br />

As a result, Britain and <strong>Kuwait</strong> signed a treaty in 1899 that promised<br />

Kuwajt <strong>the</strong> British support in return for British control over <strong>Kuwait</strong>'s foreign<br />

pdicy Sheik Mubarak pledged that nei<strong>the</strong>r he nor his successors<br />

would cede any territory, or receive <strong>the</strong> agents or representatives of any<br />

foreign power, without. <strong>the</strong> British Govcr ent's consent. Britab agreed<br />

to grant an annual subsidy to support <strong>the</strong> Sheik and his heirs and to provide<br />

for <strong>Kuwait</strong>'s protection, A British political agmt was appointed in<br />

1904, who handled Kukvait's forcign affairs and s~zrrity. In =turn,<br />

<strong>Kuwait</strong> enjoyed special t~aty relations with Britain,<br />

Although Iraq has ma$e claims to <strong>Kuwait</strong> as an "inhrritcrr statef?o <strong>the</strong><br />

Ottoman Empire, Turkey had otnly limited sovereignty over Kuwail for a<br />

period of 15 years, whiie <strong>Kuwait</strong>" ties to Britain lasted from 1899 until<br />

1961 when <strong>Kuwait</strong> received fuli independence. Fur<strong>the</strong>r, Bhtain negotiated<br />

a treaty wif-;h <strong>the</strong> Ottoman Empire in 1913 that would have regularized<br />

its new realationship with <strong>Kuwait</strong>, The outbreak of World Mrar X prevented<br />

this trmty's ratgication, but <strong>Kuwait</strong>'s souereipty receiVed de<br />

facto recog~nitian long before Iraq came into existe~~ce.<br />

<strong>Kuwait</strong>" aalliaxlce with Britain helped Sheik Mubarak consolidate his<br />

power and make his sans its rulers. Sheik MuXllarak was succeeded by hfs<br />

son Jabir (1915-17) and subsequently by ano<strong>the</strong>r son, Salim (1917-21).<br />

Su:bsequent Emirs were descdants of <strong>the</strong>se two bro<strong>the</strong>rs, Sheik Ahmed<br />

al-Jabir Al Sabah ruled from 1921 until his death in <strong>the</strong> 1950s. As a result<br />

of this long reig~n, Mubarak's branch of <strong>the</strong> family became <strong>the</strong> dorninant<br />

brmch of <strong>the</strong> Al S&& fmily until. 1950. This peaceful succession created<br />

a new degree of inkmal stability within <strong>Kuwait</strong>.<br />

<strong>Kuwait</strong> did, however, face increasing challenges from <strong>the</strong> outside. The<br />

first challenge came f m Saudi Arabia, wfirich attacked north to<strong>war</strong>ds<br />

Kwait in 1924, wcm a major battle at Al Jahrah, less than 40 Mometers<br />

.from Kukvait City, and threatened to conquer <strong>the</strong> country This Icd to<br />

British intervention in 1922, when SiP. Percy Cox, <strong>the</strong> British agent called<br />

toge<strong>the</strong>r <strong>the</strong> representatives of Kwait, Britain's nedy formed League of<br />

Nations mandate, Iraqf and Satrdi Arabia f<strong>the</strong>tn <strong>the</strong> k1tanat-e of Najd).<br />

The resulting negotiations led to <strong>the</strong> Treaty of Muhammara (Map 3,1992)<br />

and <strong>the</strong> Protocol of Uyayr (December 2,1922).<br />

mese two agreements arranged <strong>the</strong> boundaries of modern <strong>Kuwait</strong>,<br />

although hwait Iost a signi.ficant amount of territory occupied by pro-<br />

Kwiiiti Bedouin to Saudi Arabia, A new boundary with Saudi Arabia<br />

was established, along with a <strong>Kuwait</strong>-Saudi Arabia Neutral Zo~ne, m area<br />

of about 5,180 sq. km. (2,m sq. mi.) which acltjoined <strong>Kuwait</strong>'s sou<strong>the</strong>rn<br />

border. In December 1969, Kwait and Saulii Arabia signed an agreement<br />

dividing <strong>the</strong> Neutral Zone (now called <strong>the</strong> Divided Zone) and demarcating<br />

a new international. boundary. Both corntries now share <strong>the</strong> Divided<br />

Zone% onshm and offshorn petroleum eyually.


Tnf rodztcfion 5<br />

'f'he second challenge came from Iraq, whjch had ewrged as an in$epelrdent<br />

Arab state follocving British efforts to partition t-he Mid& East<br />

<strong>after</strong> World Mrar X and tke collapse of <strong>the</strong> Ottoman Empire. As has been<br />

mentioned earlier, Iraq had no historical clairn to <strong>Kuwait</strong>. <strong>Kuwait</strong>% nor<strong>the</strong>rn<br />

border with Iraq had been established as part of <strong>the</strong> agreeme~~t Britah<br />

had reached with Turkey in 1913, Iraq accepted this clainn when it was<br />

tjiwn its independence from Turkey and accepted it again in <strong>the</strong> ""Agreed<br />

Minutes ktween <strong>the</strong> State of <strong>Kuwait</strong> and <strong>the</strong> Republic of Iraq Regarding<br />

<strong>the</strong> Restoration of Friendly Relations, Recognition, and Related Matters,',<br />

which Iraq and <strong>Kuwait</strong> signed in 1932. Howwer, Iraqi nationalists began<br />

to claim <strong>Kuwait</strong> to be legitimately part of Iraq as early as <strong>the</strong> mid-f920s,<br />

and <strong>the</strong>se claims laid <strong>the</strong> groundwork for later Iraqi clabs and threats to<br />

<strong>Kuwait</strong>,<br />

The third challenge was <strong>the</strong> discovery of oil in <strong>the</strong> l930s, which began<br />

<strong>the</strong> transformation of <strong>Kuwait</strong> from a minor administrative port to a<br />

modern state. In 1938, however, a combination of <strong>the</strong> worldwide Depression,<br />

<strong>the</strong> collapse oE <strong>the</strong> pealing industry and a Saudi trade boycott created<br />

a major economic crisis in <strong>Kuwait</strong>. Many leading merchants<br />

~spcmeied by chatlenging <strong>the</strong> authority of <strong>the</strong> Emir. 'f'hey called for new<br />

arrangements that would share any walth from. <strong>Kuwait</strong>'s new oil concessions,<br />

and a broader sharjng of pwer by <strong>the</strong> Al Sa.bahs, The merchants<br />

first petitioned <strong>the</strong> Emir to achieve <strong>the</strong>se goals, and <strong>the</strong>n held unilater&<br />

elections for a. Majlis. This body d y lasted for six months before<br />

being suppressed by <strong>the</strong> Emir and o<strong>the</strong>r trifoaf leaders. However, its creation<br />

laid <strong>the</strong> ground work for a contkuing Kwaiti interest in representative<br />

government.<br />

Modernization and Independence<br />

The post <strong>war</strong> era saw <strong>Kuwait</strong> become a sipificant oil exporter. In 1950,<br />

Salh Al Sabah, a member of <strong>the</strong> Salh brmch of <strong>the</strong> A1 Sabah family,<br />

became Emir, replacing his predecessor, &mad al Jamir Al Sabah, who<br />

had mled sisrce 1921, Salim confronted <strong>the</strong> need to modernize and share<br />

Kwaitfs growing oil we&. Dwing <strong>the</strong> 1%(3s, <strong>the</strong> new Ernir created<br />

much of <strong>the</strong> welfare system which has given <strong>Kuwait</strong> some of <strong>the</strong> most<br />

advanced social services in <strong>the</strong> dewl~ping world. He also began a series<br />

of negotiations with Britaim that =placed +e treaty of 1899 with a treaty<br />

of friendship, which led to Kuvtrait's independence.<br />

By <strong>the</strong> early 1960s, Kuwai.t began to move to<strong>war</strong>ds irtdepenbence, En<br />

early 1962, <strong>the</strong> British withdrew <strong>the</strong>ir special court system, which handled<br />

<strong>the</strong> cases of fortig~~ers residing in <strong>Kuwait</strong>, and Che Kukvaiti Government<br />

began to exercise legal jurlisdictim under new laws drawn up by an<br />

Egptian jwist. Emir Salim respcmded to <strong>the</strong> fall of <strong>the</strong> Iraqi monarchy,


6 Introdzret ion<br />

Iraqi threats to Kwait, and thwat of radical Arab swialism, by issuifig<br />

<strong>Kuwait</strong>'s first constituti~n in November, 1962. This cmstitnxtio~~ estarblished<br />

<strong>the</strong> Emir as a hereditary monarch, as welt as m Emir" Council,<br />

and a popular National Assembly Mthose electorate was limited to <strong>the</strong><br />

descendants of: Kukvait's population in 1920. The first eleetion for <strong>the</strong><br />

National Assembly took place in 1963.<br />

Salim died in 1965, and was repkced by his bro<strong>the</strong>r Sabah who ruled<br />

<strong>Kuwait</strong> until December, 1927. Emir Sabah suspended <strong>the</strong> Natio~~al<br />

Assembly in 1976, party because of <strong>the</strong> deep divisims within <strong>the</strong> assembly,<br />

a d partly because of its cri"tcism of Iraq anci o<strong>the</strong>r neighboring<br />

states. 'The National. Assembly was allowed to operate again in 1981largely<br />

in response to <strong>the</strong> fall of <strong>the</strong> Shah of Iran. The Assembly was suppressed<br />

again fn 4986, however, because of its growing demands for<br />

power, its debates over a massive stock market .fraud, charges of corrwption<br />

involving <strong>the</strong> royal. family, and debates that threatened to hrcase<br />

tension with <strong>Kuwait</strong>" neighbors.<br />

Sheik Jabir al Ahmad al Jabir A1 Sabah, a member of <strong>the</strong> Jabir branch of<br />

<strong>the</strong> Al Shah became Emir in 1977, md continues to rule to this<br />

day. He has designated Prime Minister 5aad al Abdullah as Salh AI<br />

Sabah as his successor-foflow-ing a pattern in which <strong>the</strong> succession now<br />

alternates between <strong>the</strong> Jabir and Salim branches of <strong>the</strong> iamity. Sheik Jabir<br />

al Ahmad Al Sabah has been drsignated crown prince.


<strong>Kuwait</strong>'s External Security:<br />

The Problem of Iran and Iraq<br />

<strong>Kuwait</strong> enjoyed relatively peaceful relations with its neighbars mtil its<br />

independmce in 1961. Saudi Arabia did not press its claims to dispukd<br />

tersitory and offshore dri1l;in.g =as as long as <strong>Kuwait</strong> remained under<br />

British protection, Iraq recognized <strong>Kuwait</strong>" sindependence h 1932 and did<br />

not challenge <strong>Kuwait</strong>% sovereipty while <strong>the</strong> Irayi monarchy =mined<br />

dependent upon British szlpport and influence.<br />

This situation changed dramatically <strong>after</strong> 1361.. The Iraqi monarchy fell<br />

in 1958, and Ku~iait faced a growing threat hrn radical Arab nationalism.,<br />

The fall of <strong>the</strong> Iraqi monarchy had created a radical Iraqi reghe<br />

which claimed Krawait under <strong>the</strong> pretense that it had mce been part of<br />

<strong>the</strong> Ottornm Empire and, consequently, was subject to Iraqi suzerainty.<br />

This that was a rniljor factor leading to <strong>Kuwait</strong>'s decisim to become<br />

iully independent on June 19,1961.<br />

Only a week <strong>after</strong> <strong>the</strong> withdrwal of British forces, Iraqi forcles moved<br />

to <strong>the</strong> border. mese forces only halted when Britain rushed troops back<br />

into Kuwa-it and it became cllear that <strong>the</strong> Arab League was prepared to<br />

challenge Iraq's clairns. Eray siped an agrement in 1963 that appeared<br />

to recog~~ize <strong>Kuwait</strong>" ssovereig~~ty~ and <strong>the</strong> border demarcatio~~ to which<br />

Britain and Turkey had agrced. in 1913, but Iraq only did, so because of a<br />

coup that killed <strong>the</strong> lrayi dictator who had origjnally threatened to<br />

hvade <strong>Kuwait</strong>,<br />

.After this border crisis, <strong>Kuwait</strong> attempted to deal with external threats<br />

by adoplling a poticy of negotiation with any threatening power, and using<br />

its oil wealth to compensate for its mil,it.ary wenltness. Kukvait gave moIIey<br />

to <strong>the</strong> PLO and aid to radical Arab states. It prwided. funds to Syria and<br />

Iraq, supported Arab trade and oil embargoes, and ternhated its t~aty<br />

with Kritah in 1971 in an effnrt to show it no longer had colonial ties. It<br />

bought militar). equipmt hrn <strong>the</strong> US and &rope, but established relations<br />

with <strong>the</strong> Soviet Union in 1963, and eventually bou&t Soviet arms in<br />

an eff-ort to mh~ixn,ize <strong>the</strong> risk of hostile Soviet pressure.


This policy of buying off 1-hrt.ats helped <strong>Kuwait</strong> both to reach an agree-<br />

ment with Iraq in 1963, and get <strong>the</strong> votes it needed to join <strong>the</strong> UN. Nev-<br />

er<strong>the</strong>less, Iraq continued to make sporadic claims to <strong>Kuwait</strong>, and never<br />

fnrmally abandoned its clairns to <strong>the</strong> Kwiiiti idmds of Bubiym and<br />

Warbah. These islands are m <strong>the</strong> nor<strong>the</strong>astern edge of <strong>the</strong> Kukvaiti-Iraqi<br />

bosder. They control <strong>the</strong> Khor Ahd ALlah, <strong>the</strong> channel to fraq's ody<br />

means of direct access to <strong>the</strong> Gulf md its naval base at Umm Qasr, and<br />

are near its oil loadislg terminai in <strong>the</strong> Gdf off .hl Faw.<br />

Iraq threatened. <strong>Kuwait</strong> again in 1965, 1967 and 1972. Iraq occupid<br />

Kwiiitfs border post at Samita on March 20, 1973, in a furlher effort to<br />

pressure <strong>Kuwait</strong> to cede its control of <strong>the</strong> islands in thc G d, This led to<br />

<strong>the</strong> deployment of Saudi troops to <strong>the</strong> border. Iraq withdrew h early<br />

April, "ot only <strong>after</strong> mediation by Yasser Arafat and ano<strong>the</strong>r substantial<br />

Kuwajti payntent to Iraq. Iraq thcn atteqted to lease Warbah and half of<br />

Bubiyan in 1975 for a period of 99 years, According to some reports, Iraq<br />

briefv sent troops into <strong>Kuwait</strong> agaill fn 1976, and only withdrctw <strong>after</strong><br />

ano<strong>the</strong>r <strong>Kuwait</strong>i payment."<br />

<strong>Kuwait</strong> and <strong>the</strong> Iran-Iraq W r<br />

Despite <strong>the</strong>se difficulties, Kuwai.t was one of Iraq% most important allies<br />

during <strong>the</strong> Irm-Iraq War. During 198M988, <strong>Kuwait</strong> supplied Iraq with<br />

at least $13.2 billim in grants and loans, and with up to $22 billion in<br />

overall assistance.b<br />

Even so, <strong>Kuwait</strong>'s ~lations with Iraq continued to be problematic, Iraq<br />

again sought to kase Bubiyan and Warbah in 1980 and provoked ano<strong>the</strong>r<br />

bosder incident in 1983. When <strong>Kuwait</strong> again refused to lease <strong>the</strong> two<br />

islands, Iraq sent a token force across <strong>the</strong> border. This Iraqi pssure kd<br />

to a sudden visit to Baghdad by <strong>Kuwait</strong>i Rime Minister Saad Sabah on<br />

November 1&13,1984. %re again, Iraq was bought off by a substmt-ial<br />

payment, although Iraq did establish a Hovexcraft base across <strong>the</strong> river<br />

from Warbahe7<br />

Control of BUbiyan and Wrbah became steadily more important to<br />

Iraq dufing <strong>the</strong> eariy years of <strong>the</strong> Iran-lraq War because Iraq cod not<br />

seem its access to <strong>the</strong> Gulf thugh <strong>the</strong> Shatt al-Arab kvaterway, whjch it<br />

shared with Iran, The Skatt al-Arab suffered horn eight years of silting<br />

and mhing during <strong>the</strong> course of <strong>the</strong> Iran-Iraq War, and Iran demmstrated<br />

Chat its land-based anti-ship missiles could tqet any ships moving<br />

into Ir4 waters h th Gulf.<br />

As a ~sult, Iraq took steps to shift its shipping and naval operations as<br />

.far south as possible. Iraq steadiXy expanded <strong>the</strong> sout.hern commercial<br />

area of Basra, expanded <strong>the</strong> town of AI Zubqr; just to <strong>the</strong> southwest of<br />

Basra, and expanded its naval base at lJmm Qasr. Iraq also moved south


into turitoy that probabty beft,nged to bait near Llmm Qasr and <strong>the</strong><br />

border town. of Safwan, and had expand& a canal calfed <strong>the</strong> Sha;n: a-<br />

Basra from CJmm Qasr to a position midway beheen Rasra and .Al<br />

Zubayr. This made <strong>the</strong> K,hor Abd Allah, <strong>the</strong> charnel from <strong>the</strong> Gulf to<br />

Ulnm Qasr to <strong>the</strong> north of Bubyian and Warbah steadily more importmt,"<br />

At <strong>the</strong> same <strong>the</strong>, <strong>Kuwait</strong>" support for Iraq created a threat from Eran.<br />

&rhg 1980-1981, Iran ccmducted. several overflights and air strikes on<br />

<strong>Kuwait</strong> to try to b~thidate it into reduckg its support for Iraq. Xrm also<br />

attempted. to gain support from Iranians living in <strong>Kuwait</strong>, and from<br />

<strong>Kuwait</strong>i Shi'ites, wbich make up a substantial part of Ktlwaitfs pc,pulatinn.<br />

mese problelxs with Iran grew more severe <strong>after</strong> 1982, when Xra~ian<br />

iorces drove Iraq out of Iran and began to coul-tter-attack across <strong>the</strong> border<br />

into Iraq. It was clear to Eran's leadership that <strong>Kuwait</strong>i aid played a<br />

critical role in giving Iraq <strong>the</strong> ability to survive Iranim attacks, and Iran<br />

began to put military prcssure on <strong>Kuwait</strong>. While mast of Kuwai.t% Shi'ite<br />

population prtwed loyal, Iran had some success in using <strong>Kuwait</strong>i Shi5ites<br />

to attack targets in <strong>Kuwait</strong>,<br />

On December 12,1983, Shi3tes bombed <strong>the</strong> French md US embassies,<br />

and 17 ShifiPes were later convicted of <strong>the</strong> bombing. In May, 1985, pro-<br />

Irmian Shi'ites atteqted to assassinate <strong>the</strong> Emir of Kukvajt.. Iran's conquest<br />

of Faw in 1986 brought it wit.hin striking distance of <strong>Kuwait</strong>. Pro-<br />

Iranian Shi5tes bombed <strong>Kuwait</strong>'s oil facilities in June, 19%, and in<br />

Ja~uary, April, May; and June of 1987, Iraq's hcreashg strikes on tanker<br />

and cargo traffic to Iran led Iran to retaliate by attackng tanker and cargo<br />

traffic to <strong>Kuwait</strong> and Saudi hrabia-reatinl; a "tanker <strong>war</strong>" in <strong>the</strong> Gulf.<br />

This "tanker <strong>war</strong>'qed <strong>Kuwait</strong> to seek US and Soviet assistmce in<br />

"ref1aggingP' its tankers, Nei<strong>the</strong>r <strong>Kuwait</strong>i military forces nor tbe GCC<br />

could provide <strong>the</strong> naval and air capabilities necessary tc:, defend against<br />

<strong>the</strong> Iranim threat. <strong>Kuwait</strong> was forced to turn to <strong>the</strong> West md <strong>the</strong> USSR<br />

for aid, While <strong>the</strong> Sovict Union only provided token naval forces, <strong>the</strong> US<br />

provided a major naval escort effort, supported by US special forces and<br />

air mits bawd in <strong>the</strong> Gulf. The escort effort led to sjgnihcant naval<br />

clashes beheen <strong>the</strong> US and Im during 1987 md 1988, which played a<br />

sipificmt mle in Iran's eventuai defeat. It also led tc:, <strong>the</strong> first major landbased<br />

anti-ship missile strikes on Gulf shipping. Iran fired at- least 10 Silkworm<br />

missile at targets in <strong>Kuwait</strong>i waters, farchg <strong>Kuwait</strong> to improve its<br />

navy and deploy colxnterrnasurc. eyuipn-tent on its islands.<br />

<strong>Kuwait</strong> and <strong>the</strong> Gulf War<br />

Irm's defeat in <strong>the</strong> Iran-Iraq War only created a new threat to <strong>Kuwait</strong>'s<br />

security Muwait" suppmt of Iraq durislg th Iran-Iraq W;ar earned itself<br />

little gratitude. While Iraq emerged as <strong>the</strong> victor in <strong>the</strong> Iran-Iraq War, it


had borrowed at least $3";7biion in loans from <strong>Kuwait</strong> a d its o<strong>the</strong>r Arab<br />

neigkibors, as wcll as mssive addjtional loans fmm <strong>the</strong> West and Japan.<br />

By late 1989, :Iraq desperately needed to reschedule its debts. The<br />

~quired principat and interest on <strong>the</strong> nm-Arab debt alnne wouM have<br />

cmsumed half of Iraq's $13 billion worth of annual oil rcvenues.9<br />

At <strong>the</strong> same time, repayments of this scale scarcely suited Saddm<br />

Hussein's grwing regional ambitions. Iraq had a mftitary budget of<br />

$1,2.9 billion in 1990, which meant: Iraq was spending approximately $700<br />

per citizen in a country with a per capita income of only $1,950." As a<br />

result, Iraq began to demand forgivmess of its &at, loans during 3988<br />

and 1989, and called for nekv grmt aid to be given to Iraq as <strong>the</strong> sole<br />

defender of tbe Arab cause against Iran, Iraq also made new requests to<br />

lease Warbah and parts of Bubiyan island fn 1989, and rejected <strong>the</strong><br />

attentpts of <strong>Kuwait</strong>'s Emir to reach a gelneral border settlemetnt when he<br />

visited I rilq in Septezmber, 1989.11<br />

By mid-1990, Iraq% cash mserves were. only equal tcr three months of<br />

imports and infl&ion was rzlnning at 40%. When <strong>Kuwait</strong> reftised to forgive<br />

Iraq" debt, lease <strong>the</strong> islands, and agee to Iraq" soter border claims,<br />

Iraq decided m <strong>war</strong>. Saddm Hussein accused <strong>Kuwait</strong> of ""stabbing Iraq<br />

in <strong>the</strong> back'' and Iraqi ctreign rninister Tariq Aziz claimed that <strong>Kuwait</strong><br />

had '"implemented a plot to escalate <strong>the</strong> pace of graduaj systematic<br />

advances to<strong>war</strong>ds Iraqi territory-" He claimed that <strong>the</strong> <strong>Kuwait</strong>i government<br />

had set up "military establishments, police posts, oil installations,<br />

and arms on Xraqi territory" He also claianed that <strong>Kuwait</strong> and <strong>the</strong> UAE<br />

were conspiring to keep oil prices low and wert. violating <strong>the</strong>ir oil quotas,<br />

and that <strong>Kuwait</strong> was stealing oil from <strong>the</strong> liumalia oi field, whose<br />

sou<strong>the</strong>rn tip enters <strong>Kuwait</strong>i territary.Iz<br />

On August 2,3990, Iraq invaded a nearly defenseless <strong>Kuwait</strong>. It immediately<br />

became apparmt that <strong>the</strong> GCC had no real military capability to<br />

aid <strong>Kuwait</strong>. The GCC had supposedy created a 10,000-man Peninsulas<br />

Shield Force in <strong>the</strong> mid-3980s but, in reality; this force consisted of little<br />

more Chm a reinforced Saudi brigaclc based at Mafr &-Batin and token<br />

detachments from o<strong>the</strong>r Gulf states, Fur<strong>the</strong>r, <strong>the</strong> so-called GCC rapid<br />

deployment force had little mobility and sustainaMity<br />

The US responded bp forming <strong>the</strong> UN Coalition that fought <strong>the</strong> Gulf<br />

War and liberated <strong>Kuwait</strong>. However, fraq's defeat has fefi a legacy of<br />

Iraqi irredentism, Mthich has since been compomded by <strong>the</strong> impact of <strong>the</strong><br />

UN cease-fire terms and <strong>the</strong> creation of a new border between <strong>Kuwait</strong><br />

and Iraq.<br />

Men <strong>the</strong> UN Security- Council accepted a cease-fim in <strong>the</strong> Gulf War m<br />

April 3, 1991, it adopted terms that re~i~cl Iraq to (a) recognize <strong>the</strong><br />

ad~usted <strong>Kuwait</strong>i-Trayi border, (b) accept a UN guarantee of <strong>the</strong> border,<br />

(c) &W <strong>the</strong> UN to establish a peace observer force in a zone abng <strong>the</strong>


Iraqi-Kuvvait border 30 kilometers fn Iraq a d 5 kilometers in Kuvvait, fd)<br />

reaffirm its commitment to <strong>the</strong> Chemical W;;rrfare Convelztion and<br />

Nuclear Non-Proliferation Treaties, (e) permit <strong>the</strong> UN to ensure <strong>the</strong><br />

destmction of all biological, chemical, and nuckar weapons, long-range<br />

ballistic missiles, and related facifities, equipment, supplies, (f) accept liability<br />

for <strong>Kuwait</strong>" losses, (g) assum Eability for all pre-<strong>war</strong> debts, (h)<br />

rc-.htn? or account for all <strong>Kuwait</strong>i prisoners, and (i) renounce terrorism.<br />

Iraq accepted <strong>the</strong>se terms on April 4,1991-<br />

<strong>Kuwait</strong> and <strong>the</strong> Continuing Threat af Invasion from Iraq<br />

Nei<strong>the</strong>r victot.). nor <strong>the</strong> cease-fire have ended <strong>the</strong> threat from Iraq, and<br />

<strong>Kuwait</strong>, <strong>the</strong> US, and o<strong>the</strong>r ailied nations have repeatedly been forced to<br />

react to new Iraqi provocations. In August and September of 1,992, <strong>the</strong><br />

confrontation between Iraq and <strong>the</strong> UN over <strong>the</strong> elimination of<br />

weaponmf mass destruction, and :Iraq% ttreatment of its Shi'ites and<br />

Kurds, forced hwait alld <strong>the</strong> U'S to transform <strong>the</strong>ir joint exercises into<br />

a demmstration that <strong>the</strong> US could protect <strong>Kuwait</strong> agajnst any military<br />

adventures by Iraq. 'The US rushed Patriot batteries to both <strong>Kuwait</strong> and<br />

Bahrairt, conducted a test pre-positioning exercise called Native Fury<br />

92, deployed a 1,300 man battalim from <strong>the</strong> 1st Cavaky Division, and<br />

an mphibbus reinforcement exercise catled Eager Mace 92. The US<br />

&so deployed 1,900 Marines and 2,4110 soldiers, including two armored<br />

and two mechanized compmies.13<br />

<strong>Kuwait</strong> faces <strong>the</strong> prospect of continuing Iraqi challenges to its new border<br />

MIith Iraq. As part of <strong>the</strong> cease-fire terms, <strong>the</strong> UN set up a specid UN<br />

Traq/:<strong>Kuwait</strong> Boundary Ucmarcation Commission. This commission<br />

issued its final report on May 20,1993, and found that <strong>the</strong> original border<br />

marking points had long vanished, md that Iraqi farmers had steadily<br />

expanded <strong>the</strong>ir date farms to <strong>the</strong> south <strong>after</strong> <strong>the</strong> border was marked in<br />

3923. As a result, correcting <strong>the</strong> border to <strong>the</strong> miginal lhle moved it to <strong>the</strong><br />

north and into territory that Iraq had occupied before World War 11.<br />

The Secxtary General accepted <strong>the</strong> final report oi <strong>the</strong> CJN Iraqi<strong>Kuwait</strong><br />

Boundary Demarcation Commission, and <strong>the</strong> tlN Security Councit<br />

adopted Resolution 833 on May 27, 7,943. Resolution 833 reaMirmed <strong>the</strong><br />

Commission% ffina dbemarcation of <strong>the</strong> fraq-kwait bosder, dcmandcd<br />

that both states ~spect that border, md guaranteed <strong>the</strong> inviolability of<br />

<strong>the</strong> border.<br />

The new border offered <strong>Kuwait</strong> considerable advantages at <strong>the</strong><br />

expmse of Iraq. It gave <strong>Kuwait</strong> greater control over <strong>the</strong> Ratga and<br />

Rumalia oil fiel$s in its norlt.lern border area, and reduced Xraqi access to<br />

<strong>the</strong> port hcilities at ZJmm Qasr.l"t <strong>the</strong> same time, <strong>the</strong> new border created<br />

political prc,bIems with Iraq. &1y six days aft-er <strong>the</strong> Sec~tary Gen-


erd accepted <strong>the</strong> =port, <strong>the</strong> Speaker of Iraq's Nationai Assembly stated<br />

that Che new border would keep tensions in <strong>the</strong> region high. Iraq refused<br />

to accept <strong>the</strong> new demarcation md Iraqi editorials, and Iran" media<br />

made new claims to <strong>Kuwait</strong> as Iraq's 119th prowince.<br />

Iraq crcated a scries of hddents in <strong>the</strong> border area during <strong>the</strong> rest of<br />

1993 and througln most of 1994. In late 1934, Iraq <strong>the</strong>n sent mgur forces,<br />

includktg two Republican Guards divisions, into <strong>the</strong> border area. These<br />

movements forced <strong>the</strong> US to rush land md air forces hto <strong>the</strong> area, md<br />

led to a new crisis between Iraq and <strong>the</strong> UN.<br />

The cmtinuing threat f m Iraq "oecame even more appartrnt on October<br />

3,1994, \zrhen Iraq began to move its Elammurabi and A% Nida Republican<br />

Guards divisions south from <strong>the</strong> area around Baghdad to positions<br />

about 20 kilometers from <strong>the</strong> border with <strong>Kuwait</strong>. These two units were<br />

<strong>the</strong> best equipped RepubIican Cuds divisions in <strong>the</strong> Iraqi Army. 'They<br />

moved by rail and road with full ammunition loads and <strong>the</strong>n deployed<br />

in an attack capable formation which had one brigade for<strong>war</strong>d and two<br />

in <strong>the</strong> rea~, and a full complement of divisional artillery.<br />

The Iraqi. movements not only involved two divisions of 9,000 to 10,000<br />

men each, <strong>the</strong>y hvolved <strong>the</strong> movement of FRW, SA-8, md mobile AA<br />

units. Iraq also incrcascd <strong>the</strong> readiness of <strong>the</strong> Adnan and Baghdad divisions<br />

of <strong>the</strong> Republican Guards in <strong>the</strong> north in a mamer that indicated<br />

<strong>the</strong>y might mwe south, md altered <strong>the</strong> deploymenis of <strong>the</strong> three Iraqi<br />

divisions aZxeady in <strong>the</strong> south-<strong>the</strong> 54th MechaIlized Division, which was<br />

about 40-50 kilometers from <strong>the</strong> border, <strong>the</strong> 2nd Armored Division, and<br />

<strong>the</strong> 4th Republican Guards fnfantry Division, Iraq built up a tot& force of<br />

7C),00%81),mO men, hvlnicfi led to si.gnifica,nt increases in <strong>the</strong> major<br />

weapons positioned in <strong>the</strong> area no& of <strong>Kuwait</strong>, Irayi tank strength<br />

increased from about 660 to 1,1Cftl, artillery strength from around 400 to<br />

700, md OAfV stre~~gth from about 700 to 1,0Q0.15<br />

More than my incident since tlne Gulf War, this Iraqi, buil.d-up illustrated<br />

thr problems Kwait and <strong>the</strong> US face in dealing with a major Iraqi<br />

challenge and <strong>the</strong> necessary respnse. 'The Kuwajti cakrinet met in emer-.<br />

gcrncy session on October 7,1994, and decided to send lhe <strong>Kuwait</strong> army<br />

to <strong>the</strong> border and put Ku~iait foxes cm full alert. It took 5-7 days to<br />

defloy <strong>the</strong> kwaiti army fully, hhowever, and its efective fighting<br />

strengtl-t was less than one heavy Iraqi Republican Guards brigadc,<br />

Tlte US decided to send additional forces to <strong>the</strong> Gulf: on October 9 ta<br />

supplement. l.he 13,000 WS personnel already in <strong>the</strong> thcater. -These<br />

forces initially included <strong>the</strong> 18,000 men in <strong>the</strong> 1st Marine Expeditionary<br />

Force, 16,000 troops from <strong>the</strong> US army 24th Infantry Division,<br />

306 fixed wing aircraft (including A-lOs, F-16s, RP-4Cs, F-ISEs, F-ISCs,<br />

F-Ills, EF-Ills, F-117s, ISTARS, F/A-l8s, B-52s, and E-3As, 58 helicopters<br />

(inclueSing 54 AH-64s), two batteries of Patriot Missiles, and a


carrier battle group. The US subsequently deployed ano<strong>the</strong>r 73 fixed<br />

wing aircraft.<br />

By October 12, <strong>the</strong> US had a total of 19,241. men in <strong>the</strong> Gulf area (1,923<br />

Army, 11,171 Navy, 1,977 Marine, 3,844 Air Force, 173 Special Operations,<br />

and 153 Joinl Task Force Headquarters), 'The US had two casrier task<br />

iorces with 15 ships (counting me carrier battle group in <strong>the</strong> Red. Sea.) and<br />

200 combat aircritft and was ir7 <strong>the</strong> process of depioying sipificant numbers<br />

of aircraft.<br />

US Army units we= beginnhg to join <strong>the</strong> prepositioned US armor in<br />

Kuwiiit; and 5 Marine Corps Maritime Prepositionhg Ships, 8 US Army<br />

Brigade Afloat Ships, and 6 USAF and US Army Prepositio~~hg Ships<br />

were moving to<strong>war</strong>ds <strong>the</strong> Gulf. US forces were involved in joint exe~ises<br />

with <strong>Kuwait</strong>i forces in fie border area wilhin a matter of days, and <strong>the</strong><br />

US held a major, demonstrative armor-B-52-strike aircraft exercise before<br />

<strong>the</strong> end of October. In contrast, <strong>the</strong> GuXf Cooperation Council was only<br />

able to make a token co itment of <strong>the</strong> 17,000 mm Peninsula Shield<br />

force-which lacked <strong>the</strong> combat capabiXity to play any si,gni.icmt rolc in<br />

defending <strong>Kuwait</strong>.<br />

Although Iraq backed down, witbd~w its forces, and <strong>the</strong>n stated it<br />

would recag~~ize <strong>the</strong> new border wif-;h <strong>Kuwait</strong>, it seems clear that this<br />

Iraqi acceptance was little mom than a ploy tiIJled to try to put an end to<br />

UN sanctions. In fact, <strong>the</strong>re were new indications of Iraqi movements<br />

against <strong>Kuwait</strong> in 1995. 011 August 8, 1995, two of Saddam Hussein's<br />

sons-in-law, two of his daughters, and o<strong>the</strong>r mmbers of <strong>the</strong>ir family<br />

defected to fordan. This defection was folowed by musual Iraqi move-<br />

ments around Baghdad and in Sou<strong>the</strong>rn Iraq, and rumors that Iraq may<br />

attack <strong>Kuwait</strong> or make a demonstration near <strong>the</strong> border.<br />

'T"lnese indications led <strong>Kuwait</strong> to create a new security zone near its cap-<br />

ital. At <strong>the</strong> sme time, <strong>the</strong> U'S respmded by deploying naval task forces<br />

where <strong>the</strong>y could protect <strong>Kuwait</strong> as part of 'Q~peration Vigilant Sntinell."'<br />

August 10, it alertecf fie carrier battle gmup that hciuded <strong>the</strong> Rao-<br />

srmlt (CCG-K), <strong>the</strong> 8th Carrier Whg, <strong>the</strong> guided miss* cruiser Mz'ssisswi<br />

(CGN), and <strong>the</strong> guided. missitc cruisers Hzre City (CG) and ;Ticoaderoga<br />

(CC), as we11 as fie pided missile frigate Nkfidus (FFC). 'This force was<br />

on station near Port Said by August U, with <strong>the</strong> capabaity to launch more<br />

than 150 Tomahawk cruise missiles,<br />

The US also alerted <strong>the</strong> 24th Marine Expeditionary Unit (MEU), <strong>the</strong><br />

assatxlt ships Kearsarge (LHD) and Nnt;hvillr! (I.,FXlt), and <strong>the</strong> guided missile<br />

destmyc3r Nu& PE), The 11th Marjne Expeditionary Unit (MEU) with<br />

tJle assault ships Nao Orleans (LPH) and. JUFZ~~U (LPD), fie landhg ships<br />

Gm~.sfock and Mf. fimm (I;,SD), and <strong>the</strong> TAC) Pecos, moved from positjons<br />

near U?e Gutf of &men to <strong>the</strong> up-per Red Sea, wherc <strong>the</strong> MECT could. rapidly<br />

deploy &rough Saudi Arabia. 'This force was also on stathn by August 12.


During all of this period, <strong>the</strong> carrier battle gmup in <strong>the</strong> new US 5th<br />

Fleet in t-he Guf re~nained on station. 'This battle group included Ihe carrier<br />

Lincoln (CCG-S), <strong>the</strong> 11th Carrier Miing, <strong>the</strong> guided missjle cmisers<br />

Velta Gzr& Brirzcetotz, and C!jnlzcelEorsville (CC), <strong>the</strong> guided missile<br />

destr0yt.r fm~m (DDC), <strong>the</strong> destroyers Mcritl and Elliot (DD), and <strong>the</strong><br />

guided missile frigates f~z~pmhnm and SlnrFc (FFC). The battle group in <strong>the</strong><br />

5th Fleet had <strong>the</strong> capability to dellver over 250 TomahaMlks.<br />

<strong>Kuwait</strong> and <strong>the</strong> US &so decided to accelerate <strong>the</strong>ir joint exercises to<br />

take place in August ra<strong>the</strong>r thm October. As a result, <strong>the</strong> US rushed some<br />

28,1300 troops to <strong>the</strong> regim by mfd-Srptember, including 5,OW in <strong>the</strong> Eastern<br />

Mediterranean. It cIeployed 8 prepositioning ships from Uiego Gitrcia<br />

to <strong>the</strong> Gulf, with enougfn gear to sustaj.n 16,000 Marines in combat for 30<br />

days, and 5/C)OffZ,O110 US Army troops. It lieployed four additional<br />

preposi.tianing ships into <strong>the</strong> regio~z. It also prrzpared US Army troops i,n<br />

<strong>the</strong> US for airlift to "marry up" with <strong>the</strong> heavy epiprnent for an armorcd<br />

brigade that is prepor;itioned at Camp Doha in <strong>Kuwait</strong>.<br />

The US sent 1,4610 tmps to <strong>the</strong> exercise frnm <strong>the</strong> 1st Cavalry Division<br />

based at Fort Hood, Texas. It airlified an advance guard. of 398 soldiers to<br />

acclimate <strong>the</strong>mselves, and check <strong>the</strong> prepositimed equipment, and <strong>the</strong>n<br />

airlified <strong>the</strong> remaining forces, These troops wm deployed by August 17,<br />

and were soon conducting a month-long joint exercise called '"peration<br />

Il-ttrhsic Action" with <strong>Kuwait</strong>i forces near <strong>the</strong> border. Memwhile,<br />

ano<strong>the</strong>r 3,900 US Navy and Mari,ne Corps force conduckd a joint<br />

amphibious exercise with <strong>Kuwait</strong>i forces called ""Eager Mace 96-1." This<br />

exercise involved helicopter assautt landings, live fire trahhg, and surveillmce<br />

operati~rrs.'~<br />

<strong>Kuwait</strong> and Lesser Threats gram Iraq<br />

Similar uncertainties rclgarding Iracfs future intentions exist as a result of<br />

a recent dectine in Iraqi-prtwokd incidents along <strong>the</strong> border, lrqi infii-<br />

trations and crossistgs dropped from several hundred a year durkg<br />

1992-1994 to a few incidents a week in <strong>the</strong> spring of 1.995. However, this<br />

decline seems to be a tmporary tactic ra<strong>the</strong>r than a commitment to a last-<br />

ing cognition of <strong>Kuwait</strong>'s bnrder,<br />

f.'Mr<strong>the</strong>rt <strong>the</strong> decline in incidents is partly <strong>the</strong> result of <strong>the</strong> deportation<br />

of 1,501) lraqis living in tlmm Qasr (which occurred aft= <strong>Kuwait</strong> paid for<br />

new housing), and partly <strong>the</strong> result of irnproved border surveillance and<br />

<strong>the</strong> construction of a nearly 218 kilometer long security line. The border<br />

is now monitomd by 300 unamed observers from more than 30 coun-<br />

tries, as well as a bai-i;alion of armed Bmgladeshi soldiers The new secu-<br />

rity line has a three meter deep trench, iollowed by a five met= sand<br />

berm, and sensors which can detect <strong>the</strong> movement of vehicles. It is


acked by a patd road a d ouposts in <strong>the</strong> borcjer area, and <strong>Kuwait</strong> is<br />

cmsidcrkg brtilding a second defensive line behind it with mines and<br />

o<strong>the</strong>r barriers to halt an Iraqi military attack.17<br />

It seems likeiy that Iraq will continue to assert its claims in <strong>the</strong> bcrrcier<br />

area <strong>the</strong> moment it is given <strong>the</strong> political md military opportu11ity.1"<br />

Kuwai"tas already had to abandon plans to allow Western oil companies<br />

to ercplore and develf,~, its oil fields near <strong>the</strong> lraqi border because of <strong>the</strong><br />

risk of nekv clahes and incidents. Iraq, on <strong>the</strong> o<strong>the</strong>r hand, is aggressively<br />

attempting to negotiate dcals with nations like Rrassia to exploit <strong>the</strong> fields<br />

on its side af <strong>the</strong> border once <strong>the</strong> UN smctions are lifted.<br />

<strong>Kuwait</strong> and Relations with Xran<br />

Iraq is not <strong>the</strong> only exter~nal problem <strong>Kuwait</strong> faces. Iran .Crhreate~zed<br />

Kuwai"teveraI times during <strong>the</strong> Iran-Irq War. It sent combat aixrafi into<br />

Kwiiiti air space, eteployed combat ships in <strong>Kuwait</strong>i waters, and fired 10<br />

anti-ship missiles at ships and port 'acilities in <strong>Kuwait</strong>i waters. Iran dsn<br />

supported sabotage and terrorist attacks against tarigets in <strong>Kuwait</strong>.. Iran<br />

still deploys land-based anti-ship missiles where <strong>the</strong>y can cower shipping<br />

into all but <strong>Kuwait</strong>'s most soulhern ports, and can rapidly deploy air,<br />

naval, mine <strong>war</strong>fare, unconventional <strong>war</strong>fare, and amphibious forces<br />

against <strong>Kuwait</strong>" iislmds, waters, and mainland.<br />

<strong>Kuwait</strong> and Iran have never reached full agreement on <strong>the</strong>ir respedive<br />

offshore oil and gas rights. Iran and <strong>Kuwait</strong> have discussed <strong>the</strong> issue,<br />

however, and <strong>the</strong>re were reports that negotiations were underway in<br />

mid-1995. In dealing with Iran, <strong>Kuwait</strong> has also chose11 dialogue over<br />

ent, and has done so with some success. ft encouraged Iran to<br />

export to <strong>Kuwait</strong>, and Frnported $87 million worth of gaods from Iran h<br />

1994, versus exports of $6.6 million to $10 millio~~. <strong>Kuwait</strong> has also taken<br />

measures to improve its relations with Iran by creating its first free-trade<br />

zone at <strong>Kuwait</strong> City's Shweikh part.19<br />

Nevert.Eteless, <strong>Kuwait</strong> camot ignore <strong>the</strong> risk that Iran may become<br />

mort. threatening in <strong>the</strong> future. It may also h d it difficuXt to fully exploit<br />

its offshorn oil and gas resources as bng as it is unable to reach a firm<br />

agrement with Iran or faces <strong>the</strong> threat of Iranian attacks ~ II its offshore<br />

Ifacilities,<br />

<strong>Kuwait</strong> and Relations with<br />

Sou<strong>the</strong>rn Gulf and Arab States<br />

<strong>Kuwait</strong>'s rulhg family has kinship ties to <strong>the</strong> ruling family of Bahrah,<br />

but <strong>Kuwait</strong> has rarely taken sides in <strong>the</strong> quarrels ol: <strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>rn<br />

Guif states. It has cmcentrated on improving its own security and has


encouraged efforts by <strong>the</strong> Gulf Cooperat.ion Council to improve <strong>the</strong><br />

defense of <strong>the</strong> Upper Gulf.<br />

<strong>Kuwait</strong> has strongly encouraged GCC exercises in <strong>the</strong> Upper Gulf, and<br />

<strong>the</strong> growth of thr GCC's Peninsular Shieid force, although it has had little<br />

success in developing jntegrated GCC defenses in <strong>the</strong> area or combatefiectivc<br />

interclperable GCC forces which can defend against Iraqi heavy<br />

divisions. <strong>Kuwait</strong> has been effective, however, in getting strong GCC<br />

political. support during <strong>the</strong> ""tiker <strong>war</strong>" wMh Iran h 15387-1988, and<br />

during <strong>the</strong> Gulf Wac<br />

<strong>Kuwait</strong>'s relations with Saudi Arabia have been <strong>the</strong> key to ohtahirtg<br />

support h dealing with Iran and Iraq and have been relatively good since<br />

<strong>the</strong>y siped a treaty in 1922. <strong>Kuwait</strong> and Saudi Arabia did argue occasitrnaily<br />

over <strong>the</strong>ir respective rightli to <strong>the</strong> neutral zme &at had origirtaily<br />

been estdished between <strong>the</strong>m in order to give nomadic tribes freer<br />

access to grazing rights. However, <strong>the</strong>y reached a agreement over this territory<br />

in 4966 md began to share <strong>the</strong> oil and gas =sources fn what <strong>the</strong>y<br />

now called <strong>the</strong> ""divided z011e."<br />

Saudl Arahia providcd political support and troops to help <strong>Kuwait</strong><br />

when Iraq threatened its border fn <strong>the</strong> early 1960s. Saudi Arabia still did<br />

not =cognize Ku\vajt.i snvcreignty over ali of h r n al-Maradem and<br />

Qaruh, however, and Saudi Arabia dealt with a dispute over offshort.<br />

drilling rights by sendhg troops to wcupy <strong>the</strong> two islaneis of k m at-<br />

Maradem and Qaruh in June, 7,977. Coupied to disputes with Irm, <strong>the</strong>se<br />

tensions dclayed Krawait." fdl, exploitation of its oif shore oil resources.<br />

<strong>Kuwait</strong> and Saudi cooperation improved <strong>after</strong> <strong>the</strong> fall of <strong>the</strong> Shah and<br />

<strong>the</strong> beginning of <strong>the</strong> Iran-Iraq War. Both nations began to cooperate more<br />

closely in dealing with Iran and in aiding Iraq. h 1990, Saudi Arabia<br />

played a key role fn <strong>the</strong> liberation of <strong>Kuwait</strong>, and in July, 1995, <strong>the</strong>y<br />

finally reached ag~ennent. over t-he demarcation of all Chcis land and sea<br />

boundaries.'Wuwait and. Saudi Arabia are now participating in joint<br />

exercises with <strong>the</strong> US in preparhg for <strong>the</strong> defense of <strong>the</strong>ir borders against<br />

Iraq and are expanding some aspects of this coveration to include<br />

BAsain,<br />

In short, <strong>Kuwait</strong>'s only sipificant problems with its neighbors stem<br />

from <strong>the</strong> hability of <strong>the</strong> GCC to emerge as an effective military alliance,<br />

<strong>the</strong> GCC" slow progress in develop& effective, integrated defense capabilities<br />

with Saudi Arahia, and a feeiing in much of: <strong>the</strong> Sou<strong>the</strong>rn GulE that<br />

Kuwajt is "arrogant" and "u17cooperative"-a feeling that often seems to<br />

be more a reactjon to <strong>Kuwait</strong>'s weailth and focus on its own strategic concerns,<br />

ra<strong>the</strong>r than <strong>the</strong> result of any action on <strong>Kuwait</strong>'s part.<br />

<strong>Kuwait</strong> has close relations with most Arab states. It has been slow,<br />

however, to improve relations with Arab states that failed to support it:<br />

during <strong>the</strong> Gulf War. Its relations with jordan and Yemen have improved


in cent years, but are still sorne\nrhat distant and <strong>Kuwait</strong> no longer provides<br />

ei<strong>the</strong>r cowltry with significant aid.<br />

<strong>Kuwait</strong> has supported <strong>the</strong> Palestirtian Authority in some aspects of <strong>the</strong><br />

Arab-Israeli peace negotiations, but expelled many Jordanians and Palestinians<br />

from <strong>Kuwait</strong> <strong>after</strong> <strong>the</strong> Cd War for sympathizing with Iraq. Many<br />

Kuwai"tis bitterly resent what <strong>the</strong>y perceive as Jordanj.an and Palestinian<br />

betrayal cJf <strong>Kuwait</strong>, and Kwait has shqly ~duceef <strong>the</strong> number of foreign<br />

Arab workers in <strong>Kuwait</strong>. It has been cautious in reaching out to<br />

Israel, but relations are relatively friendly.


Political and Economic<br />

Stability and Security<br />

The recmt trends in <strong>the</strong> <strong>Kuwait</strong>i economy are shown in Table One. The<br />

longer term trends are summarized in Chart Che and Chart 'fiuo. Tahle<br />

C)ne shows <strong>the</strong> impact of <strong>the</strong> Gulf War, Kukvait's subsequent recovery, its<br />

dependence m oil exports and rcvcnues, and its acute dependence on <strong>the</strong><br />

ent. budget for vizt-ually every aspect of its economfc activity.<br />

The oil sedor continues to provide more than 80% of all Kukvaiti government<br />

retvesr~es~21<br />

Chart One shows an estimate of <strong>the</strong> trends in <strong>Kuwait</strong>'s GDP relative to<br />

popdation and per capita income in constant 1987 dollars. Chart. Two<br />

shows an estimate of <strong>the</strong> trends in <strong>Kuwait</strong>" GDE cmtral government<br />

expmditures, military expmdihres, totai exports, and ams imports as<br />

measured in constant 1993 US dolfars. While <strong>the</strong>se charts arc complw,<br />

<strong>the</strong>y provide a clear picture of <strong>the</strong> tmb devastating impact of Iraq's invasion<br />

on <strong>Kuwait</strong>'s GDP and exports, and shoc?; <strong>the</strong> massi\le increases<br />

Kuwajt had to make in cclntral governmem.t. expemdi.twrcs and military<br />

expmditurcs to cope with <strong>the</strong> costs of <strong>the</strong> <strong>war</strong>. This expenditure was in<br />

excess of $66 billion and cut <strong>Kuwait</strong>" reserve "find for Future Generations"<br />

from nearly $100 biSlion to around $35 billion?*<br />

<strong>Kuwait</strong> had to pay <strong>the</strong>se costs <strong>after</strong> a long period of relativcty low oil<br />

prices, which substantialty cut Kuvvaiti revenues during mu& of <strong>the</strong><br />

1980s. Chart me shows <strong>the</strong> World Bank estimates that <strong>Kuwait</strong>'s GDF per<br />

capita dropged by m averap of 0.8"/~ per year during 1979-1989.2"is<br />

is a significant cut, although it is much smaller than <strong>the</strong> drop in GDP per<br />

capita h most Sou<strong>the</strong>rn Gull: states durhg this period. <strong>Kuwait</strong> was partially<br />

able to coqensate for low oil prices by vlvestments in downstrt.am<br />

and upstrem operatims and o<strong>the</strong>r activities.<br />

At <strong>the</strong> same time, Chart me and Chart Two show that <strong>Kuwait</strong> recovered<br />

retlatkely quick@ from <strong>the</strong> impact of <strong>the</strong> <strong>war</strong>. SiznjZarly, <strong>the</strong> CIA estimates<br />

that <strong>Kuwait</strong>" GDP had recovered to <strong>the</strong> point where it had a purchasing<br />

power equivalent of $30.7 billion in 1994. Petroleum and


TABLE ONE Key Economic Indicators in <strong>Kuwait</strong><br />

EIU Estimate' 199P 1991b 1992 1993 1994 1995<br />

Production (1,000s of barrels per day)<br />

Oil Exports (1,000s of barrels per day)<br />

Average Oil Export Price (per barrel)<br />

Oil Export Receipts ($US current billions)<br />

GDP ($US current billions)<br />

Per Capita GDP ($US current)<br />

Total Government Revenue<br />

($US current billions)<br />

Total Government Expenditures<br />

($US current billions)<br />

Budget Balance ($US current billions)<br />

Middk East Economic Digest Estimatee'<br />

Population (Millions)<br />

Native <strong>Kuwait</strong>is<br />

GDP ($US current billions)<br />

Annual GDP Growth (percent)<br />

Inflation (percent)<br />

Unemployment (percent)<br />

Total Foreign Debt ($US current billions)<br />

(continues)


TABLE ONE (con f inued)<br />

Middle East Economic Digest Estimate" 1994 1995 1996<br />

Exports ($US current billions)<br />

Imports ($US current billions)<br />

Trade Balance ($US current billions)<br />

Current Account ($US current billions)<br />

Notes: aJanuary-July.<br />

bSeptember-December.<br />

lncludes crude oil, oil products, and LPG.<br />

'Source: Adapted by Wayne A. Larsen, NSSP, Georgetown University, from <strong>the</strong> EIU, Country Profile, <strong>Kuwait</strong>, 1995-1996, pp. 10,11,17,27-31.<br />

"Source: Adapted by Anthony H. Cordesman from Middle East Economic Digest, February 23,1996, p. 8.


B<br />

B<br />

B<br />

B<br />

GDP ($Constant 87 Millions)<br />

Per Capita Income ($Constant 87)<br />

CHART ONE <strong>Kuwait</strong>: GDP, Population Growth in Millions, and Per Capita Income (in Constant $87 US Dollars).<br />

Source: Adapted by Anthony H. Cordesman from International Energy ~ genc~ (IEA), Middle East Oil and Gm, Paris, 1995, pp.<br />

305-309.


22 klilicrzf and Econontic Stability and Seczdrify<br />

I CGE \<br />

Military Expenditures<br />

CHARWTMrO <strong>Kuwait</strong>i Cross Domestic Product, Central Govmment<br />

Expenditures, Militar)~ Expenditures, Total Imports, Total Exports, and Arms<br />

Deliveries: 1983-1993 (in Constant $93 US AMiXfions). Source: Adapted by<br />

Anthony FT. Gordesman from ACDA, World Mikz'tnl-y Expenditures nrzd Arnls<br />

Transfers, 199&19941 ACDA/GPO, WasNngton, 49%.<br />

petrochemicals accounted for over 50% of <strong>Kuwait</strong>'s GDP and 90% of its<br />

exports and gove ent revenues, <strong>Kuwait</strong>" only o<strong>the</strong>r major industries<br />

were desalination, salt, food processing and constmc"cim, Aside from a<br />

s~nail fishing industry, aagrkwlture accomted for well ul-rder 0.1% of<br />

Kuwai"t"sGDT;", and <strong>Kuwait</strong> imported over 96% of its food. <strong>Kuwait</strong>" fforeign<br />

debt totaled roughly $7.2 billion. f(luwait had only 525 cubic meters<br />

of freshwater per capita, and over 75% of its potable water had to be distilled<br />

or irnported.24


170fiCicnl nlzd Economic Stability aand Security 23<br />

MAP TWO <strong>Kuwait</strong>i Enerw Facilities<br />

<strong>Kuwait</strong>" seconmy underwent a fur<strong>the</strong>r recover). in 1995, It had largely<br />

~huftt its pre<strong>war</strong> ability to exploit its massive d and gas resources. In<br />

spite of marjor dracvdowns in foreign invcslmemt holdhgs to pay fnr <strong>the</strong><br />

Gulf War, <strong>Kuwait</strong> also managed to retain a major pool of investments to<br />

help meet both its currmt funding needs and to provide income in <strong>the</strong><br />

.future- Kuwajt was aXso making significant new investm,mls h downstream<br />

hdustries,<br />

<strong>Kuwait</strong> rivals <strong>the</strong> UAE for <strong>the</strong> title of <strong>the</strong> wealthiest Gulf state in terms<br />

of total savings and oil and gas resources per capita. As a result, it does


24 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

not face <strong>the</strong> same near and mid-term economic constraints as most of its<br />

Sou<strong>the</strong>rn Gulf neighbors. Kumit does, however, 'ace limits on its financial<br />

resources. Xt used up a significant portion of its investment capital<br />

during <strong>the</strong> Gulf War, and is still expc~riencing budget deficits that cmstrain<br />

what its guvermnt can spend on defttnse, social services, and<br />

development, Like <strong>the</strong> o<strong>the</strong>r Suu<strong>the</strong>rn Gulf states, Krawait also faces <strong>the</strong><br />

need to reduce its dependence m foreign labor and encourage a more<br />

productive private sector.<br />

<strong>Kuwait</strong>'s Oil Industyy<br />

<strong>Kuwait</strong>f"sil industry is <strong>the</strong> core of its satid wealth and ecmomy The<br />

US Department of Energy (WE) estimates tbat <strong>Kuwait</strong> is one of <strong>the</strong><br />

largest oil powers in <strong>the</strong> world. Accordhg to <strong>the</strong> 'LKIE, <strong>Kuwait</strong> has an<br />

estimated 94 billion barrels of recoverilble oil, or 9.4 percent of <strong>the</strong><br />

world's total, The Neutral Zone or Divided Zone area, which <strong>Kuwait</strong><br />

shares with Saudi Arabia, holds m additional 5 billio~~ barrels of reserves,<br />

half of which belong to <strong>Kuwait</strong>. <strong>Kuwait</strong> also has gas reserves of 52.4 trillion<br />

cubic feet (about 1.1% of <strong>the</strong> wrld totalf, and produces about 93.5<br />

biHion cubic feet of gas per yeacz"<br />

Table Two shows that <strong>the</strong> US Department of Energy estimates that<br />

bait will steadily increase in fmportance as a world cJit producer, and<br />

will produce 3.W.0 millims of barrclls per day by <strong>the</strong> early 2000~~ These<br />

goals are close to those set by <strong>Kuwait</strong>, which seeks a production capacity<br />

of 3.3 milfions of barrels per day by 2W0, and 3.8 millions of har~ls<br />

per day by 2005-including 0.3 millions of barrels per day kom <strong>the</strong> Neutral<br />

Zone.26<br />

Table 7hree and Chart nree show an International E11ert;y iagmcy<br />

(XEA) estimate of <strong>Kuwait</strong>'s share of Gulf and world oil reserves and oil<br />

production. These data furZher reinforce <strong>Kuwait</strong>'s sh-ategic importance as<br />

a major holder of oil =serves and oil pmdurer. It is fmportmt to note that<br />

<strong>Kuwait</strong>" reserves rmk very close to those of Iran md Iraq, and that <strong>the</strong><br />

data on <strong>Kuwait</strong> reserves may well be more reliable,<br />

<strong>Kuwait</strong> provides a slightly %her estimate of its proven oil =serves. It<br />

estimates that it has 96.5 billion barrels of probTelI reswes, which it calculates<br />

are 9.670 of <strong>the</strong> world total, <strong>Kuwait</strong> estimates that it has over 100<br />

years of =serves at its current production rate of 2.06 million barrels per<br />

day but any such estimates are tfneorctical bceause <strong>the</strong>re has never been<br />

a comprehensive seismic survey of its reserves. Two and three dimensional<br />

sufveys are n w underway fn <strong>Kuwait</strong>'s onshore and offshore<br />

fields and <strong>the</strong> Neutral Zone, but will not be complete until around <strong>the</strong><br />

year 2000.'7


D Identified<br />

Proven<br />

llll Identified -i- undiscovered<br />

Bahrain Iran Iraq <strong>Kuwait</strong> Oman Qatar Saudi UAE<br />

CHART THWE Total Oil Reserves of <strong>the</strong> Gulf States (in Billions of Barrels),<br />

Sazlrce: IEA, Middle East Oil nnd Cos, Paris, OECD, IEA, Annex 2, and data<br />

povided by Bahrain and Oman. Bahrain" reserves are only 350 millim barrels<br />

and do not show up on <strong>the</strong> chart because of scale-


TABLE TWO Estimated Increase in World Oil Production by Region and Country<br />

2000 2005 2010<br />

Count y/Region 1990 1992 Base Case Range Base Case Range Base Case Range<br />

OPEC<br />

Middle East & Gulf<br />

Iran<br />

Iraq<br />

<strong>Kuwait</strong><br />

Qatar<br />

Saudi Arabia<br />

UAE<br />

Total Gulf<br />

Algeria<br />

Libya<br />

Total Middle East<br />

Total OECD<br />

us<br />

North Sea<br />

FSU*'<br />

Eastern Europe<br />

Asia<br />

China<br />

Indonesia<br />

Australia<br />

O<strong>the</strong>r Asia<br />

(continues)


TABLE TWO (continued)<br />

2000 2005 201 0<br />

Count ymeg ion 1990 1992 Base Case Range Base Case Range Base Case Range<br />

Latin America<br />

Venezuela 2.6 2.6 3.3 3.0-3.7 3.8 3.4-4.1 4.3 3.6-4.5<br />

Mexico 3.0 3.1 3.2 3.0-3.4 3.3 2.9-3.5 3.3 2.8-3.5<br />

O<strong>the</strong>r<br />

Sub-Saharan Africa<br />

2.2 2.4 3.5 3.2-3.9 3.3 2.9-3.5 3.1 2.7-3.3<br />

Gabon 0.3 0.3 0.3 0.3-0.4 0.3 0.24.3 0.2 0.24.3<br />

Nigeria 1 .S 2.0 2.4 2.S2.7 2.6 2.S2.8 2.8 2.4-3.0<br />

O<strong>the</strong>r 1 .8 1.9 2.1 1.8-2.5 2.0 1.52.2 1.9 1.4-2.1<br />

World Total 69.6 67.4 78.6 72.5-86.6 84.2 72.6-91.4 88.8 73.7-94.7<br />

"Less Syria and Egypt.<br />

"Former Soviet Union.<br />

Source: Adapted by Anthony H. Cordesman from HA, International Energy Outlook, 1995, Washington, DOE/HA-048(95), p. 29. The EIA, Oil<br />

Market Simulation Model Spreadsheet, 194, data provided by <strong>the</strong> EM Energy Markets and Contingency Information Division, and EM,<br />

International Energy Outlook, 1994, pp. 11-20.


TABLE THREE Comparative Oil Reserves and Production Levels of <strong>the</strong> Gulf States<br />

Comparative Oil Reserves in 1994 in Billions of Barrels<br />

Country Identified Undiscovered<br />

ldentified and<br />

Undiscovmd Proven % of World Total<br />

Bahrain - - -<br />

Iran 69.2 19.0 88.2<br />

.35<br />

89.3 8.9<br />

Iraq 90.8 35.0 125.8 100.0 10.0<br />

<strong>Kuwait</strong><br />

Oman<br />

92.6<br />

_.<br />

3.0<br />

-<br />

95.6<br />

-<br />

96.5<br />

5.0<br />

9.7<br />

NA<br />

Qatar 3.9 0 3.9 3.7 0.4<br />

Saudi Arabia<br />

UAE<br />

265.5<br />

61.1<br />

51 -0<br />

4.2<br />

316.5<br />

65.3<br />

261.2<br />

98.1<br />

26.1<br />

9.8<br />

Total<br />

Rest of World<br />

World<br />

583.0<br />

-<br />

112.2<br />

-<br />

695.2<br />

-<br />

654.1<br />

345.7<br />

999.8<br />

64.9<br />

35.1<br />

100.0<br />

(continues)


TABLE THREE (continued)<br />

Comparative Oil Production in Millions of Barrels per Day<br />

1995<br />

OPEC<br />

DOEDEA Estimate of Actual Producfion Maximum Sustainable AnnOuncxd<br />

Capacity<br />

County Actual Quota 1990 1992 2000 2005 2010 1995 2000 in 2000<br />

Bahrain<br />

Iran<br />

Iraq<br />

<strong>Kuwait</strong><br />

Oman<br />

Qatar<br />

Saudi<br />

Arabia<br />

UAE<br />

Total<br />

Gulf<br />

World<br />

Source: Adapted by Anthony H. Cordesman fmm estimates in IEA, Middle East Oil and Gas, Paris, OED/IEA, 1995, Annex 2 and DOE/EIA,<br />

International Energy Outlook, 1995, Washington, DOE/EIA, June, 1995, pp. 26-30, and Middle East Economic Digest, February 23,1996, p. 3. IEA and<br />

DOE do not provide country breakouts for Bahrain and Oman. Reserve data estimated by author based on country data.


30 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

Most of <strong>Kuwait</strong>" oil reserves are located in <strong>the</strong> 65 billion barrel Greater<br />

Ru,rgan are?a, sou<strong>the</strong>ast of <strong>Kuwait</strong> City This productive area contains <strong>the</strong><br />

Burgan, Magwa, and Ahadi fields. The Raudhatain (6-7.5 bjXlim barrels<br />

of ~scrrves), 5abriya (3.84.0 billion barrels of reserves), and Minagish<br />

fields (2-2.1 billion barrels of reserves) are located in nor<strong>the</strong>rn <strong>Kuwait</strong>,<br />

All of <strong>the</strong>se fields have been produchg since <strong>the</strong> 19505, md. generally<br />

contain heavy to medium cmde oil with gravities in <strong>the</strong> 30 to 36" APl<br />

range, Two additior~al lqe oil fields were diiseoverczd in BM, alt-hottgh<br />

<strong>the</strong>ir reserves still are unproven. The South Magwa field. contahs light<br />

crude oil with a 35 to 40" API. The o<strong>the</strong>r field, located h nor<strong>the</strong>rn <strong>Kuwait</strong>,<br />

cmtahs heavy crude oil.28<br />

<strong>Kuwait</strong> has five fields in <strong>the</strong> Neutral Zone, which it shares with Saudi<br />

Arabia. These include fiaf-ji, with 6.3 billion barrels of reserves, Wafra,<br />

with 1,7 billion barrels of reserves, South Umrn Gudair Wafra, with 0.45<br />

billion barrels of reserves, Hsut with 0.2 billion barrels of reserves, and<br />

South Fu<strong>war</strong>is, with 0.04 billlon barrels of reserves. <strong>Kuwait</strong> also shares<br />

<strong>the</strong> Ratga oil field with Iraq,<br />

Kuwai"thas no petroleum law; <strong>the</strong> Emir of <strong>Kuwait</strong>, Sheik Jaber d-Ahmed<br />

al-Sabah, has dthate authority over all major decisions rdating to oil.<br />

The Sheik's principal advisor is <strong>the</strong> Oil Minister. A Supreme Petroleurn<br />

Council was established h I974 to review all major decisions, This Com-<br />

cil is chaired by <strong>the</strong> Forcrign Minister. Its membership includes six o<strong>the</strong>r<br />

ministers, and members of <strong>the</strong> private sector appointed by <strong>the</strong> Emir.<br />

<strong>Kuwait</strong> nationalized ali domestic and foreign oil assets on Uecember I,<br />

1975, and created <strong>the</strong> :<strong>Kuwait</strong> Petrolem Gmpany (WC) in 1975. It is an<br />

umbrella connpany for domestic and intmationiil subsidiaries that- han-<br />

dle expf oration, pipelines, engineering, refinhg, markt-tting, petrochmi-<br />

cals, tankers, aviation fuel, and <strong>the</strong> fining and marketing of products<br />

for <strong>Kuwait</strong>'s retail outlets,<br />

The oil produced in <strong>the</strong>; KuwaikSaudl Neutral Zone is hared equally<br />

between <strong>the</strong> two countries, The KPC owns a 10% share in <strong>the</strong> Arabim Oil<br />

Company that operates offshore production in <strong>the</strong> zone, while Saudi Ara-<br />

bia Texaco operates <strong>the</strong> onshore production.<br />

Chart Four shows tbe trends in <strong>Kuwait</strong>i oil production. <strong>Kuwait</strong> had<br />

produced a total of about 27 billion bards of oil at <strong>the</strong> time Of <strong>the</strong> Iraqi<br />

invasion in August, 1990, and had an extremely high mserve-to-produc-<br />

tiltn ratio of 194/1.29 Kwaiti oi production peaked in 1974 at 2.94 mil-<br />

lion barrels per day. Ktlwait produced oil at. a rate of about 1.0-1.9 million<br />

barrels per day during 1930, and was producing at 1.9 millions of barrels<br />

per day just before <strong>the</strong> Iraqi irtvasion. Including <strong>the</strong> <strong>Kuwait</strong>i share of <strong>the</strong>


CHART FOUR <strong>Kuwait</strong>i Oil and Natural Gas Liquids Total Production and Exports (in Thousands of Barrels Per Day).<br />

Source: Adapted by Anthony H. Cordesman from International Energy Agency (IEA), Middle East Oil and Gas, Paris, 1995, pp.<br />

252-256.


32 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

Neutral Zone, <strong>Kuwait</strong>: had a sustainable producticm capacity of 2.3 mil-<br />

lions of barrels per day, and was operakg a totd d W98 welJs.30<br />

Mrhm Iraq retreated in 1991, it used explosives on over 700 wells and<br />

set about hC)O m fire and ano<strong>the</strong>r 49 gushing-creating oil lakes. Iraq<br />

damaged or destroyed all 26 of <strong>Kuwait</strong>fs oil ga<strong>the</strong>ring centers. <strong>Kuwait</strong><br />

has since estimated that this damage cost it up to 3% of its recoverable<br />

reserves, althou;h <strong>the</strong>re is no way to make precise estimates and this<br />

damage is still under study'31<br />

<strong>Kuwait</strong> began reconstruction soon <strong>after</strong> <strong>the</strong> cease-fire, and phase one<br />

continued until <strong>the</strong> end of 1991. We11 fims were extinguished some nine<br />

months <strong>after</strong> <strong>the</strong> liberatio~~ and contracts were let to work over <strong>the</strong> old<br />

wells and drill new ones. Contracts were let for <strong>the</strong> recovery of crude oil<br />

from <strong>Kuwait</strong>" oil lakes, and about 1hillion barrels were recovered from<br />

lalces totaling arou~ld 20 million bards. This phase of reconslructio11 cost<br />

about $2.5 billion,<br />

Phase Two of <strong>the</strong> ~constmction effort included rebuilding wells, gatbering<br />

centers, pipelines, slorage tanks, refineries, and terminats. As of<br />

1995, <strong>Kuwait</strong> had returned 18 of its 26 oil ga<strong>the</strong>ring centers to operation,<br />

with a capacity of about 2.8 millions of barrels per day It had =worked<br />

over 659 wells and drilled 111 new ones"<br />

Phase Three is still underway md catls for <strong>the</strong> expansion of <strong>Kuwait</strong>i<br />

oil, gas, and petrochemical pmeiuction, and creating a total of 30 oil ga<strong>the</strong>ring<br />

centers. Its total cost is estimated at four to six billion dollars.32<br />

Pmduction has recovered relatively rapidly since <strong>the</strong> liberation," In<br />

mid-1993, Kwait" soil output surpassed pm-<strong>war</strong> levels. fn 1994, <strong>Kuwait</strong><br />

produced an estimated 2.04 milio~~s of barrels per day, including 360,000<br />

barrels per day of Neutral Zone production. <strong>Kuwait</strong>" 1995 production<br />

capacity is estimated at 2.6 mftlion barrels per day.<br />

While Ku\vajt.i oil exports to <strong>the</strong> United States have been rcldively<br />

small, <strong>the</strong>y have expanded from 40,000 barrels a day before <strong>the</strong> Gulf War<br />

to around 240,000. <strong>Kuwait</strong> has restored its status as one of <strong>the</strong> world's<br />

few oil powers that can serve as a major swing producer in <strong>the</strong> event of<br />

an emergmcy The US Department of Energy (DOE) estimates that<br />

Kwait and Saudi Arabia hold roughly 80 percmt of <strong>the</strong> wmldr~ excess<br />

production capaciV.3 O<strong>the</strong>r estimates also indicate that <strong>Kuwait</strong> faces relatively<br />

low total capital costs in mintahing and expanding its oil production<br />

capacity. 'I'hese data art- shown in Table Four, but it should be<br />

noted that <strong>the</strong>y m y sharply understate indirect costs and t-he full ifngact<br />

of reccnt expansion plans.<br />

'I'he DOE also estimates that :<strong>Kuwait</strong>% rapid post<strong>war</strong> boost in oil production<br />

has resulted in sme short-term probletns, An increased propctrtion<br />

of water has been lifted in relation to oil at a number of wells, For<br />

example, water cut at <strong>the</strong> 4.5-miltilm barrels per day Burgm field rose


170fiCicnl nlzd Economic Stability aand Security 33<br />

TABLE FOUR Cost of Maintaining and Expanding Oil Prc3duction in GC6<br />

Countries (1993-2000) (in Billion of CY33 US Dollars)<br />

Cusf of Mai~zftaini~zg Cusf of ExpaF2tli~g<br />

Cozlntq Capacity Capacity Total Cmf<br />

Kuw-ai t<br />

Qatar<br />

Saudi Arabia<br />

UAE<br />

Total<br />

Source: The NCB Econnmisf, Issue No. 4, May, 1993, issued by <strong>the</strong> Natir~nal Co<br />

Bank of Saudi Arabia as qrroted by Yousef H. Al-Ebraheem in a draft paper for <strong>the</strong> National<br />

Defmse Universiq.<br />

from K percent before <strong>the</strong> <strong>war</strong> to 2Ei percent in 1994. This &creasef hwever,<br />

may be due to <strong>the</strong> rise in <strong>the</strong> number of periphery wds used in<br />

reservoir management programs. In 1993, <strong>the</strong> state-owned <strong>Kuwait</strong> Oil<br />

Company (KOC) commissioned country-wieie reservoir sfmulation studies.<br />

The Mjnagish and Zlahair field studies reporkd damage ~su,lting<br />

from well blowouts at <strong>the</strong> Mlnagish and Zubair fields. Studies on Burgm,<br />

Umm Gudak, and o<strong>the</strong>r fields hawe ccmlpletim dates in mid-1995.35<br />

<strong>Kuwait</strong> has three major export termhals on <strong>the</strong> Gulf coast near its<br />

~fheries at Mha al Ahadi, Mha AbdulZah, and Shuaiba, and had a<br />

fnurlh in <strong>the</strong> Neutraf Zone at Mina Saud that was destroyed during <strong>the</strong><br />

Gulf W;;rr* These three terminals were damaged durhg <strong>the</strong> <strong>war</strong>, but <strong>the</strong><br />

cmmrciaX port at Shuaiba opened in March, 1994, and oil shipent<br />

=sued im 1992. 'f'he tot& export capatlility of <strong>Kuwait</strong>'s tcrmimals is now<br />

about 2.9 rnilljon barrels per day, and Kulivait is pf, ing to add two shgle<br />

point moring buys. Oil storage capacity has been returned to its I6<br />

million barrel pre-<strong>war</strong> level.<br />

Plans Lca Expand Productiotz<br />

<strong>Kuwait</strong> plms to steadily raise its oil prsductio~~.<br />

'This increase in produe-<br />

tion plays a major role in most estimates of <strong>the</strong> increases in world oil<br />

exports necessary to suppm global economic vow& and lievclopment.<br />

<strong>Kuwait</strong> plans to raise its crude oil production, excluding <strong>the</strong> Neutral<br />

Zone, to 3 million barrels per day by <strong>the</strong> yeas 2000 md. 3.3-3.5 miXlion<br />

barrels per day by 21105. This will invoke a number of new prt!jects in<br />

western and nor<strong>the</strong>rn <strong>Kuwait</strong>.36<br />

<strong>Kuwait</strong>" financial difficulties and contract delays put several projects<br />

on hold in 1994, but progrrss picked up im early 1995. Kwail's expansion


34 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

program will inclulie <strong>the</strong> fnstaflation of gasloil separation plants, gas<br />

compression facilities, desalting plants, and chanced oil recovery systems<br />

at several fields. Also, an injection plant is under construction to<br />

provide pressure maintenance at <strong>the</strong> Minagish and Raudhakin fields. fn<br />

March, 1995, <strong>the</strong> China Petroleum Engheering Construction Corporation<br />

signed a $390 to $430 million contract to buil.d two crude oil ga<strong>the</strong>ring<br />

centers in <strong>the</strong> western 2. billion barrel Minqish and Umm Gaidar fields.<br />

Output from <strong>the</strong> fields will be raised from 1110,(f0(1 barrels per day at present<br />

to 500,000 barmls per day in 1997. These fields will be linked by<br />

pipeline to <strong>the</strong> Mina d-Ahmadi refheryYsy<br />

<strong>Kuwait</strong> is also undertaking develcrpment work at <strong>the</strong> nart-hern 250,000barrels<br />

per day Raudhatain, 130,000 barrels per day Satsriya, and 35,000<br />

barrels per day-combined Ratga and abduliya fields. In 1992, British<br />

Petroleum (BP) sig~~ed a three-year technical service cmtract to work on<br />

<strong>the</strong> Minagish and Umm Gaidar fields, In February, 1995, this contract was<br />

extended to inclulie technical support at <strong>the</strong> Raudhatain and Sahriya<br />

fields. In Aug~~st 1994, Chevron signed a tecihnical service agreement similar<br />

to BP'S according to which it would provide exploration, production,<br />

and transportation assistance to KK's Burgan field's operations.<br />

<strong>Kuwait</strong> is seeking to boost capacity through <strong>the</strong> cms"caction of ga<strong>the</strong>ring<br />

centers in its western fields at Umm Gudair and Minagish. It<br />

a<strong>war</strong>ded <strong>the</strong> China Petroleum Corporation a $390 million contract in<br />

December, 11995 to Iift capacjty from 1111,000 bards per day to 50C),(100<br />

barrels per day38<br />

'T"hese BP and Chevron contracts are important evidence oE <strong>Kuwait</strong>'s<br />

increaskt; willhg~~ess to al:low greater foreign upst..rearn involvemnt. h<br />

February, 1995, <strong>the</strong> <strong>Kuwait</strong> Petroleum Company (KPC) decided to &er<br />

IJSCs to fort-ip compania. Kwait stated that <strong>the</strong> reasons for this decision<br />

included tecihnology transkr and a greater perceived i,ntemtio1zal<br />

interest in <strong>Kuwait</strong>Js territorial integrity In June, 1995, however, <strong>Kuwait</strong><br />

decided tc:, delay such pfandecause it ccmctueted that <strong>the</strong> risk of new<br />

clashes with Iraq offset <strong>the</strong> possible advantages to be gained from .foreign<br />

involvement in Iraq-border arca oil field development in ensurislg foreign<br />

support in <strong>the</strong> event of ano"rer crisis with Iraq.39<br />

As of May, 11995, KPC's PSC proposal was still awaiting fjnd approval<br />

from <strong>the</strong> Supreme Petdeum Council, If passed, a limited number of<br />

companiewodd be asked to bid fnr a share of <strong>the</strong> work. They dght<br />

hclude Amoca, BPf Chevron, Exxon, Mobil, C)ccidental, Royal Dutch/<br />

Shell, and 7exaro. These firms are particularly interested in offshort.<br />

BCs, which have better perceived development pmspects.<br />

Kukvait is also cooperating with Saudi Arabia in expanding production<br />

from <strong>the</strong> "Divided" or "Partitioned Neutral Zone" shred by<br />

<strong>the</strong> two countries. Texaccr and fapan" Arabian Oil Company (AOC)


170fiCicnl nlzd Economic Stability aand Security 35<br />

are <strong>the</strong> two foreiljn operators of <strong>the</strong> 4OU,0C)CI barrels per day Neutral<br />

Zone shared by <strong>Kuwait</strong> and Saudi Arabia. In March, 1995, Texaco<br />

received permission to boost its current production of 140,000 barrels<br />

per day to almost 300,000 barrds per day by 3998. 'This will be accomplished<br />

through new drilting and a 3-D seismic survey to discover<br />

new reserves. Most work is expected. to occur at <strong>the</strong> South Umm<br />

Gaidar, Wafra, and South Fa<strong>war</strong>is fields.<br />

<strong>Kuwait</strong> is rumored to have given Texaco <strong>the</strong> developme~~t cmtract<br />

partly because of <strong>the</strong> connpany" aabiliw to market heavia crude oil. As of<br />

April, 1995, <strong>the</strong> AOC was continuing negotiations concerning cmcession<br />

extensions far its 3f)t),0C)O barrels per day offshore production. Cumntly,<br />

AOC% Neutral Zone concessions expire in ZOO0 md. 2W3, respectkely,<br />

AOC is holding off on fur&er investment until <strong>the</strong>se dates are extmded.""<br />

Downstream and Upstream Irtvesbents<br />

<strong>Kuwait</strong> operates three refheries at Mha a1 ad& Mha Abdullh, md<br />

Shuaiba, md has a share in <strong>the</strong> =finery at Mha Saud in <strong>the</strong> Neutrd Zone,<br />

<strong>Kuwait</strong>'s =fining capacity was damaged severely durhg <strong>the</strong> <strong>war</strong> and <strong>the</strong><br />

Mina Saud and Shuaiha refineries were badly damaged. Kukvait lost much,<br />

of its pre-W=, 770,OUO barrcls per day caparity, and only had 2W,000 barrels<br />

per day of =finery ouput by early 4992. However, <strong>Kuwait</strong>" H00 miilion<br />

downstream. recmstnactiur~ program was co~~pleted in mid-1994. Mka al<br />

Ahmadi went from 370,000 barrels per day pre-<strong>war</strong> firoughput capaciq to<br />

39f),W, Mina Abdullah boosted capacity from 49t),f)0(> to 225,WO, and<br />

Shuaiba, inc~ased from 187,00C) to 1441000. Ntina Saud is not operating. KPC<br />

is now focusing increasingly on high-value product exports, which rose 83<br />

percent to W,01)0 barrels per day ktween 4993 to 1994.41<br />

X17 May, 1995, KPC initiated a new pmgrm to complete final, smll<br />

repairs and to begin =finery upgrades, The 200,000 bar~ls per day<br />

Shuaiba =finery suffercrd <strong>the</strong> most damage from <strong>the</strong> <strong>war</strong>. At presmt,<br />

capndty has been raised to 144,000 barrek per day. 'The new repair program<br />

will work m restoring <strong>the</strong> 65,000 barrels per day processing unit as<br />

well as upgmding <strong>the</strong> 20,O(ftl-harrelis per day hydmcracker's second<br />

stage. Completion of <strong>the</strong> Shuaiba repairs is anticipated by 1997- The<br />

390,000 barrels per day Mina al-Ahmadi rclfhery upgrade will involve<br />

<strong>the</strong> cclnstruction of three units to produce unleaded gasoline for domestic<br />

consumption. The $100 rnillion contract ws <strong>war</strong>ded to Mitrsui and<br />

will be completed by 1998. Similar upgrading will take ptace at <strong>the</strong><br />

smaller 225,000-barrelis per day Mina at-Abdullah ~finery.<br />

<strong>Kuwait</strong> now plms to achieve a domestic refirrery capacity of 900,080-<br />

1,000,000 barrefs per day by BOO. Xt is not seeking to expand its domestic<br />

capacity much beyond this levef, but hopes to shift its refinv output to


3 6 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

mow valuable product streams. It aiso plans to expand its ownership of<br />

foreign refineries to ellsure it has guarmteed markets.42<br />

KPC is expancSjng its overseas downstream irtterests in <strong>the</strong> hope of<br />

attaining a combined European and Asian refFz~ing capacity of 835,000<br />

barrels per day by 2000. It is currently seeking 30,000 bmls per day of<br />

refhing capacity in Europe and 400,000 barrels per day in Asia.<br />

In May 3995, tw agreements with <strong>the</strong> state-owned Indim Oil Company<br />

(1C)C) md Co&in Refheries Lixnit-rd (-I,) were ppeding. 'The IK deal involves a new $4.3 billion, 125,000 barrels per day refkery in<br />

Orissa, India. Dclpmtfing on demand this proposed refhery's capaciq<br />

may be rai,sed to 180,000 barrcls per day. The proposed CRL, lndian refinery<br />

would. be located in Kerala and wwXd have a capacity of between<br />

320,000 to 200,000 barrels per day.@<br />

<strong>Kuwait</strong> Petroleum International (KPX) cmtrols <strong>the</strong> corntry's European<br />

refhery system. This includes 130,000 to 150,000 barrels per day in capacity<br />

from refheries Gulfhaven, Denmark and Rotterdam in <strong>the</strong> Ne<strong>the</strong>rlands.<br />

<strong>Kuwait</strong> is looking to expand its European refinery system through<br />

<strong>the</strong> acquisition of an Italian refhery, possibly <strong>the</strong> under-used 300,OO barrels<br />

per day refinery in Sardhia. Kf'f is also pursuing talks with Italy's<br />

Agip co~ncerning <strong>the</strong> possibility of acyuiring its 300,000 bmls per day<br />

refinery h Mil.azza, Sicily Since 1993, KPI has been searchkg for a<br />

=placement for its antiquated 100,000-barrels per day Naples refinery<br />

aft- it fajled to meet Itaty's etnvimnxnental standards.<br />

In February, 1995, KPC undertook a feasibility study concerning a possible<br />

90,f)I)O barrels per day finery near Kararhi, Pakistan. Mso, a<br />

30,000 bml per day refinery in Rayong, Thailand, is under discussion,<br />

as we11 as a possible export reiineq lvcated near Pattaya on nailand's<br />

sou<strong>the</strong>rn coast. 11-1 South Africa, KPC is currently negotiating with Sasol<br />

to acquire part of its %,C)@ barrels per day Natref rcflmery. KPC hopes<br />

this acquisition would secure a market for its present 25,Q00 barn15 per<br />

day worth of crude oil exports to South Africa.<br />

<strong>Kuwait</strong> is also expanding its investments in petrochemicals.cas It has<br />

been producing fertilizer since <strong>the</strong> mid-196lls, and had just started. building<br />

a major complex at Shuaiba when <strong>the</strong> <strong>war</strong> began. In mfd-1993,<br />

<strong>Kuwait</strong>'s state-owned Petrochcntical Industries Company (PIC) and<br />

Union Carbide Corporation formed a joint venture to build md operate<br />

a world-scale petrochemical complex at Shuaiba. Construction of <strong>the</strong><br />

$2,3-biillior? facility began in late 4995, and <strong>the</strong> plant is due to be cornptctcd<br />

in 1997. PIC and Union Carbide each have a 45 percent sharcl in<br />

<strong>the</strong> prcrjeet, with <strong>the</strong> ~mainder =served for public offer. The complex<br />

will include a 650,000 met.rjc ton per year (n?.t/ y) elf-tane cracker, 450,000<br />

mt/y of polyethylme capaciv, and 350,000 mt/ y of ethylene glycol production.<br />

After its completion fn 1997, <strong>the</strong> complex will primarily serve


170fiCicnl nlzd Economic Stability aand Security 3 7<br />

Asian products markets. <strong>Kuwait</strong> is also negotiating with US hmoco Corporation<br />

to build a $1 billjon armati.cs plant.4<br />

KPC dso holds Santa Fe ExpZoration, which has production shares in<br />

five LIK sector North Sea oil fields, Santa Fe Exptorafion also holds an 8.5<br />

percent stake in <strong>the</strong> giant Brit ia is expected to come<br />

m-stream in late 1996 with m ouput of 6UO miljion cubic feet per day and<br />

50,OOC) barrels per day of ccmdensate. After startup, Santa Fe Exploration<br />

wilX produce an estimated 14,00C) barrels per day. KuQec is mothcr foreign<br />

upstream asset owned, by KPC. In 1994' it had an annual productjon<br />

of mughly E,lftlfl barrels per day from operations im Auskalia, China, <strong>the</strong><br />

Congo, Egypt, Indonesia, and Tunisia. Kufpec" production is pxcdicted to<br />

dsuble during 1995 <strong>after</strong> two new oil fidds in Yemen cone m-fine.4"<br />

<strong>Kuwait</strong> has, however, been forced to sell a large share of its inf;ernational<br />

investments in foreign upswan? operations,. Part of <strong>the</strong>se sales<br />

have gone to pay for budget deficits, and part to pay for <strong>the</strong> Gulf W.<br />

Part occurred because <strong>the</strong> assets were not as pmfitable as <strong>Kuwait</strong> originally<br />

expected. For example, in Nove~~ber, 1994, <strong>Kuwait</strong> mnounced its<br />

htention to sell Smta Fe International's US subsidiary-Smta Fe Mherals-which<br />

conducts exploration and production in North and South<br />

herica, KPC had originally purchased Santa Fe in 1981 for $2.5 billion.<br />

Dtlring <strong>the</strong> 39805, this subsidiary lost an estimted $3 billim.46<br />

<strong>Kuwait</strong>i Gas Reserves and Production<br />

Table Five, Table Six, and Chart Five show that Kllwait ranks m mg <strong>the</strong><br />

twenty nation's with <strong>the</strong> world's largest gas reserves, although its<br />

reserves am not large by Gulf standards, Muwait estimates that it has 1.5<br />

trillion cubic meters, or 1.1% of <strong>the</strong> world's reserves.aA811 of <strong>Kuwait</strong>'s gas<br />

reserves are associated with oil fields, and all, of its natural gas prodwtion<br />

is carried, w t by <strong>the</strong> <strong>Kuwait</strong> Production Compan)r<br />

<strong>Kuwait</strong> has established gas ga<strong>the</strong>ring facilities and pipelimes, but its<br />

efforts to find separate gas fields have failed. As a wsdt, <strong>the</strong> gas produc-<br />

tion shown in Chart Six has varied with oil production-a trend reflected<br />

in <strong>the</strong> decline in gas prc,duc"cicm during 1980-3985 and <strong>the</strong> massive drop<br />

in produdion resulthg from Iraq's invnvion.<br />

Chart Six shows that <strong>Kuwait</strong> made progress in utilizing its gas for dome*<br />

tic needs md oil production purpmes before <strong>the</strong> Imqi jnvasion. The share<br />

of hwit gas that was marketd m e from 42% in 1975 to 74% in 1%9, but<br />

massive mounts had to be axed durhg <strong>the</strong> first pI-iase of <strong>the</strong> Gulf Wa.<br />

The <strong>Kuwait</strong> gas industry suffered some <strong>war</strong> damqe. Three of <strong>Kuwait</strong>'s<br />

five gas booster stations were darnaged, and one was destroyed. MW-<br />

ever, its LPG plant and bottling unit were not damagd. Gas production<br />

and domesl;ic use has since recovered, but <strong>Kuwait</strong> acbally needs more


38 PoZiticuZ and Economic Stability and Security<br />

TABLE FIVE World Natural Gas Proven Reserves by Country as of January 1,<br />

1995 (Trillion Cubic Feet)<br />

county Reserves Percent of World Total<br />

World Total<br />

Top 20 Countries<br />

Former Soviet Union<br />

Iran<br />

Qatar<br />

Abu Dhabi<br />

Saudi Arabia<br />

United States<br />

Venezuela<br />

Algeria<br />

Nigeria<br />

Iraq<br />

Canada<br />

Norway<br />

Mexico<br />

Malaysia<br />

Ne<strong>the</strong>rlands<br />

Indonesia<br />

China<br />

<strong>Kuwait</strong><br />

Libya<br />

Pakistan<br />

Rest of World<br />

4,980.3<br />

4,595.8<br />

1,977.0<br />

741.6<br />

250.0<br />

188.4<br />

185.4<br />

162.4<br />

130.4<br />

128.0<br />

120.0<br />

109.5<br />

79.2<br />

70.9<br />

69.7<br />

68.0<br />

66.2<br />

64.4<br />

59.0<br />

52.4<br />

45.8<br />

27.5<br />

384.5<br />

100.0<br />

92.3<br />

39.7<br />

14.9<br />

5.0<br />

3.8<br />

3.7<br />

3.3<br />

2.6<br />

2.6<br />

2.4<br />

2.2<br />

1.6<br />

1.4<br />

1.4<br />

1.4<br />

1.3<br />

1.3<br />

1.2<br />

1.1<br />

0.9<br />

0.6<br />

7.7<br />

Note: The sum of <strong>the</strong> shares for <strong>the</strong> top 20 countries may not equal <strong>the</strong>ir total share due<br />

to independent rounding.<br />

Source: Worldwide Look at Reserves and Production, Oil and Gas Journal, Vol. 92, No. 52<br />

(December 26,1994), pp. 42-43.<br />

gas than it produces, and was an importer from Iraq before <strong>the</strong> <strong>war</strong>.<br />

<strong>Kuwait</strong> is now looking for o<strong>the</strong>r sources of gas.<br />

<strong>Kuwait</strong>’s Economy Since <strong>the</strong> Gulf War<br />

As <strong>the</strong> previous tables have shown, <strong>Kuwait</strong>’s post <strong>war</strong> recovery has been<br />

relatively rapid. <strong>Kuwait</strong> was able to restore most of its urban services as<br />

early as mid-1991. Despite some apocalyptic predictions, <strong>the</strong> 732 oil well<br />

fires Iraq set during its withdrawal did not produce fatal environmental<br />

problems, and all were extinguished by <strong>the</strong> end of October, 1991. <strong>Kuwait</strong><br />

was able to resume oil exports, and exported one million barrels per day<br />

by mid-1992.


170fiCicnl nlzd Economic Stability aand Security 39<br />

TABLE SIX Gulf and Gas Reserves and Production<br />

Reserves in 2995<br />

Percent Inkortd Producfior.~ in<br />

Nation TCF BCM SZ~PP~Y 1993 (BCMl<br />

Bahrain<br />

Iran<br />

lra y<br />

<strong>Kuwait</strong><br />

Oman<br />

Qatar<br />

Saudi Arabia<br />

UAE<br />

Gulf<br />

Rest of VVortd<br />

World Total<br />

Note: "O<strong>the</strong>r sources estimate 6,320-7,280 BCM for Abu Dhabi only,<br />

Sourcr: The reserve and productic?n data are adapted by Anthony H. Ccdesman from<br />

IEA, Middlrp East Oil and Gas, Paris, OECD, XEA, 1995, A~r-rczx 2.<br />

Table One has already shown that Muwait" short term balmce of trade<br />

is favorable, and o<strong>the</strong>r sources indicate that <strong>Kuwait</strong> has had a favorhle<br />

trade bairncc durhg <strong>the</strong> last few years-with a szlrplus of $4.0 bil[io11 in<br />

1993, $5.0 bi.llim in 1994, $2.35 billion in 1995, and an estimated surplus<br />

of $2.10 biflion in 4996. In 1994, <strong>Kuwait</strong> had approxiinately $11.8 bittion<br />

worth of exports.48<br />

Chat Seven shows <strong>the</strong> longer term trends in Muwait" bbalasrce of trade.<br />

It shws that Kwai"ci d exports have averaged over 2 million barrels a<br />

day sinre August, 1993, and <strong>Kuwait</strong>i oil =venues p w Iron? $5.9 bjllion<br />

in 1992 to $9.3 billion in 1993, and an estimated $10.3 billion in 1994. h<br />

spite of <strong>the</strong> <strong>war</strong> and same financing problems, <strong>the</strong> <strong>Kuwait</strong>i GUI' grew by<br />

over 22"h h 1993, md 13% in 19%. 'This gave <strong>Kuwait</strong> a GDP equivale~zt<br />

of about $30 billion in 1994, total reserves of about 11 billion <strong>Kuwait</strong>i<br />

dinars, a d a per capita fncome of over $2C),U(SO a year.49<br />

f(uwa,it does, however, face significant problem in reducing its<br />

level of govmment spending and in restructuring its economy. Chart<br />

011e has shown that <strong>Kuwait</strong>'s real per capita incwe has dropped<br />

steadily since <strong>the</strong> late 1970s for o<strong>the</strong>r reasons-largely <strong>the</strong> dedine in<br />

oil prices and rise in. <strong>Kuwait</strong>" population. This chart is a <strong>war</strong>ning that<br />

even <strong>the</strong> wealthiest state must take careful account of <strong>the</strong> vulnerability<br />

inherent in having a commodity-depende~~t economy and rapid<br />

population grow <strong>the</strong>


Bahrain Iran Iraq <strong>Kuwait</strong> Oman Qatar Saudi UAE<br />

CHART FIVE Total Gas Reserves of <strong>the</strong> Gulf Stats (in Billicms of Cubic Meters),<br />

SOZITG~: Adapted by Anthany H. Cordesman from TEA, Middle East Oil n~zd Gas,<br />

Paris, OQECD, IEA, 4995, Annex 2, and data provided by Bahrain and Oman.<br />

Bahrain" sesemes are too small to show on <strong>the</strong> chart because of scale.


H Gross Production<br />

Domestic Marketed<br />

Reinjected<br />

B Vented, Flared, & Lost<br />

H Exported<br />

CHART SIX <strong>Kuwait</strong>i Natural Gas Production (in Billions of Cubic Meters). Source: Adapted by Anthony H. Cordesman from<br />

International Energy Agency (IEA), Middle East Oil and Gas, Paris, 1995, pp. 252-256.


-<br />

-<br />

El Total Exports<br />

Cl Petroleum Exports<br />

- Imports<br />

U Trade Balance<br />

Current Account (Trade Balance Less Transfers)<br />

CHART SEVEN <strong>Kuwait</strong>: Balance of Trade (in Current $US Million). Source: Adapted by Anthony H. Cordesman from<br />

International Energy Agency (IEA), Middle East Oil and Gas, Paris, 1995, pp. 274-275, Central Bank of <strong>Kuwait</strong>, Quarterly Sfatistical<br />

Bulletin.


170fiCicnl nlzd Economic Stability aand Security 43<br />

<strong>Kuwait</strong> S Bzirdgeff Liq~tidity~ and Debt<br />

In spite of Ku\vajt.'s oil weal%, <strong>the</strong> <strong>Kuwait</strong>i government spends far more<br />

than it receives by way of Evcnues. 7jble Seven shows that <strong>the</strong> government<br />

established a pattern of deficit spending long before <strong>the</strong> Gulf War,<br />

md that its total revezzues only exceeded its expenditures durhg one<br />

year in <strong>the</strong> period between :E"Y19@/85 and 1995196,<br />

These deficits wem relatively unimportant before <strong>the</strong> Gulf War because<br />

<strong>the</strong>y did not lully reflect income kom Kukvait's foreiw investi~ents. The<br />

<strong>Kuwait</strong> gguvernment, however, was forced to make massive expendltures<br />

during <strong>the</strong> Gulf War. Table Seven shows, however, that <strong>the</strong> gave<br />

had to make massive direct expeinditurrzs to cope with Iraq's invasion oE<br />

<strong>Kuwait</strong>, <strong>the</strong> struggle to liberate <strong>Kuwait</strong>, and <strong>war</strong>tirne darnage to <strong>the</strong><br />

<strong>Kuwait</strong>i economy, It shows that <strong>Kuwait</strong>'s deficits totaled over 14 billion<br />

Kuwajti Dinnrs ($48 biXlion) in <strong>the</strong> three years following <strong>the</strong> invasion, and<br />

that <strong>Kuwait</strong>" average deficit has exceeded me bjllion <strong>Kuwait</strong>i Dinars in<br />

every year since FY1992193. Flarths, <strong>the</strong> =duction in <strong>Kuwait</strong>'s deficits<br />

.from FW1994/1995 on~.vards has been largely <strong>the</strong> resWlt. of <strong>the</strong> fact that<br />

<strong>Kuwait</strong> assumed oil prices of $22 a barrel in FY1.99.1-11995 and $23 a barrel<br />

in FU"195/ 1996, and world prices rose to higher levels. Even <strong>the</strong>n, <strong>the</strong><br />

rise in oil prices scarcely ended <strong>Kuwait</strong>'s def eits. A signgicant peak in oil<br />

prices in late 1995 md early 1996 was only estixnated, to have reduced<br />

<strong>Kuwait</strong>" 1996 deficit from 1.3 billion Dinars to 1.0 billion Dinars ($3.32<br />

billion)."O<br />

The budget data in Table Seven also understate <strong>the</strong> true level of govent<br />

spcrmding. Many of <strong>Kuwait</strong>" sexpenditurt-s to pay for <strong>the</strong> GulE<br />

MiBr are "off budgetf3in <strong>the</strong> estimates shown in TabIe Seven. According to<br />

one estinnate, <strong>Kuwait</strong> had to draw heavily on its Fund fnr Future Generations,<br />

which totaled up to $100 billion befare <strong>the</strong> <strong>war</strong>, to help fund <strong>the</strong><br />

liberaticm. Kuwajt pledgcd up to $65 billion of this told to pay for Fhe<br />

Gulf War-nearly 65% of <strong>the</strong> total assets it had invested. Kuwail <strong>the</strong>n had<br />

to obligate some $20 billion for repairs md modernization of its oil facilities,<br />

make massive arms purchases to rebuild its military forces. It <strong>the</strong>n<br />

had to pay $20 billion more to repay bad loans stemming frm <strong>the</strong> collapse<br />

of <strong>Kuwait</strong>" snregubted curb-side stock market-or Souq al-Mmafi-in<br />

7,982." Ano&er estimate indicates Ku'cvait spent $49 billion dur.ing<br />

<strong>the</strong> first seven mths of <strong>the</strong> hvasion, a total of $66.7 billion by <strong>the</strong><br />

end of FU199411995, and that this expendikre depleted <strong>Kuwait</strong>" total<br />

ent-held fnreign investi~ents by at least 411%.52<br />

Chart Eight and Chart Nine show <strong>the</strong> longer trends in <strong>Kuwait</strong>'s<br />

budgets and confirm <strong>the</strong> importance of budget rc-rduction anci fiscal<br />

contsols. They show <strong>the</strong> impact of changing oit prices <strong>after</strong> <strong>the</strong> early<br />

1980s, and <strong>the</strong> massive impact <strong>the</strong> Gull War had on <strong>Kuwait</strong>'s deficit,


TABLE SEVEN <strong>Kuwait</strong>i Budget Revenues and Expenditura Relative to<br />

Earnings: 19M-1996 (MiXXions of <strong>Kuwait</strong>i Dinars)<br />

Trend: FY1984/2 985 to FY 2 99513 99653<br />

OClzer Total Bfal<br />

Fkcal Year Oil Ret~enues Receipts Reventtc. Expe~ditures DclJieit<br />

Rezlenues<br />

Oil Revenue<br />

O<strong>the</strong>r Receipts<br />

Tbtal Revenues<br />

Expm"dt ures<br />

Wages & Salaries<br />

Goods CZr Srvices<br />

Transpol-t. & Equipment<br />

Develc~pment Projects<br />

MisceXlaneous Expenditure1Tramfers<br />

Total Expenditure<br />

Nef Dcjcil-<br />

94/95<br />

Budget<br />

93/94 93/94 94/95 After 95/96<br />

Approved Cfosi~tg Approved Additio~tral Approved<br />

BztdpC Accozlnf Brddgef Allocnfio~z Budpt<br />

Source: Adapted from <strong>the</strong> Middle East Ecorzotrric Lfigcsl, September 1, 1995, p. 6 and<br />

Februav 23,196, p. 111; and Central Bank of <strong>Kuwait</strong> and Ministry of Finance.


8,000<br />

6,W<br />

4,000<br />

2,m<br />

0<br />

Total Revenues<br />

-2,000 Oil Revenues<br />

H Investment Revenues<br />

-4,000<br />

4,000<br />

W Defense/Security Expenditures<br />

Surplus/Deficit<br />

CHART EIGHT Trends in <strong>Kuwait</strong> Budget Revenues and Expenditures (in Millions of <strong>Kuwait</strong>i Dinars). Source: Adapted by<br />

Anthony H. Cordesman from International Energy Agency (IEA), Middle East Oil and Gas, Paris, IEA/OECD, 1995, pp. 277-278.


g 2<br />

2 g<br />

E3<br />

F; W<br />

$3<br />

S; P<br />

-2<br />

22<br />

I= *-<br />

m-'<br />

+"a . 31<br />

rrl<br />

g 3<br />

5s<br />

g 2%<br />

g 2<br />

I W<br />

.S 0<br />

'-''-c1<br />

'" S<br />

2,<br />

25<br />

3y<br />

2<br />

g ia<br />

2x4 2<br />

B.<br />

4 .ri<br />

a E<br />

5 .g<br />

2<br />

U<br />

4 &<br />

&<br />

g<br />

G 8 W d<br />

%c!<br />

$3<br />

-g%<br />

X<br />

"-Q&


170fiCicnl nlzd Economic Stability aand Security 47<br />

oil earnings, and earnings from investments. They show that <strong>Kuwait</strong>fs<br />

revexrues have recovered sharply since <strong>the</strong> <strong>war</strong>, but that <strong>Kuwait</strong> has<br />

continued to experience financial pressure because of its large reconstruction<br />

costs and debts. During 1991-1993, it also faced major new<br />

defense costs, a loss of investment revenue, and low oil prices- These<br />

factors led, to a deficit of $18 billion out of total spending of $21 billion<br />

in 1992.<br />

The <strong>Kuwait</strong>i budget deficit reached a <strong>war</strong>time peak of about 7.3 billion<br />

<strong>Kuwait</strong>i Dinars in 199011991, and <strong>the</strong>n dropped to 5.5 billion h 19921<br />

1993, 1.6 billlon in 1993/1994, and 1.5 billion in 199411995,, At <strong>the</strong> same<br />

time, <strong>Kuwait</strong> faced sudden emergency defense expenditures, like $500<br />

million in casts to deal with <strong>the</strong> Iraqi movement to positions mar <strong>the</strong><br />

Kwait border in Oct&er 1994.- The gwe ent" fiscal debt levels also<br />

increased, and deficit spending reached $6.2 billion out of total government<br />

expenditures of $15.4 bitlion in 199415-with d y limited reductions<br />

pdected for 1995/96.55<br />

Some of Kukvajt's deficit spe~nding has gone into productive capital<br />

investments like rebuilding <strong>the</strong> country and investing h oil and gas facilities,<br />

but much continues to go to subsidies and welhre. <strong>Kuwait</strong> has no<br />

direct taxation, and Kzxwait's Fhance Mkistry has stated that <strong>the</strong> country<br />

spends ahwt $1.8 billjon a year m utifit-y subsidies and free health<br />

care alone, h 1994, <strong>the</strong> <strong>Kuwait</strong>i gove ent was still subsidizing 90% of<br />

all electricity costs and 75% of all water costs, and still providing low-cost<br />

telecommunications, free health care, and free housing. It was spending<br />

$1 billion a year on suhsidizing water and powa, and $600 million on<br />

subr;jdizing health care.56<br />

These subsidies made little sense in a country as wealthy as <strong>Kuwait</strong>,<br />

and led <strong>the</strong> <strong>Kuwait</strong>i govemment to consider various econornic austerity<br />

measures in 1994-many of which were similar to those being considered<br />

or adopted by o<strong>the</strong>r Gulf states. The goverment examined <strong>the</strong><br />

possibility of cuts in government subsidies and welfare benefits,<br />

increases in taxes, privatization of state-owned enterprises, and banking<br />

sector reforms, selling electricity and water at market prices, privatizir-rg<br />

telecommunicaticrns and charging market prices, indirect taxation,<br />

and requiring some degsrre of private health insurance.<br />

It soon became apparent, however, that <strong>the</strong> government faced major<br />

practical and political probhs in implementing any such measurrs.<br />

There were many areas hvhese it codif. not achieve immediate savings<br />

because of <strong>the</strong> cost of reform. For example, charging for sewices like utitities<br />

involved instalfing utility metering capabiliries fnr <strong>the</strong> first time. It<br />

also ran into major political problexxs,. Coxnservatives argued that mast<br />

Kuwai"tis were too poor to pay highr taxes and that incame disclosures<br />

violate personal privacy,


48 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

Most importantly, <strong>Kuwait</strong>'s next parliamentary elections are scheduled<br />

for October, 1996 so few mmbers of <strong>the</strong> National Assennhly have any<br />

incen<strong>the</strong> to push for major fiscal reform before <strong>the</strong> election. As a msult,<br />

<strong>the</strong> <strong>Kuwait</strong>i government continues to temporize, and hait cmtinues<br />

to use <strong>the</strong> capital it obtahs from selling foreign hvestments and borrowing<br />

to pay for recovery from <strong>the</strong> <strong>war</strong> and support its socrial, benefits.<br />

These factors led <strong>Kuwait</strong> to raise its debt ceiljng from $10 bi2lion to $33<br />

billion <strong>after</strong> <strong>the</strong> Gulf War, and borrow $5.5 billion from hternational<br />

banks. <strong>Kuwait</strong> afso drew down on its foreip investments to finance <strong>the</strong><br />

country's high public spending levels. Chart Ten shows that <strong>Kuwait</strong><br />

retained substantial liquidit-y in spite of <strong>the</strong>se expenditures, but estimates<br />

differ. The US government estimated in early 1995 that <strong>Kuwait</strong> had total<br />

=serves of roughly $61 billion, with $23.2 billion in its General Resertie<br />

md $4W5 billion in <strong>the</strong> Reserve Fund for F~~ture Generations.57 A,<br />

Kuwai"t estimate made in early 1996 hdicates that <strong>Kuwait</strong>" total foreign<br />

investments dropped from $113 billion (3.2 billion Kwaiti<br />

<strong>the</strong> <strong>war</strong> to $46.7 billion (14 billion <strong>Kuwait</strong>i Dkars), and that <strong>the</strong> <strong>Kuwait</strong>i<br />

governant was forced to reduce its fort;lgn investments by an average<br />

of $500-750 million a mmth during 199S1996.58<br />

Chart Eleven shows that <strong>the</strong> sectoral structure of <strong>Kuwait</strong>'s GDP is less<br />

dependent on oil than that of most Sou<strong>the</strong>rn Gulf states, <strong>Kuwait</strong>'s post<strong>war</strong><br />

invesh-nents and reserves, hwever, art. very diffewnt from <strong>the</strong>ir p=-<br />

Gulf War total of over $100 billion. Kt~wait's external debt has risen to<br />

$R4 billion.39 <strong>Kuwait</strong> also owes a $5.5 billion syndicated loan to foreign<br />

banks which must be paid by <strong>the</strong> end of 1996, and owes o<strong>the</strong>r small<br />

amounts to offieid export credit agencies @CA). According to Kukvaiti<br />

governant officials, <strong>the</strong>se obligations will he paid on schedule and<br />

aceordirzg to terns. <strong>Kuwait</strong> paid $2.486 billion in 1995, and this payfnent<br />

will hcrease to $3,298 billion in 1996.60<br />

<strong>Kuwait</strong> has, however, sotved one long-standing debt problem. The<br />

collapse of <strong>the</strong> Souq al-ManaW-1 in 1982 created some $20 billion in<br />

losses asld massive debt payments for stocks bought on nnargin. A "difficult<br />

debts law" was passed in 1993 to schedule mpayment of <strong>the</strong>se<br />

debts, and <strong>Kuwait</strong>i private inve?jtors faced <strong>the</strong> prospect of paying<br />

about $8.3 billion (2,300 million <strong>Kuwait</strong> dinars) by September 7,1995, as<br />

part of this legislation, After extended debate in <strong>the</strong> National Assembly<br />

<strong>the</strong> government passed legislaticm that dclwed repayment in five<br />

annual payments begiming on Decembcr 6, 1995. This solution could<br />

have cost <strong>the</strong> economy up to $2.6 billion because of t:he delay in payments.<br />

Fortunately for tk government, 5% of debtcrrs paid <strong>the</strong> amount<br />

<strong>the</strong>y owed by December, 1995.61<br />

:Wluch now depends on <strong>Kuwait</strong>" ability to increase oil production<br />

and <strong>the</strong> level of futurt? oil revenues. Higher oil prices did improve


Total Reserves Minus Gold<br />

Foreign Assets<br />

CHART TEN <strong>Kuwait</strong>: Liquidity: 1960-1993 (in Millions of US Dollars). Note: No data on foreign assets <strong>after</strong> 1992.<br />

Source: Adapted by Anthony H. Cordesman from International Energy Agency (IEA), Middle East Oil and Gas, Paris, 1995, pp.<br />

277-279, and based on IMF, International Financial Statistics.


CHART ELEVEN <strong>Kuwait</strong>: GDP by Sector (in Millions of <strong>Kuwait</strong>i Dinars). Source: Adapted by Anthony H. Cordesman from<br />

International Energy Agency (IEA), Middle East Oil and Gas, Paris, 1995, pp. 265-266, Central Bank of <strong>Kuwait</strong>, Quarterly Statistical<br />

Bulleh'n.


170fiCicnl nlzd Economic Stability aand Security 5 1<br />

<strong>Kuwait</strong>'s economic position in 1994 and 1995. Some estimates indicate<br />

that <strong>Kuwait</strong>'s oil revenues increased by 12-l4"h in 1995.62 If oil prices<br />

remain relatively hi*, and government expenditures are controlled,<br />

<strong>Kuwait</strong>'s debt situation should ease and <strong>the</strong> economy should grw sig-<br />

nif,cant.ly in 1996.<br />

At <strong>the</strong> same tirne, higher oil =venues cannot elimixrate <strong>the</strong> govern-<br />

ment's need to show fiscal restraint and suppcrrt for economic reforms.<br />

As long as Che governmetnt fails to take firm action, and <strong>the</strong> National<br />

Assembly block tax and. revenue reform, <strong>Kuwait</strong> will, emphasis welfare<br />

over development and security and will have to draw stift fur<strong>the</strong>r on its<br />

general reserves.63<br />

The Need to Create Red Jobs far Matitre <strong>Kuwait</strong>is<br />

KuwaiMdoes not have <strong>the</strong> same population and economic pressures as<br />

<strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>rn Gulf states, but it needs to sericrusly comider its future<br />

as a society and how its citizens will play a role in its future economy.<br />

Kuwaiheeds to create an economy that offers its citizens mal jab opportunities<br />

and reduces its dependence on foreip lahor. It also needs to create<br />

a large, productive private sector, in addition to its state controlled oil<br />

and gas industries and service ixrdustries,<br />

Chart TweIve shows that a ccmservative World Bank estimate projects<br />

that <strong>Kuwait</strong>" population will grow from 15.9 million in 1995, ta<br />

18.8 million by <strong>the</strong> year 2000, 2.1 mil.lion by 2005, 2.3 million by 2010,<br />

and 2.6 million by 21)20. About 40% of <strong>Kuwait</strong>" native popdation is<br />

now under 14 years of age. The total number of young men reaching<br />

job age (15-19 years) will rise from 83,000 in 1995 to 117,000 in 2000,<br />

drop to 111,f)1)0 in 2010, and <strong>the</strong>n rise to 114,000 in m2O.M <strong>Kuwait</strong>i esti-<br />

mates indicate that 55% of <strong>Kuwait</strong>'s population is under B, and that<br />

6,000 to 10,000 more <strong>Kuwait</strong>i males will enter <strong>the</strong> Zabor force each year<br />

for <strong>the</strong> next 10-15 years.<br />

Even today, far tao mmy <strong>Kuwait</strong>is lack productive jobs and real<br />

carcers, Petrolem still accounts for nearly half of <strong>Kuwait</strong>" GGT>P and<br />

about 88% of its export and government =venues, <strong>Kuwait</strong>'s mly indus-<br />

tries o<strong>the</strong>r thm petroleum-related activity md desalinization are food<br />

processing, buildjng materials, salt, md. construction, The government<br />

controls nearly 90% of <strong>Kuwait</strong>" eccmomy-ei<strong>the</strong>r directly or through<br />

controls on targe-scale cmmercial operations.<br />

Furher, nearly 92% of all employed <strong>Kuwait</strong>i citiz,ens ei<strong>the</strong>r work for<br />

ent or a government-owned enterprise, and <strong>the</strong> state sector<br />

makes up about 43% of- total government etnplayment, 'The cost of gov-<br />

ernment personnel totaUed roughly $6.7 billim (2.0 billton <strong>Kuwait</strong>i<br />

P)inars) a year.65 In spite of government policies that supposedly encour-


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170fiCicnl nlzd Economic Stability aand Security 53<br />

age limitations on <strong>the</strong> gove ent funded work force, <strong>the</strong> number of<br />

Kuwajtis directly employed in government increased from 168,000 in<br />

1988 to 248,000 in 15)94,&<br />

W~ile no accurate figurns arc. awailable on <strong>the</strong> sectorai distribution of<br />

<strong>Kuwait</strong>'s labor force, World Bank estimates indicate that 74% of <strong>Kuwait</strong>'s<br />

labor hrce works in servire jobs (including government, governmntowned<br />

firms, and <strong>the</strong> military), 24.7% in industry (including oil), and<br />

1 3% in agricdture (including fishing).@<br />

nere are less than 10,000 Muwa-itis employed. in <strong>the</strong> private sector. En<br />

contrast, <strong>the</strong> nurrtber of expatriate workers in Kwait has increased h m<br />

1,4 million in 19990, before <strong>the</strong> Gulf War, to 1.83 million h 1994,h8 'This<br />

increase has taken place in spite of <strong>Kuwait</strong>i discussion about reducing its<br />

depmdence on ktreign labor <strong>after</strong> <strong>the</strong> Gulf War, anci <strong>the</strong> expulsion of<br />

Palestinims, Jordmians, and Bidoan. The net resul"cas been to ""d-ArabizetXuwait<br />

by importing more Asian workers, and foreign workrs<br />

now make up 83% of <strong>the</strong> tcrtai work force and 99% of <strong>the</strong> work force in<br />

<strong>the</strong> private sector.69<br />

This reZiance on government employment is extraordinarily costly to<br />

both Kwait's economy md its socic-ry. <strong>Kuwait</strong>i ministers and intellectuals<br />

may disagree on many issues, but not over <strong>the</strong> fact that <strong>the</strong> government<br />

employs four to five <strong>Kuwait</strong>is for every realjob. Fur<strong>the</strong>r, <strong>the</strong>re is an<br />

equal cmsensus over <strong>the</strong> fact that most employed <strong>Kuwait</strong>is do little mm than interfere With each ot.her"s efforts or complicate <strong>the</strong> operations of an<br />

al~ady cumbersome and inefficient gave ent sector. As a result, <strong>the</strong>re<br />

are far more employed Kuwaifris that reduce <strong>the</strong> net ouput of <strong>the</strong> eccmomp<br />

Chm increase it. Rou$hly 80% of all employed <strong>Kuwait</strong>is have no economic<br />

function of any kind; <strong>the</strong>ir jobs are memingless and a net liability<br />

to <strong>the</strong> nation.<br />

These problelxs are cmpou~zded by a lack of incentives to take real<br />

jobs or be produc<strong>the</strong>, and an educational system that does little to prepare<br />

most Kuwaif nationals for a productive role in <strong>the</strong> private sectorei<strong>the</strong>r<br />

educating <strong>the</strong>m in areas with few job prospects or over-educating<br />

<strong>the</strong>m for <strong>the</strong> jobs available.<br />

<strong>Kuwait</strong>'s cradle-to-grave welfare society has pmvided free medical<br />

carc, generous gifts and loans to defray <strong>the</strong> cost of weddings, funerals<br />

and free housing. It offers foqiveness for mnst mis-investments in<br />

<strong>Kuwait</strong>" '%me1 market," a house, interest free loans, free education<br />

through graduation from college, and guaranteed employment <strong>after</strong><br />

graduation from college." It has not, however, provided a path to<strong>war</strong>ds<br />

development or social cohesion based on social purpose..<br />

h order for <strong>Kuwait</strong> to clevelop a morc pdu,cri,ve distributio~z of labor,<br />

it will bave to shift native labor into industv and more produc<strong>the</strong> service<br />

jobs. @er 9% percent of <strong>Kuwait</strong>'s food is imported, and much of


54 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

<strong>the</strong> fishg and agricultural activity that does take place only does so<br />

because of non-economic government subsidies" Small amounts of local<br />

vegetables are grown by fanxers rclceking such subsidies, and lilmited<br />

amounts are d d to neighboring countries. However, far too kw vegetables<br />

are grokm to have any significant impact in meeting local food<br />

needs, and, virtually no agriculhral production would take place if<br />

Kuwiiit did not provide subsidies and low-cost water.7"<br />

mese changes, however, require aggressive privatization. measures,<br />

and ones which emphasize speed and scale over social equity, The<br />

Kuwiiiti National Assembly is correct im poifiting out that <strong>the</strong>re is Little<br />

point in prjvdization wfiich mates private mor~opolies as a substitut.e<br />

for existing gave ent monopolies. The end result of such measures<br />

might simply he to cut jobs as <strong>the</strong> new owner made an operation mow<br />

efficie~?t, bile transfersing profits from government to private hands. At<br />

<strong>the</strong> same tis3ne, efforts to limit <strong>the</strong> size of individual invest~nents and prevent<br />

<strong>the</strong> sale of operating entities to <strong>the</strong> private sector cdd sharpty<br />

reduce e~~trepreneurial and cmpetitive activity' and <strong>the</strong> hcclrtive for<br />

outside investment, <strong>Kuwait</strong> lacks suitable anti-trust and anti-monopoly<br />

legislation, and srtftable co issions to manage utility industries and<br />

regulate mti-trust activity.72<br />

<strong>Kuwait</strong> does not need instant privatization, but it does need to act<br />

quickly and decisively and to shatter <strong>the</strong> ""welfart- ethic" "that applies as<br />

much to <strong>Kuwait</strong>i hvestmeld as to go~rernment services, <strong>Kuwait</strong> also<br />

needs far more joint ventures like <strong>the</strong> $2 billion petrochemjcal, plant it is<br />

building as a joimt venture between <strong>the</strong> KuwaiZi Petrochemical Industries<br />

Corporation and Union Carbide, and to take <strong>the</strong> risk of offering foreign<br />

oil cmpanies acreage for explosatim md dweIopment.7"<br />

The Need for Structural Reform<br />

Per capita oil and fnvesmmt wealth are ~la<strong>the</strong>-ven in a nation with<br />

as mmy oil reserves as <strong>Kuwait</strong>. Some estimates bdicate that <strong>Kuwait</strong>'s<br />

native population will nearly double between 1995 and 2020, If such esti-<br />

mates arc. wen approximately cormct, <strong>Kuwait</strong> needs <strong>the</strong> kind of struc-<br />

tural economic =form that will allow privatization to create new jobs and<br />

industries, and mducc its dependence on foreip labor.7Vt needs to offer<br />

real career opportunities to both its ctrrrent citizens and many of its "for-<br />

eignff workers md permanent residents like its Bidoan. <strong>Kuwait</strong> also<br />

needs to face <strong>the</strong> reality that population growth is likely to mducc per<br />

capita oil wealth even if oft prices =main at currcsnt or higher kvels and<br />

production hcreases.<br />

nese needs are recognized, in a World Bmk report issued in 1943,<br />

which was published in <strong>Kuwait</strong>'s local English press. 'I'his report advo-


170fiCicnl nlzd Economic Stability aand Security 55<br />

cated an econornic program that would reduce <strong>the</strong> deficit, privatize many<br />

ent-owned companies and services, reduce subsidies md promote<br />

employment of <strong>Kuwait</strong>i citizns In <strong>the</strong> pl-ivate sector. The US State<br />

Department reports that most <strong>Kuwait</strong>i officids agree with <strong>the</strong> overall<br />

cmcltrsians of <strong>the</strong> report, but that Little has beern done to date to move<br />

to<strong>war</strong>d specific implementation of <strong>the</strong> report" recomendations. As a<br />

result, a number of Ku~taiti and fmeign experts believe that <strong>the</strong> changes<br />

listed below are required in <strong>the</strong> <strong>Kuwait</strong>i government's structural policies.<br />

<strong>Kuwait</strong> needs to:<br />

a Reduce dependence 811 welfal.el and Rserve subsidies only for its<br />

poor citizens. Water, electriciw, motor gasoline, basic foods, and<br />

mmy services need to be priced at market levels and subsidies to citizens<br />

need to be replaced with jobs md eco~~omic opportunities.<br />

* Force radical reductims in <strong>the</strong> nurnber of foreign workers, with priority<br />

for rczductions fn servants and in trades that af2ow <strong>the</strong> most<br />

rapid, conversion to native labor* Charge high fees for fo~ign labor<br />

permits and force all foreign labor to pay not only <strong>the</strong> cost of all govent<br />

services, but pay a premium over cast.<br />

a Force social changes in kwait by eliminating guaranteed employment<br />

in <strong>the</strong> government and ensuring that government salaries lag<br />

sharpf y behind those in <strong>the</strong> private sector. <strong>Kuwait</strong>'s young and wefleducated<br />

population needs to be given jabs, and <strong>Kuwait</strong>i society<br />

must adapt to <strong>the</strong> rca1i.t.y that its present dependence on foreign<br />

labor is a major threat to <strong>Kuwait</strong>fs snal identity and security,<br />

a Eduea.t.e <strong>Kuwait</strong>is to regard govcr nt jobs as havhg low status<br />

and to understand that most government jobs arc now a net liability<br />

to <strong>the</strong> <strong>Kuwait</strong>i ecmomy. Freeze and <strong>the</strong>n reduw <strong>the</strong> number of ciwil<br />

servants" Restructure and down-size <strong>the</strong> civil service to focus on<br />

productive areas of activity with a much smaler pool of manpower.<br />

Cut back sharply on state employees by <strong>the</strong> year<br />

a Restrzlcture <strong>the</strong> czdwationai system to focms on job trahhg and competitiveness.<br />

Create strong new incentives for faculb- and students<br />

to focus on job-~lated education, sharply down-size o<strong>the</strong>r forms of<br />

educational funding and activity, and eliminate high overhead educational<br />

activities without economic benefi.ts.<br />

ElimiIlate ecmomic disincc;ntives for employers hiring native labor,<br />

and create disincentives for hiring foreign labor.<br />

* ShifZ all gwernment impacted goods and. services to market prices.<br />

Remove distortions in <strong>the</strong> economy and unde~pricing of wter, oil,<br />

and gas.<br />

* Implement extensive privatization to increase <strong>the</strong> efiicicncy of<br />

KUM"iiiti investments in downstream and upstream operations. Cre-


56 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

ate real jobs and career opportunities fnr native KuMiaitis, and open<br />

investmelrt opportunikies up to a much wider range of: investors.<br />

Kuwaifilnas alrcady begun this process but it needs to be sharply<br />

accelerated to remove productive ac"civity from govemmmt control.<br />

At <strong>the</strong> sme time, privatization must be managed in ways thatensure<br />

afl <strong>Kuwait</strong>is an opporh;tnity to share in <strong>the</strong> privatization<br />

process. It should not he conducted in a way that benefits only a<br />

s~nall elite group of investors md discourages popular confidence<br />

and willhgness to invest in <strong>Kuwait</strong>.<br />

Stop subsidizing <strong>Kuwait</strong>i businesses in w~ which prtrvent realistic<br />

ecmornic growth md develoipment, md which deprive <strong>the</strong> government<br />

of revenue, Present policies skongly favor <strong>Kuwait</strong>i citizens<br />

and <strong>Kuwait</strong>i-owned companks Income taxes are only levied on foreig~z<br />

corporations and foreign inte~sts i,n <strong>Kuwait</strong>i corporations, at<br />

rates that may range as high as 55 percent of net income.<br />

Tax earnings and sales with progressive taxes that reduce or eliminate<br />

budget deficits, encowage local investmcmt, and create strong<br />

disincentkes for <strong>the</strong> expatriation of capital, including all foreip<br />

holdir~gs of capital and pmperty by members of elite and rulirrg<br />

families. 'This will provide a key source of revezzue, and make <strong>the</strong><br />

distf-ibrrtion of income more equitable. <strong>Kuwait</strong> needs to ensure that<br />

wealthier KuwaiWs make a proper contribution to social services<br />

and defense,<br />

* Alllaw foreign invesbent on mnre competitive terms. <strong>Kuwait</strong> cur-<br />

~ntty allows fctrc-.ign investment in limited scrctors of <strong>the</strong> economy<br />

in xninority parherships, and on term colnpatible with continued<br />

<strong>Kuwait</strong>i control of all basis economic actkities. Some sectors of <strong>the</strong><br />

ecmomy-including oil, banking, insurance a d real estate-have<br />

traditionally been clrtsccf to foreign invest~~ent, Foreigners (with <strong>the</strong><br />

exception of natimaIs from some GCC states) are not permitted to<br />

trade k Kutrvaiti stocks on <strong>the</strong> <strong>Kuwait</strong>i Stock Exchange, except<br />

through <strong>the</strong> medim of unit trusts, Protection shodif. not, hobvever,<br />

extend to <strong>the</strong> point where it eitimixtates efficiency and competitiveness,<br />

or mstricts economic expansion. Foreign nationals, who represent<br />

a majority of <strong>the</strong> popdalion, are prohibited fmln havirtg majority<br />

ownership in virtually every business o<strong>the</strong>r than certa-in small<br />

service-oriented businesses and may not own property (<strong>the</strong>re are<br />

some exceptions for citizens of o<strong>the</strong>r GCC states). <strong>Kuwait</strong> needs to<br />

act on pr~osals such as allowing foreip equity participation h <strong>the</strong><br />

banking sector (up to 40 percmt) and in <strong>the</strong> upstream d sector<br />

(terms still to be determhed).<br />

* Rciorrn <strong>the</strong> structure of <strong>the</strong> budget to ensure that mst of <strong>the</strong><br />

nation's mvenues and foreign reserwes and earnings are integrated


170fiCicnl nlzd Economic Stability aand Security 57<br />

into <strong>the</strong> national buliget and into <strong>the</strong> p g process. Clearly separate<br />

royal and national hcome and in<br />

* Place sharp limits m <strong>the</strong> transfer of state funds to prir\ces and members<br />

of <strong>the</strong> royal family outside <strong>the</strong> actual nth$ family and transfers<br />

of unearned income to members of o<strong>the</strong>r leading families.<br />

Ensure that such family members are fully taxed on all hcome and<br />

investments.<br />

* Exlsure that alX income km enterprises with slate financing is<br />

reflected. in <strong>the</strong> national budget and is integrated into <strong>the</strong> national<br />

ecmomic develupment and pl<br />

* Establish rzlt.hlessly demmdin-lg market criteria for evalwting and<br />

making all major state and state-supp orted investments. Require<br />

state invesh-nents to offer a conclusi\lefy higher rate of than<br />

private investments. Demand detailed and jndepende~~t risk ssessmmt<br />

and projections of cornpara<strong>the</strong> return on investment, with a<br />

srtbstantiaf penalty for state versus prkately funded preects and<br />

ver~turcs. Down-size <strong>the</strong> scale of progrants to rcduce i,nvestmemt and<br />

cash flow costs and <strong>the</strong> risk of cost-escalation,<br />

* Create new incentives to invest in local h~dustries and business and<br />

disincentives for <strong>the</strong> expatriatio~~ of capital.<br />

* Create market driven incentives for foreip investment in major oil<br />

and gas prc?ljeds, refheries, and petrochemicai operations. Avoid offlset<br />

requirements that simply create disguised u~~ernployzne~~t or<br />

non-competitive ventures that act as a fur<strong>the</strong>r state-sponsored distortion<br />

of <strong>the</strong> economy<br />

* Establish a firm rule of: law for all property, contract, permittiq, and<br />

business activiv and. reduce state bureaucratic and permitting barriers<br />

to private investment.<br />

* Place national security spending on <strong>the</strong> same basis as o<strong>the</strong>r state<br />

spendmg, and fully implement <strong>the</strong> law <strong>the</strong> National Assembly<br />

passed in I993 to insure that all direct and indirect d&nse costsincluding<br />

arms-are ~flected in <strong>the</strong> natio~~ai budget. Integrate it<br />

iuliy into <strong>the</strong> national budget, including hvestment and equipment<br />

purchases.<br />

* Replace <strong>the</strong> present emphasis on j~~dging arms purchases of <strong>the</strong><br />

basis on initial procurement costs and technical features with a lull<br />

assessment of life cycle cost-including training, maintenance, and<br />

facilities.<br />

* Cease buykg ams in an effort to win outside political support and<br />

establish with specific pcedures and regulations for evaiuating <strong>the</strong><br />

value of" standardization and interoperabilit.y wiCh existing nati.onal<br />

equipment and facili.lies, those of o<strong>the</strong>r Gulf states, and those of <strong>the</strong><br />

US and o<strong>the</strong>r power preection forces.


58 klilicrzf and Econontic Sfnbz'lity and Seczdrify<br />

Subject all offset proposals mlating to gowernment military and<br />

non-military expenditures abroad to <strong>the</strong> same risk and cost-benef t<br />

analyses used by <strong>the</strong> private sector, and create independent auditing<br />

procedures to ensure that offsets do not becorne a concealed<br />

government s~~bsidy or a way of bcnditing influential government<br />

officials,<br />

Expand <strong>the</strong> number of voters for fie Naticmai Assembly. Continue<br />

to allow Che expansion of political activity to elnsure <strong>the</strong> peaceful<br />

resolution of hternal economic debates,<br />

Deal with fie issue of <strong>the</strong> Bidoon and ercpand citizenship to de facto<br />

<strong>Kuwait</strong>is.<br />

* Create a long-term planning effort focus@ on periods five, ten, and<br />

twenty years into <strong>the</strong> futw to set gods for <strong>Kuwait</strong>" social, econonnic,<br />

and military development, with special attentio~n to <strong>the</strong> prokllerns<br />

of population growth, rcrtducing dependence on foreign labor,<br />

diversifying fie wonomy, and tinking development to a clear set of<br />

social goals. Use conthgency and risk malysis, not simply growthoriented<br />

models,<br />

At <strong>the</strong> same time, <strong>Kuwait</strong>'s economic, social, md political refoms<br />

must take account of strategir realities. No o<strong>the</strong>r country in <strong>the</strong> Gulf has<br />

a clearer need for a strong defense and close security ties to its Southm<br />

Gulf neighbors and <strong>the</strong> West. <strong>Kuwait</strong>" eecmornic vuZnerabilities are not<br />

unique, but <strong>the</strong> same geography that has blessed <strong>Kuwait</strong> wjth oil has<br />

cursed it with neighbors like Iran and I~aq.~5 Kwait's oil facilities and<br />

urbaln areas will remain vuherable to air, missile, armored, md seaborne<br />

attack. <strong>Kuwait</strong> will aiways be dependent on imports for virtually all of its<br />

food. It has no arable land o<strong>the</strong>r than a small patch of irrigated land, and<br />

only 8% of its terrgory can be used even for light grazing.<br />

<strong>Kuwait</strong>" sports will remah wit.hin tlhe range of Iranian and Xrayi. antiship<br />

missiles, and <strong>Kuwait</strong> will have to draw its water from easily targetable<br />

desalillation plants. <strong>Kuwait</strong> has only about 0.01 cubic kilometcrs<br />

of hkrnal renewable water resources. This only amounts to about 10<br />

cubic meters per persm, one of <strong>the</strong> lowest levels ol any nation in <strong>the</strong><br />

~orld.~s As a result, <strong>Kuwait</strong> has developed massive desalhization facilities,<br />

which have become even more import& now that it can no longer<br />

import water from Iraq. <strong>Kuwait</strong> now must irnport at least 75% of its<br />

potable water.T7


Internal Security<br />

<strong>Kuwait</strong> is taking important steps to broaden its structure of power. The<br />

elected National hsembly is increasingly active, and &:he mhg Al Shah<br />

fmily is mabg a slow but steady Ismsition to increased popular partic-<br />

nt. There is still sipififant tensio-n, however, between<br />

<strong>the</strong> royal family and some pobtical groups in <strong>Kuwait</strong>. There is aIso tcnsion<br />

between f(uuraitfs Sunnis-who cmtroE, <strong>the</strong> natids political leadership<br />

and economy-and <strong>the</strong> Slzi'ite portion of <strong>the</strong> population. These tensions<br />

have eased since <strong>the</strong> liberation, but some problems =main.<br />

Ethnic and Sectarian Divisions<br />

I'he CIA estilnates that &out 45% of Kuvvait's total population is native<br />

Arab, 35% is o<strong>the</strong>r Arab, 9";?"0 is South Asia, 4% is of Iranim origin, md 7'/0<br />

is "o<strong>the</strong>r." Islam is <strong>the</strong> state: religion and <strong>the</strong> Constitution states that<br />

lslamfc law, <strong>the</strong> Sharik, is ""a main source of legislation." I'he CIA estimat-es<br />

that <strong>the</strong> Muslim population is about 45% Sunni, 30% Shi'ite, and<br />

IOc% o<strong>the</strong>r Muslimf although <strong>the</strong> State Department estimates that as many<br />

as 40Y0 of <strong>Kuwait</strong>'s population may be Shi"tes.7W~u~iait has a thy Arab<br />

Christian minority (some of which are nat-ive hwaitis), which practices<br />

freely, and. several leg* recognized expatriate congregations and<br />

churches, inctuding a Catholic diocese, an hglican church Ahmadi,<br />

md m Ameriem-sponsored Protestmt crhurch.<br />

The US State Department reports that residents who arc members oi<br />

~ligions not sanctioned by <strong>the</strong> Koran (e.g., Hindus, Sikhs, 'Jews, and Buddhists)<br />

may not build places of worship, but m y worship in <strong>the</strong>ir homes.<br />

The Government phibits missionaries to proselytize among Muslims,<br />

but <strong>the</strong>y may serve expatriate cong~tgations. The law prohibits religious<br />

education for religions o<strong>the</strong>r than Islam, alt.hotlgh this law does not<br />

appear to be strictly enforced. Tke Governmnt does not permit <strong>the</strong><br />

establishment of non-lstamic publishing comp"ni"mor trailling institutions<br />

for clergyS7"


The main ethnic diwision within <strong>Kuwait</strong>'s native population is between<br />

Sunni and Shi'ite. The ruling family and many prominent families belong<br />

to <strong>the</strong> denomislation of Sumi Islam, md <strong>the</strong> allocation of government<br />

funds favors <strong>the</strong> Sumi clergy. Shi'ites art. free to conduct <strong>the</strong>ir liturgies<br />

and rites without governmmt interference, and government welfare programs<br />

do not discriminate against Shi5te Muslim cilizens, The State<br />

Department does =port, however, that members of <strong>Kuwait</strong>% Shi5ite<br />

mhority are gerzerally underrepreser~ted in high go~rernment positionsalthough<br />

two Sh.i"ite Muslims were appointed to <strong>the</strong> Cabinet, a Shi"ite has<br />

served as oil ministetr, a d a SWite was nmed to a high-rankhg mftitary<br />

post h recent years.gO<br />

Some observers think that <strong>the</strong> <strong>Kuwait</strong>i governmmt has allowed <strong>the</strong><br />

political police, fnternd scrrtrrity foxes, and royal intelligence to investigate<br />

and arrest individual Shi'ites withou"f:adequate cause. A number of<br />

Kuwai"t Shi'ites have been sentmced for bonnbing md o<strong>the</strong>r terrorist<br />

incidents in support of Iran during <strong>the</strong> Iran-Iraq War, leaving an ad&tiond<br />

legacy of rcsemtmemt. These ternsions inevitably affect <strong>Kuwait</strong>'s<br />

hternal security and may lead to new hcidents between <strong>Kuwait</strong> and<br />

Iran over religious issues.<br />

<strong>Kuwait</strong> also faces major problems in defh~ing its native population.<br />

At <strong>the</strong> end of 1994, <strong>the</strong>re were about 117,000 stateless people in <strong>Kuwait</strong>,<br />

down from <strong>the</strong> prt?<strong>war</strong> level of about 220,000. :Mav of <strong>the</strong>se stateless<br />

persons are ""Bidoorr'~<strong>the</strong> term means ""without") The Bidoon are stateless<br />

persons, usually of Iraqi, Jordanian Syrian, or Iranian descent, who<br />

sided fn Kuwit prior to <strong>the</strong> Iraqi in\iasion. 'The US State Department<br />

=ports that <strong>the</strong> <strong>Kuwait</strong>i, goverment argues that many of <strong>the</strong> Bidoon<br />

are actuaXly <strong>the</strong> citizens of o<strong>the</strong>r countries, who claim <strong>the</strong>y am stateless<br />

in order to remain in <strong>Kuwait</strong>, become citizens, and enjoy <strong>the</strong> generous<br />

government benefits provided to citizens. Mmy Bidoon, howeves, have<br />

had residency or ties to <strong>Kuwait</strong> for generations. O<strong>the</strong>rs immigrated to<br />

<strong>Kuwait</strong> during <strong>the</strong> oil boom years and have effectivefy been ~sidents<br />

for over a decade.81<br />

These Bidoon exist in, a legal lido. As long as <strong>the</strong>ir citizenship or<br />

~siciency status is undetermined, <strong>the</strong>y do not have a legal right to<br />

work or enroll <strong>the</strong>ir childre11 in public or private schools. Even Bidoon<br />

born of <strong>Kuwait</strong>i mo<strong>the</strong>rs are denied free education, many job opportunities,<br />

social benefits, alld srrmetimes <strong>the</strong> right to remain in <strong>Kuwait</strong><br />

unless <strong>the</strong>y are givm financial guarantees by a <strong>Kuwait</strong>i citizen.82<br />

If <strong>the</strong> Bid- travel abroad, <strong>the</strong>re is no guarantee that immigration<br />

authorilties will allw <strong>the</strong>m to reentr~r <strong>Kuwait</strong>. hi2afiage poses special<br />

hardships became thc offsprhg of malc Bidoor~ inlnerit t-he fatker's undetermined<br />

legal. status. The <strong>Kuwait</strong>i govemmt has established a review<br />

pmcess which would regdarize <strong>the</strong> status of some of <strong>the</strong> Bidoon and


<strong>the</strong>ir famiies, especially for any Bidom who has serwed in <strong>the</strong> military or<br />

security fnrces, and for <strong>the</strong> children born to marriages betwcen Bidoon<br />

men and <strong>Kuwait</strong>i women. However, <strong>the</strong> US State Department =posts<br />

that this process of ~gulation is improvised, slow, and ineffective.<br />

Kuwajti g0vernmem.t. offid& claim <strong>the</strong>y recognize <strong>the</strong> hardships suffered<br />

by <strong>the</strong> Bidnon, but so far have not proposed any remedial legislation.83<br />

ent has elhinated <strong>the</strong> Bidoon from <strong>the</strong> census rolls, discontkued<br />

<strong>the</strong>ir access to government-provided social services, and has<br />

sought to deport many Bidom to o<strong>the</strong>r countries. The government also<br />

has tried to p~vent <strong>the</strong> return of <strong>the</strong> Bidom who departed <strong>Kuwait</strong> during<br />

Ihe Gulf War: It has frequently delayed or denied thm entry visas.<br />

This policy imposes serious hardships md family separations. En 1993,<br />

<strong>the</strong> governmat also decreed that Bidoon males may no longer serve in<br />

<strong>the</strong> military ser~ices.~"<br />

The <strong>Kuwait</strong>i government bas also actjvely pursued a policy of reducing<br />

<strong>the</strong> number of Iraqis, Paiestinians, ad o<strong>the</strong>r forcrign ~sidents sfnce<br />

<strong>the</strong> liberation of Kuwajt i,n 1,941. This Icd to m y questionabIe deporta-<br />

tions during 1991-1993 (although mmy were justified on internal secu-<br />

rity gmunds). Most of <strong>the</strong> 400,OO pre-<strong>war</strong> Palestinian and Jordanian<br />

workers residi.ng i,n Kucvait have been forced to leave Chc cowry,<br />

because of <strong>the</strong> support that <strong>the</strong> PLO and Jordan gave to tray during <strong>the</strong><br />

Gulf War. C )th have been arrested, and mly about 7,11C)f) had work per-<br />

mits in May, 1992.8"<br />

The <strong>Kuwait</strong> govemmt nm opposes <strong>the</strong> entry of workers from<br />

nations that sqported Iraq durinl; tbe Gulf Warf especially Palestinians,<br />

Jordanians, md Yemenis, There were still an estimated 36,000 Palestini-<br />

ans in <strong>Kuwait</strong> in 31996, but <strong>the</strong> State Department reports that <strong>the</strong> <strong>Kuwait</strong>i<br />

ent has delayed or dcnied <strong>the</strong> issuance of work and ~sidency<br />

permits to persons in <strong>the</strong>se groups, md has hhdered such workers from<br />

sponsoring <strong>the</strong>ir families to join <strong>the</strong>m in <strong>Kuwait</strong> in many cases. The gov-<br />

ernment imposes fur<strong>the</strong>r hadships by prtlhibiting schools from enrolling<br />

<strong>the</strong> children of sueh persons without vatid residency pemits.<br />

The government did, however, discontirrue its post<strong>war</strong> practice of<br />

arrestitlg and deporting Gazan Palestinians for violating residency laws<br />

in 1,993. The government issued one year renecvable residency perm,jts to<br />

5,OOU of <strong>the</strong> 8,0013 Gazana remaining in <strong>Kuwait</strong>, but did not seek to deport<br />

those without residency permits.. Even so, a combi~~ation of legal md<br />

social pressttres contjnws to make many Gazans have <strong>Kuwait</strong>.8"<br />

Dependence on Foreign Labos<br />

<strong>Kuwait</strong> faces eyually serious problems in terms of migration and depen-<br />

dence on a foreip work force, atthough <strong>the</strong>re is no apement on <strong>the</strong>


nurnbers involved. The <strong>Kuwait</strong>i Public Aut)-tority for Civil Information<br />

indicates that 796,994 native <strong>Kuwait</strong>i and 1,957,322 expatriate residents<br />

lived in <strong>Kuwait</strong> at <strong>the</strong> end of 199135. One British esthate hdicates that foreigners<br />

make up 5040% of <strong>the</strong> total population in Kwait, and that 86%<br />

of <strong>the</strong> work force is foreign." The CIA esl.mates Chat Kukvajt nokv has a<br />

populatjon of about 1.8 million and a labor force of around 566,000, of<br />

which up to 70% may be foreign."<br />

Regardless of any uncertahties over numbers, several things are cfeac<br />

<strong>Kuwait</strong>" fioseign labor increasixrglp comes from countries that do not present<br />

a threat to <strong>Kuwait</strong> or a source of prltmtial demands for citizenship.89<br />

Kuwajt's Asian populatinn has increased to about 9% of <strong>the</strong> total population,<br />

with an additional 7% from outside <strong>the</strong> regim,<br />

<strong>Kuwait</strong> also has taken steps to prevent such workers from beccmling a<br />

new class of semi-permanent residents and to reduce related state subsidies.<br />

Third-countr)i nationals employed in <strong>the</strong> private sector must earn<br />

approximakly $2,000 a month, and public sectur employees about $1,.P00<br />

a mnrrth, before <strong>the</strong>y can sponsor <strong>the</strong>ir families in <strong>Kuwait</strong>. Residernt foreign<br />

nationals are subject to stringent visa requirements, special taxes and<br />

fees that are intended to both discrlumge <strong>the</strong>ir employment and limit<br />

<strong>the</strong>ir ternllrc in <strong>Kuwait</strong>. Foreign workers also now have to pay for some<br />

health. services, and <strong>Kuwait</strong> plans to charge new fees for foreigers in<br />

o<strong>the</strong>r areas and is considering raising <strong>the</strong> charges to employers whtr hire<br />

foreign labor,<br />

nese measurcs still, however, leave KuwaiMependent on foreigners<br />

fnr most of its services and industrial httor. This point was illustrated in<br />

March, 1995, whe~n approxhately 700 KK workers took part in a weeklong<br />

strike to demand pay incrttases and improved yromotimal opportunities<br />

for <strong>Kuwait</strong>i naticmals, who hcrld an estimated 68 percent of <strong>the</strong><br />

country's oil sector jabs. (Asian expatriates hold <strong>the</strong> remainder and are<br />

paid substantiafly less.) Allhough <strong>the</strong> KOC workershunion claimed that<br />

Kwiiitfs oil pmduction fell by up to 100,000 barrels per day during <strong>the</strong><br />

strikes, <strong>the</strong> strikers' ~olns were fi3led teqorarily, and no production losses<br />

resulted,<br />

tlcrwever, <strong>the</strong>re arc. negatiwe side effects from :<strong>Kuwait</strong>% shift to Asian<br />

workers, Many of <strong>Kuwait</strong>'s former Palesthian and Jordanjan workers<br />

regarded <strong>the</strong>mselves as virtuaj residents, and spent most of tlteir mney<br />

in <strong>Kuwait</strong>. In contrast Asian workers remit most of <strong>the</strong>ir earnings home<br />

md spend very little in <strong>Kuwait</strong>. This alters <strong>Kuwait</strong>" balance of payments<br />

and reduces local demand for cmsumr goods and services.%<br />

<strong>Kuwait</strong>'s currcllnt level of degendenw on foreip labor has ~sulted in<br />

<strong>the</strong> kick of an effective work ethic mong native <strong>Kuwait</strong>is, and some estimates<br />

indicate that about half of employed <strong>Kuwait</strong>i nationals are<br />

employed in government or state-owed irtdustritls in positions that have


no productive output and are little more than disguised unemployment.<br />

About 15,50C) Kuurait males enter <strong>the</strong> labor farce annuallyf and, whie this<br />

number is small and unemployment is currently negigible, <strong>Kuwait</strong>'s cur-<br />

rent employrnmt struch;lre raises serious questims &out its abili.ty to<br />

create a productive employment structure for its cjtizerns and offer its<br />

youth meaningful camr opportunities.<br />

Broadening <strong>the</strong> Base of Political Pnvver<br />

Under <strong>Kuwait</strong>'s Constitution, <strong>the</strong> Emir holds execuf;ive power and shares<br />

legislative power with <strong>the</strong> National Assembly The Constitution does,<br />

however, give <strong>the</strong> Emir <strong>the</strong> power to suspend its provisions and. rule by<br />

decree. In 1986, <strong>the</strong> Ernir dissolved <strong>the</strong> National Assembly by suspending<br />

<strong>the</strong> constitutinnal provisions on <strong>the</strong> Assernbly"~ election. The AssembIy<br />

remained dissolved until 1992. The Emir had. previously dissolved <strong>the</strong><br />

Assernbly from 1976 tcr 1981..<br />

h accordance with <strong>the</strong> practice of <strong>the</strong> ruling family, <strong>the</strong> Rime Mkister<br />

is always <strong>the</strong> Crown Prince. The Prhe Mhister currently presides over a<br />

16-member Cabhet, many of whose members come from <strong>the</strong> Al Sabah<br />

family or o<strong>the</strong>r lcading Sunni famiIies"g1<br />

<strong>Kuwait</strong>" pdtical leadership faces increasing demds by its citisns<br />

for <strong>the</strong> sharing of political power. 'These dernaneis are partly a result of a<br />

general desire h political liberalimtion. However, <strong>the</strong>y refled criticism<br />

by some elements of <strong>Kuwait</strong> sociew of <strong>the</strong> Ai Shah family Immediately<br />

<strong>after</strong> <strong>the</strong> liberation, a number of promiment KuMtaiti citizens criticized <strong>the</strong><br />

rnyal family for failhg to prepare <strong>the</strong> country for wm and for showing<br />

inadequate leadership during <strong>the</strong> fighting. Some elements of <strong>the</strong> <strong>Kuwait</strong>i<br />

~sistance also felt <strong>the</strong>y we^ not givm proper recognition.<br />

These tensions have resulted in a growing debate over <strong>the</strong> course of<br />

political liberalization that has sometimes involved. <strong>the</strong> US. In June,<br />

1992, <strong>the</strong> speaker of <strong>the</strong> National Courncil criticized <strong>the</strong> American<br />

ambassador for "talking about demoeracy'"nd "encouraging <strong>the</strong> local<br />

opposition." <strong>Kuwait</strong>'s first, real post-<strong>war</strong> election took place in late Map<br />

1992. <strong>Kuwait</strong>i businessmen voted for <strong>the</strong> board of <strong>the</strong> Chamber of Commerce<br />

and hdrastry. rhis election rcveated <strong>the</strong> extent to which <strong>Kuwait</strong>i<br />

public opinion called for bmader representation, Some 11,500 <strong>Kuwait</strong>i<br />

businessmen voted, and 23 of 24 seats went to candidates oppox""Jo<br />

<strong>the</strong> current government.<br />

<strong>Kuwait</strong> held elections for its National Assemb%y in October, 1992, but<br />

<strong>the</strong>se elec-tions were conducted under severe restrictions. The government<br />

prohibited pditical parties, so candidates had to nomhate <strong>the</strong>mselves.<br />

The Emir blocked plans to organize seminars on <strong>the</strong> elections and<br />

opposition elements were given only limited opportunfty to organize.


I'he votiz~g population was timited to men 24 years or older, who could<br />

trace <strong>the</strong>ir <strong>Kuwait</strong>i residence back to 1920 and had mainraked a residence<br />

<strong>the</strong>re until 1953. This constituency represented only 81,400 males<br />

out of a total population of 601),0110, or 13.S0i0 of <strong>the</strong> population and 30%<br />

of adult dtizens. Even so, inbrmal political groupwere active, 303 candidates<br />

ran for <strong>the</strong> Assembfy" 550 seats, and almost <strong>the</strong> entire franchised<br />

male populaticm ~gistered to vote in t-he election.<br />

The election did, LittJe to suppress popular dissent. Mile <strong>the</strong> 50 whers<br />

of <strong>the</strong> Clctoher 6,1992, election general@ supported continued rule by <strong>the</strong><br />

royal family a large majorit,v demmded better gowernment anli increased<br />

legisi&ive cosltrol over <strong>the</strong> actions of <strong>the</strong> Emir and selnior mel~bers of <strong>the</strong><br />

ent. Nine of <strong>the</strong> 50 new members were Islamists, seven were<br />

associated with Mm, 17 had served in <strong>the</strong> National Assembly which had<br />

been suspmded by <strong>the</strong> Emir in 1,986, and nine had served in <strong>the</strong> National<br />

Council, a surrogate legislature elected in 1990 by <strong>the</strong> Emit 1Phis meant<br />

that a total of 35 out of 50 mmbers were Islamists, tradi~onal politiciam,<br />

and secular liberills wfio had previously called far a parliament that could<br />

put stronger checks and balances on <strong>the</strong> government,%<br />

Since 1992, <strong>the</strong> Krrwaiti parliment has steadily increased its power.<br />

It has held heated debates over <strong>the</strong> isszle of: power sharing, <strong>the</strong> fiscal<br />

accountahjity of <strong>the</strong> Al Sabah famjly, and whe<strong>the</strong>r an open investigation<br />

shczuld "o held into <strong>the</strong> events leadillg to Kwaitfs state of unpreparedness<br />

on. August 2,1"39. The Assembly has beg~~ll to participate in<br />

major budget and resource decisions, a d has ac.tively debated corrupticm<br />

and waste in deknse spending, <strong>the</strong> sharing of <strong>the</strong> nation's wealth,<br />

<strong>the</strong> royd family's management of <strong>the</strong> Fmd for <strong>the</strong> Future Generations<br />

and <strong>Kuwait</strong>'s naticmal investments, <strong>the</strong> repayment of debts owed<br />

because of <strong>the</strong> collapse of <strong>Kuwait</strong>'s stock market, <strong>the</strong> way in which priva.t.ization<br />

is conducted, and <strong>the</strong> mount of" money that should be spent<br />

on military forces, It has reshaped <strong>the</strong> repayment deadlines an <strong>Kuwait</strong>'s<br />

"difficult debt" and <strong>the</strong> outcome of many o<strong>the</strong>r important issues-93<br />

The National bsernbly has also broadened <strong>the</strong> base of <strong>the</strong> Kwaiti<br />

electorate. tn 1994 <strong>the</strong> Assembiy passed legislation extending <strong>the</strong> right to<br />

vote to <strong>the</strong> sons of naturalized Kuwai.ti citizens-about 110,000 males.<br />

According to <strong>the</strong> 1994 lawI citizens who have been naturalized citizens<br />

for at least 30 years will also be elig-ible to vote in 1996," A mwjoslly oi<br />

candidates elected in 1992 have also statecf that <strong>the</strong>y favor extending <strong>the</strong><br />

vote to womn, although proposals to do so hnvc been delayed in a legislative<br />

cornittee, The Emir and <strong>the</strong> Prirne Minister have publjcly stated<br />

that <strong>the</strong>y support political rights for women, but hawe made no apparent<br />

effort to persuade <strong>the</strong> National Asse~~bly;~-?<br />

<strong>Kuwait</strong> is slowly developing <strong>the</strong> eyuivalmt of political parties. The<br />

ent officially bans political paties, but several h~formai btocs


have arisen that act like parties. 'These blocs played a major role in <strong>the</strong><br />

1992 elections and in <strong>the</strong> succeedhg National. Asse~~bly sessions. The<br />

governant has made no effort to limit <strong>the</strong>se groupings, which are organized<br />

on <strong>the</strong> basis of co on ideologkal goals. May play a role as<br />

"oppositionf"roups.<br />

PubZic ga<strong>the</strong>rings still must receive prior government approd as<br />

must private ga<strong>the</strong>rings of more than five persms that result in <strong>the</strong><br />

issuance of a public stdememt. As a result nnnst popular political activit.y<br />

takes <strong>the</strong> form. of family-based., ahost excluskely male, social ga<strong>the</strong>rjngs<br />

known as 'Qiwaniyas." Most male adults, including <strong>the</strong> Emir, host and<br />

attend diwaniyas, which discuss every possible topic. Shce 1994, <strong>the</strong>se<br />

druianyas have incwasingly been focused on <strong>the</strong> 1986 election and have<br />

been more critical of <strong>the</strong> current members of National Assembly There is<br />

grokving public dcbate over <strong>the</strong> hiiurc3 of <strong>the</strong> Assembly to take decisive<br />

action on <strong>the</strong> budget deficit, halt waste and graft, <strong>the</strong> hture of <strong>the</strong><br />

Bidaan, and <strong>the</strong> use of <strong>the</strong> assets of <strong>the</strong> <strong>Kuwait</strong>i fnveshnent Authorityy6<br />

Thew tre~~ds to<strong>war</strong>ds jncrcascd power sharing seem likely to help<br />

<strong>Kuwait</strong> cope with <strong>the</strong> socio-economic changes it must make over <strong>the</strong><br />

cming decades, ra<strong>the</strong>r than to threaten <strong>the</strong> regime or <strong>Kuwait</strong>'s political<br />

stlxbility. <strong>Kuwait</strong>: has <strong>the</strong> freest political climate of any Sou<strong>the</strong>rn<br />

Gulf country, and permits far more freedom of mdia and academic<br />

dtrbate than its neighbors. Et is atso clear that <strong>the</strong> campaip for its October<br />

5,1996, National Assembly elections are certah to be vigorous-to<br />

say <strong>the</strong> least.<br />

At <strong>the</strong> same time, <strong>the</strong>re are reports that mernbers of <strong>the</strong> royal family<br />

oppose <strong>the</strong> czlrmt level of fseedom for <strong>the</strong> National Asse~nbly, and some<br />

have called for its suppression. <strong>Kuwait</strong> also still has some human rights<br />

problems. 'The <strong>Kuwait</strong>i government dissolved a nurrtber of unlicensed<br />

pofitical groups in htagust, 1993-includjng <strong>the</strong> <strong>Kuwait</strong>i Association to<br />

&fend War Victims, a major hman rights group. This led to <strong>the</strong> resignation<br />

of <strong>the</strong> members oE <strong>the</strong> Hostages and Missing Cornittee of <strong>the</strong><br />

National Assernbly Organizations like Amnesty International also claim<br />

ent has hundreds of poiitjcal prisoners, and that <strong>the</strong><br />

State Securiv Court that tried Iraqi cotlaborators and o<strong>the</strong>r persons<br />

charged wi& national security crimes, abuses humm rights.47


<strong>Kuwait</strong>'s Military Forces<br />

<strong>Kuwait</strong> faces potential threats from Iran and Iraq that make it <strong>the</strong> mast<br />

vulnerable country in <strong>the</strong> Gulf. Table Eight shows <strong>the</strong> size of <strong>Kuwait</strong>'s<br />

fnrces relative to potential threats from :Iran and Iraq. This tahle makes it<br />

clear that <strong>Kuwait</strong> must do everything it can to streng<strong>the</strong>n its forcm if it is<br />

to develop its collective securiity capabilities, maintajn its sovereignty,<br />

~ififorce its deterrence of Iran and Ira% and deal with low-level threats<br />

and incursions.<br />

At <strong>the</strong> same time, Table Eight shows that <strong>the</strong>re is no foreseelable polnt<br />

at which KuwaiZ, or any combination of Kwait and <strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>m<br />

Gulf states, can provide <strong>Kuwait</strong> with sec~~rity against Iraq or secure<br />

Kuwai"t"saccss through <strong>the</strong> Gullf. <strong>Kuwait</strong> is one of <strong>the</strong> mnst strategically<br />

exposed states in <strong>the</strong> world, a d nothing it cm do by itself will give it <strong>the</strong><br />

abilily to defend against Iran and Iraq. Its vuherabjlity is me of: <strong>the</strong> ce1-ttral<br />

realitjes affecting any efEort to create a stable mix of deterrent and<br />

defensive capabitities fn <strong>the</strong> Gulf.<br />

Iraq" invasion provided a brutal demonstration of that vuherability.<br />

Kuwaih <strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>rn Gulf states, and, <strong>the</strong> West must clearly recognize<br />

this strategic imperative if my effort to encourage regional stabitity.<br />

is to succeed, kwait was unprepared hr <strong>the</strong> invasion despite <strong>the</strong> fact<br />

that several <strong>Kuwait</strong>. commanders had. advised <strong>Kuwait</strong> to put its forces on<br />

<strong>the</strong> alert and move <strong>the</strong>m into defensive positions. As a result, thr buk of<br />

Kuwajt's military forces djsjntegrated durbg <strong>the</strong> first hums of Iraq's<br />

invasion, Much of KuwaiVmmilitary equipment was captured and. much<br />

of <strong>the</strong> rest was lost or &strayed. Only some of its aircrafc a few vessels,<br />

and a lirnited amomt of land equipment escaped to Saudi Arabia.<br />

Since <strong>the</strong> Gulf Wr, <strong>Kuwait</strong> has atteqted to rebuild its forces and correct<br />

many of <strong>the</strong> military weaknesses that existed at <strong>the</strong> time of <strong>the</strong> Iraqi<br />

invasion. fn August 1995, <strong>Kuwait</strong>'s Minister of Defense, Sheik Ahmad<br />

Hamoud al-Jaber al-Sab& annomced that <strong>Kuwait</strong>" army had recovered<br />

85% of <strong>the</strong> effectiveness it had had before <strong>the</strong> Iraqi invasion, that <strong>Kuwait</strong><br />

hoped to fully rebuiid its forces over <strong>the</strong> next few years, and ht, "<strong>the</strong>


TABLE EIGHT Gulf Military Forces in 19%<br />

Manpower<br />

Total Active<br />

Regular<br />

National Guard & O<strong>the</strong>r<br />

Reserve<br />

Paramilitary<br />

Army and Guard<br />

Manpower<br />

Regular Army Manpower<br />

Reserve<br />

Tanks<br />

AI N / Recce, Lt. Tanks<br />

Arcs<br />

Self Propelled Artillery<br />

Towed Artillery<br />

MRLs<br />

Mortars<br />

SSM Launchers<br />

Light SAM Launchers<br />

AA Guns<br />

Air Force Manpower<br />

Air Defense Manpower<br />

-3 -3<br />

44<br />

2 %<br />

a,<br />

g %<br />

2<br />

!S 3<br />

g<br />

g3<br />

Saudi<br />

Iran Iraq Bahrain <strong>Kuwait</strong> Oman Qatar Arabia* UAE Yemen<br />

88<br />

Pc:<br />

52<br />

88<br />

a. 0.<br />

5%<br />

00<br />

a<br />

m,<br />

4<br />

8"<br />

S<br />

8""<br />

2<br />

a""<br />

53<br />

823<br />

a. "",<br />

E?*<br />

0"<br />

a<br />

3<br />

8"<br />

C=1<br />

FI1<br />

(continues)


TABLE EIGHT (continued)<br />

Total Combat Aircraft<br />

Bombers<br />

Fighter/Attack<br />

Fighter/Interceptor<br />

ReccelFGA Recce<br />

AEW /C4I/BM<br />

MR/ MPA*"<br />

OCU/COIN<br />

Combat Trainers<br />

Transport Aircraft"<br />

Tanker Aircraft<br />

Armed Helicoptors"<br />

O<strong>the</strong>r Helicoptors''<br />

Major SAM Launchers<br />

Light SAM Launchers<br />

AA Guns<br />

Navy Manpower<br />

Major Surface Combatants<br />

Missile<br />

O<strong>the</strong>r<br />

Patrol Craft<br />

Missile<br />

Saudi<br />

Iran Iraq Bahrain <strong>Kuwait</strong> Oman Qatar Arabia* UAE Yemen<br />

(continues)


TABLE EIGHT (continued)<br />

O<strong>the</strong>r<br />

Submarines<br />

Mine Vessels<br />

Amphibious Vessels<br />

Landing Craft<br />

Saudi<br />

Iran Iraq Bahrain <strong>Kuwait</strong> Oman Qatar Arabia* UAE Yemen<br />

Notes: Does not include equipment in storage. Air Force totals include all helicopters, and all heavy surface-to-air missile launchers.<br />

'60,000 reserves are National Guard Tribal Levies. The total for land forces includes active National Guard equipment. These additions total 262<br />

AIFVs, 1,165 APCs, and 70 towed artillery weapons.<br />

Tncludes navy, army, national guard, and royal flights, but not paramilitary.<br />

Source: Adapted by Anthony H. Cardesman fmm International Institute for Strategic Studies Milita y Balance (ITS, London), in this case, <strong>the</strong> 1995-<br />

1996 edition; Military Technology, World Dqmse Almanac, 1994-1995; and Jaffee Center for Strategic Studies, The Military Balance in <strong>the</strong> Middle East, 1993-<br />

1994 (JCSS, Tel Aviv, 1994).


Kwait army is capable of safeguarding <strong>the</strong> swurity of <strong>Kuwait</strong>'s borcters<br />

md appropriately responding to any enelny movements, supported by<br />

bro<strong>the</strong>rs in <strong>the</strong> GCC md friendly troops in <strong>the</strong> region:'%<br />

<strong>Kuwait</strong>'s military forces have been rebuilt and improved to <strong>the</strong> point<br />

where <strong>the</strong>y cm play animportant role in delnonstratjng that <strong>Kuwait</strong> has<br />

<strong>the</strong> will to protect its sovereignty, They are developing an improved abi.l.ity<br />

to deal with <strong>the</strong> kind of threatening mwernents, infiltrations, and<br />

low-level anacks that Iran and Xraq cm use to intimidate <strong>Kuwait</strong>.<br />

<strong>Kuwait</strong>" forces will, however, always be too weak to defend so vulnerable<br />

a geographic position. <strong>Kuwait</strong> is dso hav% to reformulate <strong>the</strong><br />

ove~arnbitious and unrealistic plans for a 4l),O(JfS men force stmctrxre and<br />

m;pjor equipxnent purchases it developed <strong>after</strong> <strong>the</strong> Gulf War. As a resultf<br />

Kwait faces hard trade-of.fs between domestic and extemal politics, <strong>the</strong><br />

structural limits on its force expansion c~abilities, and its security needs.<br />

<strong>Kuwait</strong>'s Borders<br />

<strong>Kuwait</strong> camot overcome <strong>the</strong> basic strategic reality that it is a small corn-<br />

try with immense wealth with <strong>the</strong> wrong neighbors. <strong>Kuwait</strong>" total terri-<br />

tory is 0171Y &out 17,800 square kilmeters, or rougt-tly <strong>the</strong> size of New<br />

Jersey, but <strong>Kuwait</strong> has a 240 kilometer tong border with Iraq and a 222<br />

kilometer border with Saudi Arabia. These borders p m t majjor prob-<br />

lems for Kwait in preventing infiltrations and raids.<br />

Since th Gulf War, <strong>Kuwait</strong> has attempted to improve <strong>the</strong> security of its<br />

border by creating a 2137-218 kilometcr long ditch, smd wall, and barbed<br />

wire fence to demarcate its border with Xraq. En xnid-1995, it had nearly<br />

cmpleted construction of a system, with a three meter deep trench, fol-<br />

htwcd by a five meter sad berm, equipped with sensors to detect <strong>the</strong><br />

movement of vehic1t.s." <strong>Kuwait</strong> idso built a pat-rot road dong <strong>the</strong> border<br />

with observation posts and monitoring sensors. This security system is<br />

operated by <strong>the</strong> Ministry of interior, and is similar to one under consid-<br />

eration by Satlidi Arabia.<br />

It is not clear exactXy what sensors Ku~tlait is now using or plms to<br />

buy in <strong>the</strong> futurr-?. If <strong>the</strong> security zone is equipped with all of <strong>the</strong> techxlnogy<br />

that was discussed during plans for its constrwtion, it will<br />

have IR sensors, pressure sensors, electrified, wires, trenches, barbed<br />

wire and electronic sensors. Contencling companies proposed different<br />

approaches to creating such a system. montson-CSF and Thorn<br />

favor~d infra-red sensors. Racal Comsec and Hughes favored terrestrial<br />

ad press- cable sensors, and some experts prefermd te<strong>the</strong>red<br />

aerostats carrying radars.<br />

<strong>Kuwait</strong> is also studying optims for <strong>the</strong> creation of a second defense<br />

barrier desiped to slow an armored adwance and equipped with mhes


and o<strong>the</strong>r anti-armor barriers. According to sow reports, work has<br />

begun on such defe~~ses.<br />

<strong>Kuwait</strong> reports that its securily system has been valuable in reducing<br />

border infdtrations. These have dropped from several hunrfred a year<br />

during 1992-1994 to a few incidents a week h <strong>the</strong> spring of 1995, 'This<br />

drop, however, may also be <strong>the</strong> result of Iraqi efforts to persuade <strong>the</strong> UN<br />

to ease its sanctions and tbr improved eft'crrts of UN forcles to secure. <strong>the</strong><br />

border area.700<br />

In my case, <strong>Kuwait</strong>" boders will still be highly vulnerable to rapid<br />

armored attitcks. Ku~iait" tterrain cmsists largely of dightly undulathg<br />

desert plahs, and has few dcfe~~sive barriers. The only sig~~ificant eietsation<br />

in <strong>the</strong> corntry is <strong>the</strong> A-Mu tf a Ridge, just north of <strong>the</strong> city of A1 'Jafira.<br />

The pass through this ridge from <strong>the</strong> north into Kllwait City is <strong>the</strong> only<br />

real defe17sjve position against Iraq. The gortr;e of A1 Bath (H& al-Sa.t.jn)<br />

Iforms only a limited barrier to <strong>the</strong> west, The one defensive line north of<br />

<strong>the</strong> Bay of <strong>Kuwait</strong> provides only a limited advantage tcr <strong>the</strong> defender, and<br />

<strong>the</strong> road net betwee11 <strong>Kuwait</strong> City and Basra in Iraq allows rapid movement<br />

of troops,<br />

The desert in Nor<strong>the</strong>rn <strong>Kuwait</strong> permits ~latively easy mcrvement by<br />

armor, and <strong>the</strong>re arc a nuntber of highways and major road links in <strong>the</strong><br />

area. <strong>Kuwait</strong> has some 3,080 kilometers of roads, 2,500 Elometers of<br />

which are paved. There are far kwer mutes going into <strong>Kuwait</strong> horn <strong>the</strong><br />

West, but <strong>the</strong> British army demonstrated bring <strong>the</strong> Gulf War that a modem<br />

arrnored forcc can cross <strong>the</strong> Hafr al Batixz gorge relativek easily anand<br />

US forces showed &at an armored force can mwe relatively rapidly from<br />

positims in lraq to <strong>the</strong> Saudi border by passing <strong>Kuwait</strong> to <strong>the</strong> wcst.<br />

<strong>Kuwait</strong>'s Forces and S'trategic Vulnerabilities<br />

This geography not only demands strong forces, but forces with high<br />

~adiness and rapid deployment cap"bi1iV <strong>Kuwait</strong>" lmd forces can only<br />

be effective if <strong>the</strong>y art? able to deploy to <strong>the</strong>ir deknsive posiaions before<br />

Iraq attacks. <strong>Kuwait</strong>" air md naval forces must also be capable of movlng<br />

to full combat ~adiness in a matter of hours. <strong>Kuwait</strong>i air space is very vulneraible,<br />

md <strong>Kuwait</strong> is vuherable to heliborne md air assault. It has seven<br />

airfields, four of which arc paved and have runways 2,4W3,439 meters<br />

long. There are many arras in <strong>Kuwait</strong> where paved roads and areas allow<br />

rapid movement by helicqter. Most of <strong>Kuwait</strong>'s territorial w&ers and<br />

port areas arc vulnerable to long-rmge anti-ship missiles launhed from<br />

nearby positions in Iran and Iraq. <strong>Kuwait</strong> has ~lativefy good maritime<br />

surveillmcc capabilities, but its navigaion channels are vulnerable to<br />

covert minehying by small craft, and much of its 499 kilorneter c0astlin.e<br />

has areas where amphibious craft or raid% parties can lmd.


ue&qng (riqpaajap F smaiqo~d sasq asp arrt>r\nnx *salzssw<br />

dlqs-gm i)$w~-EIuoi ICq pa~~~4.1e aq oqe w"sa~ ~JXON) ;pewqv te e q ~<br />

put? 'prw~ r?qn "(ptrr?fs~ FE*) 'q~~fnpqv g q JE? ~ sj,tod f ~o aasq s,$!e%nx<br />

0 4 q Yu~ilom sdqs %I?J~ pm UBJ~ maq SY~E~~C? q~ssf~~ PUB S!E O) S&BJSO~<br />

l~gua~od a~e q~ad 11s PUP sa!Jaurjas pue 'kq!l!qezau~n~ s)! saseaz3q<br />

s~u~ld uo;lPugesap pug ~ a ~ s;Jpala o d uo asuapuadap s,+;gMnx<br />

spuefs! pugs BqLy MO~ ;$;E@ asaqA<br />

.$;zMnx jo CFJ.JO"T satfssgm JIBS aq? I+ spmfs! qgm a%~.c?l OM) sp---y~q<br />

gulouoDa ou amy<br />

-JGM ~ UE!<br />

";rsr?i3) mrmn ot Taumy3 aq? foxtuo3 Aayt $nq %an/e~<br />

iCau eysrerxx qes js s)unome ai3~ei q g ~


<strong>Kuwait</strong>i Military Spending<br />

and Arms Imports<br />

These threats and <strong>the</strong> shock of Iraq's invasion explain <strong>the</strong> trends in<br />

Kwaiti military spending a d arms imports. <strong>Kuwait</strong> has been forced to<br />

shift fmm a strategy of accommodating its mre powerful. neighbors to<br />

one of streng<strong>the</strong>ning its own forces and paying part of <strong>the</strong> cost of US<br />

presmce and power projection. The ~sult has sharply increased <strong>the</strong><br />

amotmt <strong>Kuwait</strong> must spend on military preparedness,<br />

Military Spending<br />

A W estimate of <strong>Kuwait</strong>i central gowe ent spending, military spending,<br />

deXiveries of military imports, and totd export earnings is shokvn in<br />

Chart Thirteen, These trends are shown in constant 1993 dollars, and<br />

reflect <strong>the</strong> fact that <strong>Kuwait</strong>i military expenditures took up only a relatively<br />

moderate shm of <strong>Kuwait</strong>i cclntral government expet~diturtls and<br />

ams imports until <strong>the</strong> Gulf W.<br />

Chart Fourteen shows <strong>the</strong> trends in per capita GUP and mibary expenditure<br />

per capita in constant dollars and provides a similar picturc. of <strong>the</strong><br />

burdtln miZitary spending has placed on <strong>Kuwait</strong> in recltnt years. As has<br />

been discussed earlier, <strong>the</strong> Gulf War phced a catastrophic burden on <strong>the</strong><br />

Kuwajti ecmonny and budget, althot~gb <strong>Kuwait</strong>i exports ~covcred relatively<br />

quickly and ditary spending dropped sharply <strong>after</strong> 1993.<br />

According to US estimates, <strong>Kuwait</strong> vent over $1 billion<br />

military forces (in current dollars) beghning in <strong>the</strong> early 1988s. It spetnt<br />

around $1.5 bjllian during 1.983-1985-<strong>the</strong> period when it felt most<br />

threatened hy Iran. ACP)A estimates that <strong>Kuwait</strong> spent $766 mittion m<br />

defense in 1979, $892 million in 1980. $886 million in 1981, $1,157 million<br />

in 198% $1,446 million in 1983, $1,415 million in 1984, $1,509 million in<br />

1985, $1,287 million in 1986, $1,250 million in 1987, $1,1260 million in<br />

1988, and $1,944 million in 1,989, l'hese expetnditurcs averaged around


Cl Military- Expenditures<br />

W Total Exports<br />

Arms Imports<br />

CHART "THIIRTEEN <strong>Kuwait</strong>i Military Expenditures, Total Impods, and Arms<br />

Tmpc~rts: 1983-1993 (Constant: $93 Millions). Source: Adapted by Anthony FT.<br />

Cordesman from ACDA, Wctl.ld Milz'tafy E;rper2dz'tu~s cdud Arlrzs Tra~sfers~<br />

1993-1 994, ACDA/GPQ, Washington, 1995.<br />

Sa/~-SY~ of <strong>Kuwait</strong>'s GDC md 12% to 14% of its celztral governme~zt<br />

expenditures.""t<br />

These rnilitary expenditures rose to dramatic new heights <strong>after</strong> Iraqfs<br />

invasion of <strong>Kuwait</strong>, ACDA estimates that Ku'cvajt. spent $13,2.10 million in<br />

1990 and $16,030 million in 1991 to reequip and =train its forces, and to<br />

provide aid to o<strong>the</strong>r Coaliit-ion forces, It spent $49,090 billion in W92,<br />

larp;e:ly on necv orders of equipment to support its post&& War modernization<br />

pIans. Spending <strong>the</strong>n dropped back to $3.6a)*4 billion in 19%,<br />

a d $3.086 billion in 1994.


Mililnfy Spending nlzd Arms Imports<br />

CHART FOURTEEN Kuw-aiti GNP Per Capita Versus Military Expenditures<br />

Per Capita (Constant $93). Sazlrce: Adapted by Anthany H. Cnrdesman from<br />

AGDA, World Mililcnry Expendillltres nlzd Arnzs Tr~~tsjers, 2993-1994, Washington,<br />

ACDA-GPO, 1995, Table 1,<br />

Accordi~~g to <strong>Kuwait</strong>i figures, military spending dropped back<br />

to<strong>war</strong>ds pre<strong>war</strong> levels in 1993, with expenditures of $1.8 billion. They<br />

dropped to a base level of $1.7 billion in 1994, and were estimated to be<br />

$1.,6S billio~~ in 1995. T%ese figures, however, exclude some capital costs<br />

for arms expenditures, many construction and infrastructure costs, and a<br />

wide range af related service costs, The IISS estimates that <strong>Kuwait</strong> spent<br />

$3.01. billion in 1993, $3.09 biltio~~ in 1994, and $2.91 billio~~ in 1995, %me<br />

US experts believe that <strong>Kuwait</strong>'s total military spending had continued to<br />

total over $5 billion a year since 1993.102


Total Kwaiti military spendiw =ached $5.4 billicm in 199419%-<br />

inclrading a $778 million elnergency j,ncrease to cover <strong>the</strong> llnexpected cost<br />

of <strong>the</strong> <strong>Kuwait</strong>i deployment to counter Traq's October, 1994 build-up on<br />

<strong>Kuwait</strong>" border. It is not clear whe&er some $500 million in additional<br />

spendi.ng to pay fos <strong>the</strong> deploymmt of US and o<strong>the</strong>r all,ied forces is<br />

included in this total or has simply been taken from <strong>Kuwait</strong>fs General<br />

Reserve. Even <strong>the</strong>se figlares, however, mean &at <strong>Kuwait</strong> is spading<br />

about $1,907 per capita on military forces, versus $1,335 for Israel and<br />

$1,204 for <strong>the</strong> tfS.103<br />

<strong>Kuwait</strong> Arms Expenditures<br />

Kwaitfs effort ta reequip anci expand its forces have also been costly and<br />

have led to a bitter debate between <strong>the</strong> government and <strong>the</strong> National<br />

Assembly over how much <strong>Kuwait</strong> slnould spend on armselOJ. In 1992, <strong>the</strong><br />

Emir issued a decree that catled for <strong>Kuwait</strong> to spend roughly $11.8 bitlion<br />

on arms over <strong>the</strong> next twelve years. 'This plan met wilh strong objections<br />

from <strong>the</strong> National Assembly once it canne to office, The Assembly criticized<br />

both &E? total amount and fie way in which <strong>the</strong> government<br />

selected weapons and military contractors,<br />

The Finance and. Econumy Committee of <strong>the</strong> National Assembly<br />

rejected <strong>the</strong> hninistry of Dcriense"s propom"to sped <strong>the</strong> money<br />

allowed under <strong>the</strong> decree in July, 1993, and raised a wide range of<br />

issues about <strong>the</strong> government" plans and methods of allocatin.g contracts.<br />

As a result, fundjng of <strong>the</strong> modernization plan was delayed<br />

until April, 1994, when <strong>the</strong> National Assembly voted an $11.7 billion<br />

supplementary defense budget to be spent in increments over a 10<br />

year period, and with enhanced supertdision by <strong>the</strong> National Assembly.<br />

This compraxvlise cme only <strong>after</strong> <strong>the</strong> government agreed to<br />

notify <strong>the</strong> Paationd Assembly of each year" spending from <strong>the</strong> supplementary<br />

budget and <strong>the</strong> defense minister, ALI Safern at-Sabah, was<br />

forced to switch places with <strong>the</strong> interior minister, Atitmad Hamoud al-<br />

Jaber al-Sabah, because of Salem"s resistance to any campmrnise with<br />

<strong>the</strong> National Assembly.105<br />

The compromise raises questions about <strong>Kuwait</strong>" future ability to<br />

fwd its force expansion plans. By <strong>the</strong> time <strong>the</strong> National Assembly<br />

approved <strong>the</strong> compromise, Kwait had already spent bilIions of dollars<br />

on new arms, and <strong>the</strong> $11.7 billion approved by <strong>the</strong> Natinnal,<br />

Assmbly also has to cover <strong>the</strong> cast oE exercises with <strong>the</strong> US, and US<br />

prepo"tioning in Kwait---which includes a $300 mfllion prepositioning<br />

facility for a US merl-ranized brigade to be located south of<br />

<strong>Kuwait</strong> CityNWWhjle <strong>the</strong> nurnbers are suspect, <strong>Kuwait</strong> has reported<br />

that it spent $396 million on procurement outlays for arms in FY1994-


Milifnfy Spendirlg nlzd Arpns Imports 77<br />

FY1995, and may sped only $3313 mitlian in FU1995-FUf996,107 As a<br />

result, <strong>the</strong> totd funds awilable may not meet <strong>Kuwait</strong>'s needs for new<br />

equipment.<br />

It is difficult to separate <strong>Kuwait</strong>'s expendibres on arms from its purchases<br />

of military equipment for allied countries during <strong>the</strong> paiod of<br />

<strong>the</strong> Gulf War, but an ACDA estimate of <strong>the</strong> value of arms deliveries to<br />

<strong>Kuwait</strong> in constant 1993 dollars is shown in Chart Thirteen. ACDA also<br />

estimates that <strong>Kuwait</strong> took dc.ii\iery on $60 rnilljon worth of arms in cw rent dollars in 1979, $40 million in 1980, $120 million in 1981, $110 miL<br />

lion in 1982, $130 million in 1983, $650 million in 19f14, $370 million h<br />

19635, $180 million in 1986, $200 million in 1987, $260 million in 1988,<br />

$470 million in 1989, $280 million in 1990, $480 million in 1991, $1,000<br />

million in 1992, $750 million in 1993, and $250 million in 1994. These<br />

data, on deliveries do not reflect <strong>the</strong> full outyear cost of major <strong>Kuwait</strong>i<br />

orders during <strong>the</strong> late 19805, or <strong>the</strong> surge in <strong>Kuwait</strong>i orders <strong>after</strong> <strong>the</strong> Gulf<br />

Wr, because of <strong>the</strong> delay between orders and deliveries and because<br />

<strong>Kuwait</strong> has structured its payment schedules to avoid massive orders h<br />

a single year.l0g<br />

ACtlA indicates that <strong>Kuwait</strong> has shifted <strong>the</strong> some of its arms imports<br />

as a result of <strong>the</strong> Gulf War. <strong>Kuwait</strong> took delivery on $3 ,345 million worth<br />

of arms (in current doitars) during 1985-1989-<strong>the</strong> period before <strong>the</strong> Guff<br />

War, Only $150 milllon worth came from <strong>the</strong> US, with $180 million worth<br />

coming frcrm Russia, N50 rnjllion coming kom France, $110 milliorl coming<br />

from <strong>the</strong> UK, $5 million from Eastern Europe, $20 milIim from o<strong>the</strong>r<br />

European countries, and $430 million from o<strong>the</strong>r Middle Eastern countries<br />

like Eapt.'@<br />

h contrast, most of <strong>Kuwait</strong>" ddeveries shce <strong>the</strong> Gulf War have come<br />

from <strong>the</strong> US. ACDA indicates that <strong>Kuwait</strong> took delivery on $2,040 million<br />

worth of arms trmsfers between 1992-194. A. total of $1,800 million<br />

came from <strong>the</strong> US, $100 million hom Frmce, and $140 million from o<strong>the</strong>r<br />

states,""" <strong>Kuwait</strong>'s arms defiveries during 1992-19% had a simftar pattern.<br />

mey had a total wortrh of $2.040 billion. <strong>Kuwait</strong> received $1.8 billion<br />

worth of arms horn <strong>the</strong> US, $100 million from France, $30 million horn<br />

o<strong>the</strong>r Middle Eastern countries, $80 million from East Europem countires,<br />

md $30 millio~~ from o<strong>the</strong>r states.111<br />

&cent reporting by Rjchard f;, Grimmett of <strong>the</strong> Congressional<br />

Research Service is summarized in Chart Fifteen. This chart indicates<br />

that Kwait signed a total olfi5.7 billion worth of new arms agreements<br />

during 1991-3994, versus a total of $3.8 bifriim during 1987-1990-a<br />

similar period before <strong>the</strong> Gulf t2iar. Kwait placed nearly $3.4 bftlion of<br />

<strong>the</strong>se orders in 1993 alone. As a result, <strong>Kuwait</strong> ranked third in world<br />

arms qreements during 1990-1993, although it did not number amoq<br />

<strong>the</strong> top ten nations in 1986-1989.1'"


US Russia PRC Major O<strong>the</strong>r AIL Tr,tal<br />

Western Europe O<strong>the</strong>rs<br />

Europe<br />

CHART FIFTEEN <strong>Kuwait</strong>i Arms Sales Agreements by Supplier Country:<br />

1987-1994 ($Current Milliom), Sc7urc:e: Adapted by Anthony H. Cordesman from<br />

work by Richard F. Grimmrttt in Cc~fzzjentional Arms Transfers to Det~elllpiitzg<br />

Nations, 1987-1994, Congressional Research Service 95-862f;, August 4,1994,<br />

pp. 5657.


Milifnfy Spendirlg nlzd Arpns Imports<br />

<strong>Kuwait</strong>'s Recent Major Ams Purchases<br />

Table :Nine provides a list of <strong>Kuwait</strong>'s =cent major ams purchases. 'This<br />

list shows that <strong>Kuwait</strong>" purchases are more focused on its military needs<br />

than those of many Gulf countries, but it reflects <strong>the</strong> problems that arc<br />

typical of all Sou<strong>the</strong>rn Gulf states, <strong>Kuwait</strong> buys from too many countries<br />

md buys too many specialized items of military equipment that are not<br />

iully standardized, and interoperable withh its own forces.<br />

The lack of substantive progress in ccrordinathg and standarclizing t-he<br />

forces of <strong>the</strong> Gulf Cooperatinn Coutlcil mans that <strong>the</strong>re is no overall sfandardization<br />

of <strong>Kuwait</strong>" forces and those of o<strong>the</strong>r Gulf states-although<br />

<strong>the</strong>re is lhited stmdardization with <strong>the</strong> forces of Saudi Arabia-<strong>the</strong> only<br />

state with land md air forces large and effective enovlgh to make a major<br />

difference in <strong>the</strong> event of a large-scale Iraqi or Iranian attack. Similariy, <strong>the</strong><br />

lack of overaH pmgress in <strong>the</strong> coordinatim of Gulf lorces means that<br />

<strong>Kuwait</strong>'s purclnases are not part of any major missiorn systern, whe<strong>the</strong>r air<br />

defense, mine <strong>war</strong>fa=, maritime surveillance or air attack, This lack of<br />

true systems integration and stmddizatim forces <strong>Kuwait</strong> into major<br />

disecanomies of scale, as it does all of <strong>the</strong> Sou<strong>the</strong>rn Gulf states.<br />

As might be expected, <strong>the</strong>re is also onlly partial standardization with<br />

US land and air forces, which now seem likely to he <strong>the</strong> only major Western<br />

power projection forces that will s~~pport Kuwaii: in a n?ajor contingcrncy<br />

Fur<strong>the</strong>r, <strong>the</strong> items listed provide strong signs that <strong>Kuwait</strong> is returning<br />

tc:, <strong>the</strong> pattern of making political purchases from every important<br />

trading parher and supplier state-a pattern that may be goad poli;tks<br />

but fur<strong>the</strong>r complicates <strong>Kuwait</strong>'s problems with sustainaibiliv and hteroperatbiiity<br />

Table Nine shocvs that <strong>the</strong> impa,ct of <strong>the</strong> National ksentbly has not<br />

been particularly pductive in improving <strong>the</strong> quality of <strong>Kuwait</strong>" aarms<br />

purchases. <strong>Kuwait</strong>'s dawn-sizing of its militaq modernization increasingly<br />

seems to be mom political than fuxnctionnl. Spandjng limits are only<br />

being applied with limited ~ gard to <strong>Kuwait</strong>" mmtary needs, and <strong>the</strong><br />

~sultir7g prtiblems are befng compounded by a growktg tendency to buy<br />

.from certain countries to try to obtak <strong>the</strong>ir diplomatic support.<br />

Furher, <strong>Kuwait</strong> is coming under hcreashg p~ssurc from European,<br />

Chinese, and o<strong>the</strong>r sellers tc:, buy for such rt?asms. For example, French<br />

President Jacques Chirac intervened in a campetition between France's<br />

Aemspatiale and British Aerospace Qnamics in Februaq 1996. The<br />

competition was over <strong>the</strong> safe of <strong>the</strong> MM-35 versus t-he Sea Skua missile,<br />

and Chirac argued that <strong>Kuwait</strong> had agreed to give all naval contracts to<br />

France for a period of 10 years, This is precisely <strong>the</strong> kind of arms sale policies<br />

that Gulf state shdd pursue, and it may ultimately cost <strong>Kuwait</strong><br />

far more in lives than it saves in Dhars-ll"


TABLE NINE Key <strong>Kuwait</strong>i Equipment Developments<br />

* 218 M-1A2 US-made Abrams tanks.<br />

* <strong>Kuwait</strong> has given up plans to replace its Icjw quality Yugoslav M-% supplied<br />

tanks with 100-150 more M-1A2s.<br />

* Purchasing 254 British Warrior AIFVs ($918 millicm), but- it has given up plans to<br />

standardize on <strong>the</strong> Warrior, and buy <strong>the</strong> 45&600 it once considei~d,<br />

* Filling out its armored strength by buying 125 M-113 ALPCs, 40 BMP-2, and 20<br />

BLWP-3s.<br />

* Plans to procure up to 263 wheeled armored vehicles.<br />

* Taking delivery on large numbers of TOW and HOT, and at least 200 Carl Custav<br />

84 mm rocket launchers, El~aXuating purchase of <strong>the</strong> Milan 3.<br />

* Has reduced plans Ecw major order of new self-propelled-artillery weapons,<br />

but is considering purchase of 24 more 1155 mm artillery systems. It is studying<br />

<strong>the</strong> purchase of US, South African, and Swiss systems. It is also studying upgrading<br />

its M-109 155 mm self-propelled howitzers to <strong>the</strong> M-409Ab Paladin<br />

impro>vement package or to use <strong>the</strong> VSEL AS0 155 mm turret. <strong>Kuwait</strong> is also<br />

attempting to sell its Auf-1s and repface <strong>the</strong>m with <strong>the</strong> Giak Caesar 52 155 mm<br />

self-propeifed or 155 TIZ towed weapon, and is considering a GIAT offer to<br />

modernize its AuF-3s.<br />

* Ordered MLRS in 1989, but had to cancel <strong>the</strong> order because of cast. It has ordered<br />

27 Russian BM 30 9A52-2 Srnerch multiple rocket launchers to equip<br />

three multiple launcher batteries in a separate regiment, but <strong>Kuwait</strong> may not<br />

implement <strong>the</strong> order. Reported to be considering <strong>the</strong> purchase of <strong>the</strong> Russian<br />

SS-200 ground-to-ground missile, andior Sakr-36 and Fatih rocket bunchers<br />

from Egypt. Considering <strong>the</strong> purchase of a UAV for artillery targeting and surveiltance<br />

purposes.<br />

* Ordered 18 Sh0rt.s Starburst manportable anti-aircraft missile Eire units and 300<br />

missiles and emsidering additional purchases of Starburst or Mistral Atlas. Also<br />

considering <strong>the</strong> purchase of four batteries of ADATS, 13oland-3 with VT-1 missiles,<br />

Alenia Aramaisf or AdSAMS-bvhich fires <strong>the</strong> Aim-l20 AM<br />

* 8 Combat tantr?-.I 225-ton missile p atrol boats.<br />

* 5 Sc~uth Korean Seagull cXass patrol boats.<br />

* Studying orders of 4-45 8&95 meter offshore missile vessels displacing 1,500 to<br />

2,000 tons.<br />

* O<strong>the</strong>r purchase plans include amphibious landing ships, naval helicopters with<br />

anti-ship missiles, and a wide range of new weapons systems and sensors.<br />

* 32 US F/A-18C and 8 F/A-18D fighters, AIM-8 Sidewinder air-to-air missileg<br />

AIM-7x1' Sparrows, AGM-84 Harpoon anti-ship missiles, and Maverick AGM-<br />

65G anti-shipianti-hard point missiles.<br />

* Discussing longer term plans to order up to 35 more fighters, and may make an<br />

initial buy of 12 FI A-1 8CID aircraft. Seeking to buy <strong>the</strong> AMRAAM and considering<br />

a possible buy of <strong>the</strong> Mirage 2000-5 multi-role fighteu: Seeking to fund<br />

such purchases by seXIing its remaining Skyhaw-h and Mirage F-1CTKs.


Milifnfy Spendirlg nlzd Arpns Imports 8 1<br />

TABLE NINE fmnfz'r-zued)<br />

* $"Eddying possible purchase of airborne alert aircraft and/or maritime patrol air-<br />

craft. It may purchase <strong>the</strong> E-2C.<br />

* VVould like to buy Hawk 100 trainers, or at least upgrade its Mark 64s,<br />

* Considering <strong>the</strong> purchase of six more transpol"c*prc~bably 6-1 30s ancl/or Shorts<br />

Sherpas,<br />

* Originally examined <strong>the</strong> purchase of 16-20 AH-64A Apache attack helicopters.<br />

Decided an 16 Blackhatvk UH-6OL helicopters with 500 HeUfire anti-armor mis-<br />

siles, 38 Hellfire launchers, 11,500 Hydra rockets, 200 mm gun pods, and night<br />

uisicln devices. Considering a foltc3w-on purchase af <strong>the</strong> AH-64A or aclditiclnal<br />

UH-GOLs in <strong>the</strong> mid-term. ft is also cansidering <strong>the</strong> purchase of AS-532 Cougar,<br />

Black Hawk, and IAR IAR-530 transport helicopters.<br />

* <strong>Kuwait</strong> signed a cantract with Hu&es in Becembeu; 1992 to create a n w Xand-<br />

based early <strong>war</strong>ning system, refurbish an air operations center, and construct a<br />

new radar site. The first phase of <strong>the</strong> new system-<strong>the</strong> Radar Preliminary Early<br />

Warning System (RPEWS)-becam operational in 1994. The system is shelter<br />

mounted, and integrates two af <strong>Kuwait</strong>" main search radars: A new ANIFPS<br />

2 17 L-Band radar with a radome antema and an existing French TSR-2100 Tiger<br />

S-Band radar at <strong>Kuwait</strong> City. Work is also undeiway to integrate an airborne L-<br />

88 L-Band radar, mounted in an aerostat, into <strong>the</strong> system. <strong>Kuwait</strong> ordered a long-<br />

range Thomsc)n-CSF TRS 22XX SBand radar.<br />

* 5 batteries of Patriot surface-to-air missiles, with 210 MIM-104 PAC-2 GEMS<br />

(Guidance Enhancement Missiies). <strong>Kuwait</strong> has considered buying six new bat-<br />

teries of X-Hawk Phase ill fire unih and 342 MIM-23B Hawk missiles as well, but<br />

delayed this decision pending a study of possible reconstruction of <strong>the</strong> equip-<br />

ment for four I-Hawk batteries tvt-rich Iraq returned <strong>after</strong> <strong>the</strong> <strong>war</strong>. According to<br />

some reports, it is considering an order for Russian SA-10 or SA-12 (S-300P14)<br />

missiles.<br />

<strong>Kuwait</strong>'s Ams Purchases from <strong>the</strong> US<br />

<strong>Kuwait</strong>'s imports frm <strong>the</strong> U'S rose from $2.2 billion in 19861989 to $3.8<br />

bitlion in 1390-3993, and did not rank among <strong>the</strong> top 10 in signing new<br />

arms agreements in 1994. C;rimmettfs data, which are rounded to <strong>the</strong><br />

nearest $100 million, indicate <strong>Kuwait</strong> b0ugh.e $3-9 biilion of: <strong>the</strong> $5.7 bil-<br />

lion total from <strong>the</strong> US, $600 million horn Russia, and $1,200 million<br />

horn major Wst Europem nations, fnclueiing Britain, France, Germany,<br />

and Italy114<br />

<strong>Kuwait</strong>" arms deliveries during 1991-199.14 had a total worZh of $2.5<br />

billion-reflecting <strong>the</strong> lag between new orders and lieliweries. Et received<br />

$21 bilIior? worth of arms horn <strong>the</strong> US, $21)(3 million from n?ajor Western<br />

European countries, $100 million from o<strong>the</strong>r Eurupean countries, and<br />

$100 million from o<strong>the</strong>r states~l~~


The recent trends in <strong>Kuwait</strong>i military hnports from <strong>the</strong> US are summarized<br />

in Table Ten.. Reporthg by <strong>the</strong> US Uefe~~se Secwity Assistance<br />

Agency reflects <strong>the</strong> fact that <strong>Kuwait</strong> siwed major orders for US F/A-18<br />

air~aft before <strong>the</strong> Gulf War, and major new FXAS safes agreemats followi,ng<br />

its Ljberatim der <strong>the</strong> Guif War. <strong>Kuwait</strong> ordered $2.9 b2l.j.m wrth<br />

of arms in fiscal year 1993, although orders dropped, to more norm1 levels<br />

in FY1994,<br />

The rate of US deliveries to <strong>Kuwait</strong>, shows far less af a rise because of<br />

<strong>the</strong> slow delivery of <strong>the</strong> F/A-18, and <strong>the</strong> fact that <strong>the</strong> mavl surge h<br />

Kwiiiti orders followhg <strong>the</strong> Gulf Miar did not take place until E'U1993.<br />

All US sales to <strong>Kuwait</strong> are cash trmsacltians. <strong>Kuwait</strong> does nat make use<br />

of <strong>the</strong> International Mifitar). Education and Training (IMET) program,<br />

and has received no recmt Wlitary Assistance Program (MAP) aid.116


TABLE TEN US Foreign Military Sales (FMS), Commercial Arms Export Agreements, Military Assistance Programs (MAP), and<br />

International Military Education and Training (IMET) Programs with <strong>Kuwait</strong>: FY1985-1994 ($Current Millions)<br />

Foreign Military<br />

Financing Program<br />

Payment Waived - - - - - - - - - -<br />

DoD Direct - - - - - - - - - -<br />

DoD Guarantee - - - - - - - - - -<br />

FMS Agreements 99.9 140.5 56.6 1,915.4 91.0 55.2 156.8 470.5 2,871.6 182.8<br />

Commercial Sales 3.9 8.8 3.9 2.9 1.5 3.5 2.3 7.4 1.7 0.1<br />

FMS Construction<br />

Agreements - - - 4.2 - - 123.4 15.8 6.5 -<br />

FMS Deliveries 33.7 67.3 58.4 41.0 46.4 51.5 75.9 815.0 829.6 225.5<br />

MAP Program - - - - - - - - - -<br />

MAP Deliveries - - - - - - - - - -<br />

MAP Excess Defense<br />

Articles Program - - - - - - - - - -<br />

MAP Excess Defense<br />

Articles Deliveries - - - - - - - - - -<br />

IMET Program/<br />

Deliveries - - - - - - - - - -<br />

Source: Adapted from US Defense Security Assistance Agency (DSAA), "Foreign Military Sales, Foreign Military Construction Sales, and Military<br />

Assistance Facts as of September 30,1994," Department of Defense, Washington, 1995.


<strong>Kuwait</strong>'s Military Forces<br />

Before <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong> faces unique challenges in utilizing <strong>the</strong>se arms orders and<br />

rebtritding its ditary forces. The Gulf War destroyed much of<br />

hwait's ntilitary capa,l?ility in August, 1990, and has forced Kuwit to<br />

try to recr~ate many of its previous rrrilitary capabilities while it is<br />

simultaneously being forced to add new forces and capabilities to deal<br />

with <strong>the</strong> threat from Iran and Iraq. Som of <strong>the</strong> prohlems <strong>Kuwait</strong> has<br />

encountesed in meeting <strong>the</strong>se challenges are <strong>the</strong> inevitable result of a<br />

small nation qing to deal with major threats in <strong>the</strong> milist cJf post-<strong>war</strong><br />

rclconstruction. O<strong>the</strong>r problems <strong>Kuwait</strong> encountered long before <strong>the</strong><br />

GuXf War, Thus it is necessary to understand <strong>the</strong> pre-<strong>war</strong> strengths and<br />

weaknesses of <strong>Kuwait</strong>" forces in order to understand currmt militv<br />

developments in <strong>Kuwait</strong>.<br />

<strong>Kuwait</strong>" military forces had a paper strength of around 20,000 men at<br />

<strong>the</strong> time Iraq invaded. This manpower included. large numbers of<br />

Redouins who wcre not full dtizens. <strong>Kuwait</strong> was hcavily depende~~t on<br />

hreign persome1 for its technic& support, service and logistic support,<br />

maintenance, md training. These support personnel inclutled Jodanians,<br />

Pakistrxnis, and Egyptians, some of .cvhorn were of mediocre. quality.<br />

There were US, British, md Fmch military and contractor missions lfor<br />

virkally atl of <strong>Kuwait</strong>'s more aei\ianced and \Nestem-supplied mftitary<br />

equipment. Hokvever, <strong>the</strong>se teams only provided techical support and<br />

often experienced problems with <strong>Kuwait</strong>'s bureaucmcy<br />

<strong>Kuwait</strong> did have a number of well trained officers, some of whom<br />

attended Smdlaurst. O<strong>the</strong>r Officers, and some NCQs and techicians,<br />

had trained in <strong>the</strong> US, Pakistan, and Jordan, The ofiicer corps and NCOs<br />

were relatively loyal and werl, recruited from <strong>the</strong> ruiing family and loyal<br />

tribes. Unfortunately recruitment and promotion were often domhated<br />

by favoritism, ra<strong>the</strong>r than performance. <strong>Kuwait</strong> also had severe difficulty<br />

~cruiting its citizens into <strong>the</strong> mftitary, Its populatim before <strong>the</strong> Iraqi<br />

hvasion was only about 2.2 million, and less thm 30% of this was native


Kwaiti. Only about 19,50(3 males =ached military age in 1990, and <strong>the</strong><br />

total male work force from ages 15 to 49-hcl~~ding expatriates-totaled<br />

only about 4&080,H7<br />

mile <strong>Kuwait</strong> tried to get its citizens to join <strong>the</strong> armed forces by offer-<br />

ing good pay and privileges, .few volunteered in a country that oMered so<br />

many more re<strong>war</strong>ding alternatives. In thory, <strong>Kuwait</strong> had a draft rclquir-<br />

ing two years of service, except for uni\lersity students--who only had to<br />

serve one year. mere hvere so mmy exempli.ons, however, t-hat <strong>the</strong> draft<br />

existed largely on pay-er. As a result, most of <strong>the</strong> ""<strong>Kuwait</strong>is" h <strong>the</strong> mili-<br />

tary forces in 3990 were from tribal gmupe; that were not really citizms.<br />

These Bedouin were raised as tribal levies and had no reason to be loyal<br />

to <strong>the</strong> <strong>Kuwait</strong>i, government. They were poorly treated and paid, and often<br />

deserted.<br />

The <strong>Kuwait</strong>i Amy Beforg <strong>the</strong> Gulf War<br />

Men <strong>the</strong> Gulf W;;rr began, <strong>Kuwait</strong>'s total army manpower was less thm<br />

16,000 men. While Kuwai.t% oorder of battte had tvvo armored brigades,<br />

one mechanized brigade, and an artillery brigade with a self-propelkd<br />

artilf ery reginne~~t and one surf ace-to-surface missile battalion, <strong>the</strong> reality<br />

was littk moTe than a hollow shell, Its total arrny manpower was equivalent<br />

to only two Western brigades, and all of its units were serioudy<br />

undermmned.<br />

<strong>Kuwait</strong> had hmited ability to employ its strength of 275 main battle<br />

tanEcs (of Lvhich 165 were first-line Chieftains, 70 wem low quality Vickers<br />

Mark Is, and 4C1 were obsolete Centurions), effectively in anything<br />

o<strong>the</strong>r thm a set-piece defense. Even its Chieftain tanks werc undelrpowered<br />

and etiperienced continuous c~verheating and maintenance<br />

problcms.lm <strong>Kuwait</strong> had ordered <strong>the</strong> Yugoslav M-84, a variant of rchc<br />

early Soviet T-72' as a replacement tank, but <strong>the</strong>se werc not in service,<br />

The M-84 has a fire control system superior to any '1-72s found in Iraq's<br />

arse11aI and has a much more powerful engine. With <strong>the</strong> addition of better<br />

ammunition, <strong>the</strong> M-84 woulcjl prove to be far more capable thn<br />

many T-72s.<br />

<strong>Kuwait</strong> had mare capability to use its lighter arlBor, but only in setpiece<br />

defensive maneavers, This armm included 50 BMP-2 and. 100 AT-<br />

105 Saxon and Saladin armcrmd fighti~~g vehicles, 100 Saracen a d 200<br />

M-113 APCs, and "3 Ferret armared cars. It had British Scrorpicrns and<br />

Soviet BNP-2 armored fighting vehicles on ord.er.ng <strong>Kuwait</strong> had bought<br />

a wide range of anti-tank weapons, including <strong>the</strong> AT-4, BCM-73A<br />

Improved TOW, X-ZOrl: M-47 Dragon, and Vigilant, and had 56 M-901<br />

ITV armored TOW carriers. <strong>Kuwait</strong> also had 4,000 Improved TOW missiles<br />

on order. Although this was a good mix of anti-tank weapons, <strong>the</strong>


army only provided uncertain trair~ing and support effort for its antiarmor<br />

crews.<br />

The artillery strength of <strong>the</strong> <strong>Kuwait</strong> Army included 36 M-109A2 selfpropelled<br />

and 40 AMX Altark F-3 towed 155 rnrn howitzers, and approximately<br />

16 old. M-101 towed 205 mm howitzers" However, <strong>the</strong> army had<br />

no combat training in ushg such artillery beyond set-piece and firingrmge<br />

exacises. <strong>Kuwait</strong>'s surface-to-surface missile battalion had 12<br />

FRK-7 launchers, but <strong>the</strong>se had little more than symb~lic importmce.<br />

<strong>Kuwait</strong> was gradually developing improved army land-based air<br />

dtrfenses, although it had too many different types of weapons and was<br />

poorly trained in operating <strong>the</strong>m. <strong>Kuwait</strong>: had Soviet suppiied SA-%,<br />

SA-6s, and ZSU 23-45, and two batteries of SA-8s. The US had refused<br />

to sell it <strong>the</strong> Stinger missile systems, but <strong>Kuwait</strong> had mow %-?S, Egyptian<br />

Sakr Eyes, and gun-missile defense systems on order. There were<br />

reports of additimal orders for M-6s and SA-8s, and that :<strong>Kuwait</strong> had<br />

orde~d Crotaie clr Sra Wlf light surface-to-air missile systems, but<br />

Britain was <strong>the</strong>n reluctant to sell <strong>Kuwait</strong> a key syste~~ in service in <strong>the</strong><br />

British navy because of <strong>the</strong> fear of loss of <strong>the</strong> details of <strong>the</strong> technology<br />

to <strong>the</strong> USSR. l2O<br />

The <strong>Kuwait</strong>i army had a massive $100 million military complex about<br />

hnienty miles from <strong>Kuwait</strong> City. These hcilities, however, owed more to<br />

political convenience than strategy, and an effort to maintain high living<br />

standards ract.ler than military dkctiveness. 'They were vurrerable to air<br />

attack, and over-centralized both <strong>the</strong> deployment of <strong>Kuwait</strong>" fmes and<br />

<strong>the</strong>ir support functicms in f'ixed locatims. <strong>Kuwait</strong>'s army had poor over-<br />

all trainhg, litre coordhation or effcsctive command above <strong>the</strong> brigade<br />

level, and a main.tenance and logistic system where paper work often<br />

took priority over military effectiveness. Fur&er, Kwait lacked tbe abil-<br />

ity to deploy and susfain its brces in <strong>the</strong> field without foreign civilian<br />

support, <strong>Kuwait</strong> had cmcluded an agreement with Turkey to provide<br />

mow advanced training, but this effort came too late to affect its military<br />

proficiency. l2%<br />

The <strong>Kuwait</strong>i Navy Before <strong>the</strong> Gulf War<br />

Kuwaiwas just beginning to create a real navy when Iraq invaded, It had<br />

fnrmed an 2,100 man naval force to =place its coast guarcl, but this force<br />

was completely dependent on fo~ign contractors for training, nnainte-<br />

nmce, logistics, and often actual operations, It was based at IZas al-<br />

Qulayah and Shwiiikh, and had recmtly acquired $29 million worth of<br />

new naval facilities, There we= major civil ship =pair facifities t?l. <strong>Kuwait</strong><br />

City's ShuwaiWn harbor, including a 19C) mekr floating dock with a<br />

35,000 DWT repair capability.122


The core oE <strong>the</strong> <strong>Kuwait</strong> navy ccmsisted of eight Lurssen guided missile<br />

patrol boats. Two of <strong>the</strong>se boats were FPB-57s, and six were TMC-45s.<br />

They were each equipped with 76 mm OTO Melara guns, twh 40 mm<br />

gm% and four Exocet MIW-40 missile launchers. It should be noted that<br />

<strong>the</strong>se patrol boats had sme important limitations common to virtudly<br />

all GCC naval vessels. They lacked air defense capa:bility, and while <strong>the</strong>ir<br />

voice communications were good, <strong>the</strong>y could not be integrated into a<br />

data link exchange network. C~wing <strong>the</strong>m also re~i~ct nearfy 60% of<br />

<strong>Kuwait</strong>" native naval m<br />

<strong>Kuwait</strong> received five 55meter South Korean missile patrol boats<br />

begi"ning in August, 1,987, MIhich were based on <strong>Kuwait</strong>'s offshorc<br />

islands. The ships each had anti-ship missiles, helicopter pads, and. a<br />

Hovercraft docking facitity. The ships were not fully combat ready, but<br />

<strong>the</strong>y did increase I(uwai.l's shalfow water defense capability. I(uwa,it<br />

also had 47 small patrol craft, 4 modern British Ckeverton LCTs, 3<br />

LClls, 3 LSUs, 4 tugs, 6 launches and some light coastd vessels and<br />

suppmt craft. T7e KLfwaiti air force provided additional support in<br />

<strong>the</strong> form of Super Purna helicopters equ.ipped with <strong>the</strong> Exocet missile<br />

system.<br />

Finally <strong>Kuwait</strong> had six SW-Q Hovercraft, Exocet-capablc SA 3QW<br />

Diauphin XI helicopters, 20 Magnum Sedm patrol boats, two Italian 18.4<br />

meter patrol boats, tw 20-meter Italian patrol boats, and more South<br />

Korean patrol boats on order. It was negotiathg with <strong>the</strong> Ne<strong>the</strong>rlands to<br />

buy two Afhaar-class mine hunters, and <strong>the</strong> htch Parliament had<br />

approved <strong>the</strong> loan of two such vessels untit new production became<br />

available.<br />

Mile this naval strength was reasmable for a small navy, it dso<br />

required a manpower base of 5,000-8,O(SO men in uniform, or 3 to 4 tilnes<br />

<strong>the</strong> manpowr Kuwaii: actuatly possessed. <strong>Kuwait</strong> got arod some of<br />

<strong>the</strong>se requirements by being heavily dependent on foreign tecwcians,<br />

but overall readiness was poor.<br />

The <strong>Kuwait</strong>i Air Force Before <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong>'s 2,200 man air force was slowly improving its effectiveness<br />

The air force had roughly 70 combat aircraft and 18 armed helicopters.<br />

It had goad basillg facilities at <strong>Kuwait</strong> Internathad Airport, A bed Al<br />

Jaber Air Base, and Ali .AL Salem Air Base. Housing and o<strong>the</strong>r facilities<br />

were good.<br />

Its combat strclll-rgth included 30 AA4KU/"T"A-4KU attack fighters,<br />

some of which were being placed into storage to await <strong>the</strong> delivery of<br />

new F-18 multi-role fighters which <strong>Kuwait</strong> had ordered from <strong>the</strong> US."""<br />

The A-4s were adequate attack aircraft, but etid not have air cornbat


adars. They could only be used in dogfights where ground-based<br />

radars or <strong>Kuwait</strong>'s Mirage F-l,s guided <strong>the</strong>m to a target. This made<br />

<strong>the</strong>m hopelessly inferior to Iraq" mmndern fighters h air-to-air connbat<br />

capabitity<br />

me air force had 212 necv Mirage F-1&K/CK fiaters and IZ Mark 64<br />

Hawk COJPJ/trauler aircrafi. <strong>Kuwait</strong>'s air weapms inventory includcd<br />

AIM-9 Sidewinders, Matra Super R-5311, and R-S50 Magique air-to-air<br />

missiles-wi& AS-I1 and AS12 air-to-surface missiles, and 12 AM-39 airto-ship<br />

missiles on ordcr. <strong>Kuwait</strong> had also ordercd <strong>the</strong> French SA-365N<br />

maritime attack system.<br />

The Mirage F-l aircraft proved hard to maintain, however, and<br />

<strong>Kuwait</strong> lost several of <strong>the</strong>se aircraft in accidents, The radar of <strong>the</strong><br />

Mirage F-Is had liability prclblems and its 55 kilometer air intercept<br />

range proved too short to meet <strong>Kuwait</strong>'s operational needs, As a result,<br />

<strong>Kuwait</strong> was forced to use its A-$ attack aircraft in a connbat air patrol<br />

role when it needed to create an air defense screen. Fur<strong>the</strong>r, <strong>Kuwait</strong> was<br />

so short ol air force personnel that it contracted for Pakistani, service<br />

and support crews.~~~<br />

<strong>Kuwait</strong>i training was adequate fnr interdictim and close air support<br />

missions agaiinst targets that lacked good ground-based air defe~wes, but<br />

was not suited for attacks on Iraqi forces. <strong>Kuwait</strong>i pilots also had relatively<br />

limited air-to-air combat training, and were severely hampered by<br />

m hadequate air commmd and cmtrol system, and air <strong>war</strong>nlng and<br />

surveillance coverage. Little effort was made to develop a force that could<br />

maintain a high alert stms or work with <strong>the</strong> arn?y in effective combined<br />

operations. 'The Mirage F-IS did, however, maintah a lhited alert status<br />

during <strong>the</strong> ban-Iraq War.<br />

These problems help explain why Kwait ordered 40 US F/A-18<br />

fighters in July 1985, at a cost of $1.9 billion. 'The sale also included<br />

I20 AIM-9 Sidewinder air-to-air missiles, 200 AIM-4 Sparrows, 40<br />

AGM-@ Harpoon anti-ship missiles, and 300 Maverick &M-h5G<br />

anti-shiplanti-hard point missiles. US approval of this sale, however,<br />

only came <strong>after</strong> a bitter fight between <strong>the</strong> Reagan Administration and<br />

Congress. In order for <strong>the</strong> Administration to win approval of <strong>the</strong> sale,<br />

hwait had to give up its effort to order 200 IR Maverick AGM..Q5U<br />

anti-tank missiles, <strong>Kuwait</strong> also had to agree to base <strong>the</strong> F/A-18s only<br />

in <strong>Kuwait</strong>, not to acyuire a refueling capabilityf and to exchange one<br />

A-4KU for every F/A-l8 delivered to <strong>Kuwait</strong>.<br />

This compromise left <strong>Kuwait</strong> with limited levels of muni."tions stocks<br />

fnr its new aircraft, and without an adwanced anti-tank weapoll for <strong>the</strong><br />

F/h-18. Fur<strong>the</strong>t; <strong>the</strong> FlA-18s were not scheduled to begin delivery until<br />

Januaryf 1992, and <strong>Kuwait</strong> was not scheduXed to receive its active<br />

strength of 28 fighters and eight fitghter trbers until June, 19Sf and its


~maining four attrition aixraft until <strong>after</strong> 1994. This drawn out delivey<br />

schedule meant increased tuhwlence and transition probkm. At <strong>the</strong><br />

same time, <strong>the</strong> F-18 sale promised to give <strong>Kuwait</strong> an advanced air<br />

defenselair attack fighter, and alJvanced munitions and support facilities<br />

which were standardized with those used by <strong>the</strong> US Navy and US<br />

Marines and which could significantly ixnprove US over-<strong>the</strong>-horizon<br />

~inf orcemclmt capability ""6<br />

The <strong>Kuwait</strong> air force had nine trmsport aircraft, hcl~~ding one B-707-<br />

200, six C-130-30s, and tvvo DC-9s.n7 The Air Force operated 46 heiicopters.<br />

'f'hese inctueted 23-30 SA-32K Gazelle attack he%icclpters, 23 of<br />

which we= equipped with HOT. They also hcluded 5-43 AS-332 Super<br />

Pumas eyuipped with Emcet, and 10-3.2 SA-330 Pumas. It had 6 AS-332t:<br />

Super Pumas on order. The helicopter crews had moderate training and<br />

good f oreig~~ maintenmce support.<br />

<strong>Kuwait</strong> had a French designed, semi-automated air defense, control,<br />

and wmlirrg system, but it had only lidted low altitude coverage of<br />

Iraq Irm md <strong>the</strong> Gulf. It also had lintited electrorlic <strong>war</strong>fare capabil.ityp<br />

and readiness and uperational reliability, and <strong>Kuwait</strong> does not seem to<br />

have been able to take &antage of some of <strong>the</strong> computerized katures of<br />

<strong>the</strong> system because of soft<strong>war</strong>t! and traini,ng problems.. The kwaiti Air<br />

Force did benefit from data exchmges with <strong>the</strong> E-3As flying in Saudi Arabia,<br />

but <strong>the</strong> quality of he data Ihks was uncertain. This system did not<br />

allokv eitha <strong>Kuwait</strong>i f ghters or its surfaceto-air misdes to react quicHy<br />

and effectively enough to deal with 1ri-tni.m or Iraqi intmders in <strong>Kuwait</strong>'s<br />

air space.<br />

In August. 7,990, Kukvait's Air Force had five batteries of lmprovecf<br />

Hawk surface-to-air missiles with 24 twin launcher fire units, 12 SA-8<br />

surface-to-air missile launcher units, and an unhown number of SA-7<br />

and SA-34 mm portable surfaceto-air missiles. It also had 20 rnsn and 35<br />

mm anti-aircraft guns, and may have had two Shahine batteries on orcier.<br />

Kwait had serious prcihlems in absorbing its more sophisticated srtrfaceta-air<br />

missiles. 'This became clear in 7,987, when efforts were made to resite<br />

<strong>the</strong> missiles to deknd against attacks by 1ran"s Silkworm missiles. It<br />

is mclear how many IHwk units were really combat-~ady hen Iraq<br />

invaded. The US refusal to sell Ktlcvait Stinger missiles in Jme, 7,984, Icd<br />

<strong>Kuwait</strong> to delay <strong>the</strong> purcbase of Hawk systems and buy some $327 mill<br />

lion worth of light Soviet arms for its Army-none of which could be netted<br />

into an effective air defense system.<br />

<strong>Kuwait</strong>i Paramilitav Forces Before <strong>the</strong> Gulf War<br />

Finally, <strong>Kuwait</strong> had separate National Guards, Palace Guards, and Bor-<br />

der Guards, Mthich were equipped with a total of 20 V-150 and 62 V-301)


Commado armo~d<br />

personnel carriers. The Natic,d Guards were<br />

intended for civil control asld had little xnilitary capability, The Min-<br />

istry of <strong>the</strong> Interior ran special political and anti-terrorist police forces,<br />

and was rc-rsponsibte for fnternal intelligence and security These secu-<br />

rity and intel,l.igcnce forces had a poor reputation befnrs Iraq's inva-<br />

sion, and <strong>the</strong>ir actions <strong>after</strong> <strong>Kuwait</strong>" liberation indicate that this repu-<br />

taGi(zn was justified.


Rebuilding <strong>Kuwait</strong>'s Forces<br />

Following <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong> did not wait for its liberation to begin rebuilding its mmilitary<br />

fnrces. It began to rebuild its air force and amy during Desert Shield, and<br />

Kuwajti lmd and air u17jts played a significmt role in Desert Storm and<br />

<strong>Kuwait</strong>" liberation. The GuIf War has, however, forced <strong>Kuwait</strong> to accept<br />

<strong>the</strong> fact that it cannot tlbtaln security through political or financial means,<br />

that <strong>the</strong> GCC carnot provide it wi& security against major regional powers<br />

like Iran and fraq, md that it is dependent on outside powersmainly<br />

<strong>the</strong> Usfor its security:<br />

The Gul War has also forced r(u,wait to dr&icaliy re&kk its defense<br />

phs md force structure, and to mcogniz,e a n er of major challenges<br />

&at will Shape its fuktre strategic positicm. Cln <strong>the</strong> one hand, it has become<br />

bmtaliy clear that hait must develop cornbat effective forces to deter<br />

Iraq and km, to demmstratc? that it cm maintain its sovertligty, and to<br />

show <strong>the</strong> US and its neighbsrs in <strong>the</strong> Sou<strong>the</strong>m Gulf that it can be a true<br />

parmer in meeth~g external &wats. There is no way that Kucvait can return<br />

to its pre-<strong>war</strong> palicy of relying on a combination of dlplimatic maneuverkg,<br />

"aid'" to potcmtial thrtrats, and a limit4 detcrrmt force far its security<br />

On <strong>the</strong> o<strong>the</strong>r hand, it is equally clear that <strong>Kuwait</strong> faces <strong>the</strong> followin&<br />

m;pjor strategic problem in developing <strong>the</strong> military forces it needs for <strong>the</strong><br />

future:<br />

* There is no way to overcome <strong>the</strong> geographic fact that <strong>Kuwait</strong> has no<br />

strategic depth and will =main highly vuinerable to Iraq and Eran as<br />

long as <strong>the</strong>se nations have major military forces.<br />

* It no longer is seeking force levels of 40,000 men, However, its present<br />

goal of creating a roughly 30,000 man force witl not allow it to<br />

defe~~d against an Iraqi or Tranim attack, and my be too large to be<br />

practical. Fur<strong>the</strong>r, its refusal, to offer full citizenship to <strong>the</strong> chadwn<br />

of immfgmts, or Ridtlon, regadess of background and loyaity,<br />

depsives it of a critical source of manpokver,


* It has acted m <strong>the</strong> conviction that its military forces must be purged<br />

of any elements that m not fully loyal to <strong>Kuwait</strong>, leading <strong>Kuwait</strong>,<br />

rightly or wrongly, to rcject about half oi its pre-invasion manpower.<br />

* There is no near-term possibility that Saudi hraZnia and <strong>the</strong> o<strong>the</strong>r<br />

GCC states could probride <strong>the</strong> lmd and air strengt.h. necessary to halt<br />

an Iraqi attack before it seizes Kuwa-it, or provide <strong>the</strong> kind of air and<br />

missile defense screen necessary to defend <strong>Kuwait</strong> against Iran,<br />

* Egypt and Syria, are unlikely to provide m adequate &ab military<br />

force under financial and political conditions that <strong>Kuwait</strong> finds<br />

acceptable, and may be unable to project effective military power<br />

this far from <strong>the</strong>ir home bases.<br />

* The t"S cannot project armored and mechanized forces large enollgh<br />

to defeat m Iraqi attack without ei<strong>the</strong>r a mnth of strategic <strong>war</strong>ning,<br />

or a combination of prepositioned equipment, for<strong>war</strong>d deployed<br />

forces, and constmt training. At <strong>the</strong> same <strong>the</strong>, <strong>the</strong> effective use of<br />

US air power rc.quirc.s access to both Saudi and <strong>Kuwait</strong>i bases,<br />

preposi.tioned mmikions, and a fully &em, and interoperable<br />

combination of sheltered air bases, surface-to-air defenses, and C41<br />

systems.<br />

Since 1992, <strong>Kuwait</strong> has pursued a combination of restmcturing and<br />

expmdb~g KuMiaiti forces, encouraging US pregosltionfng, stronger military<br />

ties to Saudi Arabia, and discussions with o<strong>the</strong>r Arab states, It has<br />

had some important successes in implementing this policy and in<br />

~buftding its militay forces, but it still faces major challenges.<br />

The Problem of <strong>Kuwait</strong>i Military Mangoww<br />

The most serious challenge <strong>Kuwait</strong> faces h rebuilding its military capabilities<br />

is manpowes. Chart Sixtetrn shws <strong>the</strong> trends in <strong>Kuwait</strong>i military<br />

manpower, It is clear that Kwait has dways had a limited manpower<br />

p d<br />

to draw upon. Kukvajt. now has a tot4 of about 102,000 males<br />

between <strong>the</strong> ages of 13 and li",78,400 beheen <strong>the</strong> ages of 18 and. 22, and<br />

340,800 between <strong>the</strong> ages of 23 and 32. <strong>Kuwait</strong>: talks about a conscription<br />

system, but this awmts mOre to short term vdmteers ra<strong>the</strong>r than real<br />

conscripts. Half of its manpower is still. volunteer.""::<br />

Fur&er, <strong>Kuwait</strong>: made its problems worse Zly faiIing to recruit most of<br />

<strong>the</strong> members of <strong>the</strong> resistmce into its armed forces <strong>after</strong> <strong>the</strong> liberatio~~. It<br />

has not attempted to enlist most of its Sky ite citizens, and has purged its<br />

army of many of <strong>the</strong> 10,000 Bedouins, who were not full <strong>Kuwait</strong>i ci<strong>the</strong>ns<br />

ven though some fought against <strong>the</strong> Iraqis or in <strong>the</strong> resis-<br />

tance. As a result, f(uwait% rremavljng pool of males of military age is<br />

only about 160,WO men."""


I<br />

Total Active<br />

Army<br />

Air Force<br />

U Navy<br />

CHART SIXTEEN <strong>Kuwait</strong>: Military Manning-1979-1996. Source: Adapted by Anthony H. Cordesman from various editions of<br />

<strong>the</strong> IISS, Milifa y Balance, <strong>the</strong> JCSS, Milifa y Balance in <strong>the</strong> Middle East, and material provided by US experts.


In early 1996, Kwait had a total force of only 16,6011 actives, including<br />

1,600 foreign personnel, 1,0011 men in <strong>the</strong> central staff asld 600 Emi,ri<br />

Guards. It claimed to have some 23,700 reserves, with one month of<br />

annuat training, but d y a small portion of this total semed to be<br />

organized into reserve forces. Much of this manpower was composed<br />

of fuil citizens. Haweves, <strong>the</strong>re were large nmbers of Bangladeshi,<br />

and Kwait had to bring back some cJf <strong>the</strong> Bedouin whom it had fired<br />

from <strong>the</strong> armed forces to make up roughly one-third of this total- There<br />

is no sign of a draft.130<br />

There were =ports during 3993-199.2 that <strong>Kuwait</strong> faced serious morale<br />

and leadership problems among its officers. According to Chese reports,<br />

som officers believe <strong>the</strong>ir senior commanders wese often promoted<br />

purdy for family and political reasons and deserted in <strong>the</strong> face cJf <strong>the</strong><br />

enemy wkn Iraq at;lacked. Some feel t%tc royal farnity ig~nored those who<br />

iought in <strong>the</strong> resistance, and has allowed post-<strong>war</strong> contracts to be<br />

<strong>war</strong>ded on <strong>the</strong> basis of favoritisrn and cormption. They also question<br />

<strong>the</strong> govanme"t'weforts to st.udy what wnt wmlng and learn Irom <strong>the</strong><br />

lessons of <strong>the</strong> was,<br />

Things have improved, however, since <strong>the</strong> period hnmediately <strong>after</strong><br />

<strong>the</strong> liberation. In April, 19%, a group of senior officers sent <strong>the</strong> Emir a letter<br />

calling for <strong>the</strong> investigation and. dismissal of Deiense Mhster Sheik<br />

NaMlaf al-&mad al Sabah fnr failing to mcrbilize, for pulling forces back<br />

.from <strong>the</strong> border shortly before-. <strong>the</strong> invasi.on, fnr ordering <strong>the</strong> <strong>Kuwait</strong>i<br />

tanks h <strong>the</strong> border area not to fire on <strong>the</strong> advancing Iraqi troops, and for<br />

fleeing <strong>the</strong> country without gi"ing orclers to <strong>Kuwait</strong>'s forces once <strong>the</strong> <strong>war</strong><br />

had begun. They also caXled for <strong>the</strong> in\restigation of Interior Minister<br />

Sheik Salem Sabah al-Salem for taking no actjon to provide suitable<br />

<strong>war</strong>ning and internal security measures. The Emir dealt with this sihtation<br />

by m'Aing Nawaf Mhister of Social Affairs and Labor, but he also<br />

made ali-Salem <strong>the</strong> new Misrister of Defense,"l<br />

In January 3992, <strong>the</strong> government faced serious protests by junior and<br />

mid-grade officers. 'They demanded <strong>the</strong> resilr;natio~n of up to 100 military<br />

officers and defense personnel, including 20 generals and a nunnber of<br />

members of <strong>the</strong> royal fiiimily, Some 14 officers were retired, but this was<br />

not szxfficicnt for miiitary or public opinjon. While <strong>the</strong> ncw Minister of<br />

Defense, Sheik Ati Salcm Sabah al-Salem was able to improve his relations<br />

with some of <strong>the</strong> military, he was rotated out of his po&tion in 3994<br />

because of his conflict with <strong>the</strong> National Assembly over <strong>the</strong> size and control<br />

of arms purchases. The royal family was also forced to replace<br />

Kwaitfs chief of staff, Ma~or Genera1 Jabir al-a~alid AT SabA with Major<br />

General Ali al-Mu'mh in <strong>the</strong> summer of 1999. General A1 Sab& had been<br />

chief of staff during <strong>the</strong> Iraqi invasion, and had also been blamed for<br />

Kwaitfs unprepart?cfnes~.l~~


Rebzrildilg Forces FoIEBwE'I~~ iilze Czrv War 95<br />

US military oEficers who haw participated in joint p<br />

exercises with <strong>Kuwait</strong> believe that <strong>the</strong> <strong>Kuwait</strong>i fosrces now have much<br />

stronger leadership, that <strong>the</strong> morale of <strong>Kuwait</strong>i forces bas steadily<br />

hproved since early 1994, and that <strong>the</strong> moraic. of <strong>the</strong> <strong>Kuwait</strong> offictir corps<br />

is now relatively high. They believe <strong>the</strong> joint <strong>Kuwait</strong>i-US response to Iraq's<br />

movements in 1994 md 1995 has dme much to convince <strong>the</strong> <strong>Kuwait</strong>i mditary<br />

that <strong>the</strong>y can serve a vital role in defending :<strong>Kuwait</strong> in <strong>the</strong> firbre.<br />

The quality of- KLtwaitfs mnpower intake into enEsted ranks has also<br />

improved since <strong>the</strong> Iraqi buil.d up m <strong>Kuwait</strong>" bbarer. <strong>Kuwait</strong> is tahg<br />

in about 1,500 men per year, with 7Sf) votmteers and 750 coming from <strong>the</strong><br />

nati.onal service progrant. <strong>Kuwait</strong> is getting more volLtnteers of: a higher<br />

quality but 1,500 men a year is not enough to meet its force goals.<br />

Kwiiit" six of "drafteesrf and volunteers prltscmts prohlas, hwwer,<br />

because so many citizens m rich and <strong>the</strong>refore hard to rccruit. Fur<strong>the</strong>r,<br />

<strong>the</strong> armed services cannut reject low qualiv volunteers and draftees<br />

becaux of objections by <strong>the</strong> National Assembfy.<br />

<strong>Kuwait</strong> no longer uses large numbers of Palestinians and Jordmians to<br />

staff <strong>the</strong> Ministry of Defense's technical and support function, including<br />

sow aspects of contracting and procurrmmt, because of <strong>the</strong> Gulf War.<br />

However, <strong>Kuwait</strong>" military manpower is so law that many services still<br />

have to be contracted to civilians, including many Asians. <strong>Kuwait</strong><br />

rc-.mai~~s heavity dependent on foreign personnel for its technical, service<br />

and logistic support, and maintenance and training, and US, British, md<br />

French military and, contmctor support missions. This lisnib Kuwa-iti sustainment<br />

and reciepioyment capability in <strong>war</strong> <strong>the</strong>.133<br />

The Challenge of: Re-equipping <strong>Kuwait</strong>i Forces<br />

Kuwajt faces problems in re-equipping its forces that arc almost: as seri-<br />

ous as its manpwer problems. It must make uy fnr its wastime losses,<br />

increase its holdings of major equipment, and seek to obtain supmior<br />

technoloa as a partial compensation for Iraqi or Iranian mifitary superi-<br />

ority It faces major uncerta.intries as to how much of <strong>the</strong> equipment Iraq<br />

seized and <strong>the</strong>n returned can ever be used again, and it almost certainly<br />

will not be able to atlord its initial weaporls procurennent. plans. At <strong>the</strong><br />

same tirne, it must: (a) seek to make its equipment hteroperable with that<br />

of U5 md Saudi forces-its major sources of reinforcement, (b) deal with<br />

<strong>the</strong> political problem of atlocating arms sates in ways that encottrage<br />

external support from. o<strong>the</strong>r powers like Britain, France, and Russia, and<br />

(cf seek to improve interoperahifity a d standardization with its o<strong>the</strong>r<br />

GCC allies at a time when <strong>the</strong>y show little real hterest- in <strong>the</strong>se issues"J34<br />

Iraq stole some 9,000 major items of military equipment from <strong>Kuwait</strong><br />

during <strong>the</strong> invasion. <strong>Kuwait</strong> has only had mfxed success in covering


this equipment-although it sometimes has had mow success than it ini-<br />

tiatly expected."s In early 1992, fihcik Ali Sabah hl Sab&-<strong>the</strong>n Minider<br />

of Defense-stated that Iraq would not give back <strong>the</strong> eyuipment, and<br />

that, in any case, <strong>Kuwait</strong> could not use epipment <strong>the</strong> Iraqis had dam-<br />

aged or worn out in cornbat-. He accused Jordan of hvol-king with Iraq to<br />

ensure that Iraq can use <strong>the</strong> ZtIawks that it took from <strong>Kuwait</strong>, and indi-<br />

cated that Kwait would reequip its forces on <strong>the</strong> basis cJf British,<br />

Kuwajtif and U'S studies of <strong>Kuwait</strong>i secmriv needs.136<br />

Shortly <strong>the</strong>se<strong>after</strong>, <strong>the</strong> currcnt <strong>Kuwait</strong>i Dcputy Chief of Staff, Brigadier<br />

General faber Ai Sabah, stated that Iraq had agreed to rr-?turn all capktred<br />

equipmt.111 by <strong>the</strong> summer of 1992, and that this would include 6&83<br />

Chieftaisr and 67 Vickers MBT-1 tanks, mmy Soviet BMP-2 armored<br />

Qhting vehicles, 23 ikf-109M 155 howitzers, 12 120 mm mortars,<br />

hmdreds of trucks, II aircraft, four heljcopters, and a number of small<br />

craft and patrol boats.137<br />

General AL. Sabah also indicated that<br />

Iraq was actively testing its captured IHawks;<br />

Some of <strong>the</strong> A4s Iraq had capbred had been so damaged that <strong>the</strong>y<br />

had to be flown back to <strong>Kuwait</strong> in slings;<br />

* Six Mirage F-1s had been declased missing or destroyed,<br />

* Four Hawk traiz~ers were rebn~ed in bad condition;<br />

* Areturned C-I30 had bee11 seriously damged, and<br />

* The patrczl: boats Iraq rctumed to <strong>Kuwait</strong> had, been damaged so<br />

seve~ly that <strong>the</strong>y had to be returned by lmd.138<br />

Many of <strong>the</strong> tanks Iraq returned came back without <strong>the</strong>ir fire control<br />

systems. The howitzers needed a major rebuffd, and <strong>the</strong> aircraft and helicoptern<br />

wwere rnissing some of <strong>the</strong>ir navigation equipment Fw<strong>the</strong>t; in<br />

early 1995, <strong>Kuwait</strong> indicated that it still bad not receked 15 <strong>Kuwait</strong>i<br />

FROG rockets, 225 Soviet-made armored personnel carriers, 55 M-YOI<br />

armored persomel. carriers, 4,QaO TOW anti-tank guided missiles, three<br />

portable anti-aircrafi system$ md. thousands of trucks. Since <strong>the</strong>se are all<br />

items that are of value to Iraq in ~huftding its forces, it seems douhtful<br />

that <strong>Kuwait</strong> will now see <strong>the</strong>ir return.139<br />

In short, <strong>Kuwait</strong> has been cmfi.ontt.d with having to ei<strong>the</strong>r equip its<br />

fnrces from <strong>the</strong> ground up, or rttty heavily on worn and darnat;ed equipment<br />

which does not give it a techical edge over Iran and Iraq. It also<br />

faces <strong>the</strong> problem that some of its key potential, suppliers are also interested<br />

in fuhre sales to Iraq-a factor that already has led <strong>Kuwait</strong> tc:, begin<br />

putting pressure on Russia and France to choose betwell <strong>the</strong> Ktlcvaiti<br />

and Iraqi markets.140


<strong>Kuwait</strong>'s Land Forces<br />

Since <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong>f"sarmy mnpower totaled aholxt 10,000 regulars in mid 1996.MI<br />

I'he Army was organized into two active mechanized brigades, two<br />

active arrnored brigades, one Emiri Guards Brigade, one reserve brigade,<br />

one active artillery brigade, and one engineer brigade, It also had a 1,000<br />

man commando battalion, These <strong>Kuwait</strong>i ""brigades," "however, only had<br />

about 1,000-1,500 mn, and one armored brigade W= still equipped<br />

largely with "H~mvees" and was not scheduled to receke its full armor<br />

until 1997. 'f'he total manning of <strong>the</strong> <strong>Kuwait</strong> Army was quivalent to<br />

about one Western brjgade slire.l" The trends in <strong>Kuwait</strong>i &my mannifig<br />

are shown in Chart Sixteen.<br />

Kwaiti has set a goal of crea~g four acti\re, full brigades, but a n<br />

not possjble, These expe&s beliwe that E*;uwil. can<br />

crd and w).l equipped. amared. brigades, md two<br />

ing with a rapidly mi,bilhabk<br />

reserve. T%ey also asert &at ssu& a force would be large e11ough to help<br />

deter my sudden Iraqi incursions and to delay Iraqi fmes h g mu& for<br />

US air md lmd power to begin to bcl effective in halting a miljor Iraqi attack.<br />

<strong>Kuwait</strong>i Amy Modernization and Expansion<br />

The trends h <strong>Kuwait</strong>i Army equipment are shown h Charts Seventeerz<br />

and Eighteen. These charts show <strong>the</strong> slow rate of build-up before th Gulf<br />

War, <strong>the</strong> devastata impact of tbr Gulf %r, md tbr Army's post-<strong>war</strong><br />

recovery <strong>Kuwait</strong> has, however, had to make major cuts in <strong>the</strong> army re-<br />

equipment plans it developed, immediately <strong>after</strong> <strong>the</strong> Gulf Was. <strong>Kuwait</strong><br />

initially considered orderillg some 700 main battle tanks, a d matchifig<br />

numbers of armored infantry fighting vehicles, artillery weapolls and<br />

o<strong>the</strong>r systems. As has been expl.a.ined earlier, however, <strong>the</strong> National<br />

Assernbly has placed growing lirnits m :<strong>Kuwait</strong>i arms purchases, and<br />

Kuwajt: has had to adopt considerably more modest gods.


Tanks<br />

H APCs<br />

AFVs<br />

CHART SEVENTEEN <strong>Kuwait</strong>: Armored Weapons Strength-1979-1996. Source: Adapted by Anthony H. Cordesman from<br />

various editions of <strong>the</strong> IISS, Military Balance, <strong>the</strong> JCSS, Milita y Balance in th Middle East, and material provided by US experts.


GT3ART EIGHTEEN <strong>Kuwait</strong>: A~illery Weapons Strength-1979-1 996.<br />

Source: Adapted by Anthony H. Cordesrnan from IXSS, Militn~y Bnln~ce,<br />

<strong>the</strong> JCSS, Military Bnl~nec ir-z fhc Middle Ensd, and material provided by US<br />

experts.<br />

<strong>Kuwait</strong>'s operational tank strength now seems to include 85 Uugoslav<br />

M-84s, out of a total of 150. The rest are in storage because of manpower<br />

problems and a lack of spare parts. 23e M-84s tanks are variations of <strong>the</strong><br />

T-72 with medivcre armor and sighting syslems, and inferior ammuni-<br />

tion, but have fire control systems superior to many early-model T-72s<br />

including those T-72s currently in Iraq's inventory. Tnere are reports that<br />

Kukvait is seeking Russian assistance in bringing <strong>the</strong> M-84s up to <strong>the</strong> stan-<br />

dard of improved late-model T-72s by adding major improvements in fire<br />

contrd capability and improved mmunition for <strong>the</strong> 125


100 Lnlzd Forces Since flze Gzky War<br />

<strong>Kuwait</strong> had 16 M-1A2 tanks in early 1996, which were part of a $4.5 billion<br />

order for 218 M-1A2 US-made Abrams tanks" These tanks will allow<br />

<strong>Kuwait</strong> to equip two arrnored brigades with first-1ir\e equipment that is<br />

far superior to any tanks in Irmian and Iraqi service and which are stmdardized<br />

wif-;h <strong>the</strong> tmks in US and Saudi forces. Deliveries of <strong>the</strong> M-ls<br />

began in August, 1995, and are to be complett.d by 1997. The first 16 tanks<br />

joined Kwait's Shaheed., or "Martyrs Brit;ade.'"<br />

At <strong>the</strong> same time, <strong>Kuwait</strong> has given up plans to replace its low-quality,<br />

Yugoslav-supplied M-84 tanks with 100-150 more M-182s. Even <strong>the</strong><br />

two armored brigades it is alwady plaming to equip with M-1AZs are<br />

only two-thirds manned, and <strong>Kuwait</strong> does not have <strong>the</strong> money to fund<br />

a large purchase of more M-1A2s. As a result, it will probabty have to<br />

continue to equip two brigades with <strong>the</strong> M-84 and o<strong>the</strong>r Russian combat<br />

equiyment--1% Some experts believe it will equip its two active brigades<br />

with US and British eyrriprnent and. its two mobilizable brigades with<br />

hgostav and Russian equipment.<br />

<strong>Kuwait</strong>" order for its M-l tmks also Uustrates <strong>the</strong> proble~xs <strong>Kuwait</strong><br />

and o<strong>the</strong>r Sou<strong>the</strong>rn Gulf states bave when <strong>the</strong>y hold weapons trials and.<br />

attempt to choose eguipment cm <strong>the</strong> basis of operatimal merit ra<strong>the</strong>r than<br />

poli.l-ics and technical. ciairns. 'The wing seller or seller nation inevitably<br />

cries fowl and =sorts to politics.<br />

<strong>Kuwait</strong> conducted a comparative test of <strong>the</strong> US M-1AZ and British<br />

Challenger 2 tanks in 1992. The US M-1AZ proved to have <strong>the</strong> advantage,<br />

with a top speed. of 65 km/b versus 50 for <strong>the</strong> Challenger 2, and<br />

superior brakirng. It sccrred three hits out of th~e at 2,110t) meters versus<br />

one out 01 three for <strong>the</strong> ChaUenger 2, 1,1) hits versus eight at 4,000<br />

meters, six hits firing on a slope versus two, and four hrtnter-killer hits<br />

in 32 seconds out of four fired versus three hits out of four in 66 seconds.<br />

Similarly, <strong>the</strong> N-2 Bradfey out-scored <strong>the</strong> Warrior Mlith a 91)Uio hit<br />

on <strong>the</strong> move score versus 16% for <strong>the</strong> Warrior, and three TOW hits out<br />

of three firings versus one for <strong>the</strong> Wrrior. The results of <strong>the</strong>se trials<br />

became so controversial, however, that <strong>Kuwait</strong> made a political decision<br />

to buy <strong>the</strong> VVarrior fitted with <strong>the</strong> Delco LAY-25 two man turret,<br />

and to balance its future purchases betwen <strong>the</strong> US, Britain, and France<br />

in an effort to ensure it will receive reixlforcements from both <strong>the</strong> US<br />

and Europe."""<br />

<strong>Kuwait</strong>'s o<strong>the</strong>r armored vehicle strength seems to incllxde 46 BMP-2s<br />

and 76 BMP-3s, about 153 M-113s' 40 Fhd APCs, 6 Tvf--Ci"i"$ same<br />

amored mortar carriers, and roughly 20 special purpose and amored<br />

engineering vehicles. Ku~iait may have 10-15 BDms and sow Ferret<br />

and Saladin armored fighthg vehicles in storage, mese holdings represent<br />

too many Qpes of equipment for a mall force, and it is clear that<br />

Kwait urgently needs new modern infantry fighting vehictes,


Land Forces Siv~cc flze CzrY War 101<br />

<strong>Kuwait</strong> is attempting to solwe this problcm by purchap;% 254 British<br />

MiBrrior Alms ($918 miftion), but it has giva~ up plans to standardize on<br />

<strong>the</strong> Mrarnor, and buy <strong>the</strong> 11.5040 it once considered.1" DeliveI.ies began<br />

in mid-1945, and about 20 had been delivered as cJf August. A total of 136<br />

of <strong>the</strong> Warriors will have <strong>the</strong>rm4 imaging vision, Delco LAV-25 turrets<br />

with 25 mm gms, two armored TOW anti-tank missile lamchers, and<br />

ACE. 'They wiZI be used in <strong>the</strong> two regiments eyuipped with <strong>the</strong> M-1s.<br />

The o<strong>the</strong>r Warriors will hcltude recovery vehicles which will tow support<br />

trailers, command posts, and repair vehicles. Some will have high<br />

mobiljty support trailers and special support epipment. <strong>Kuwait</strong> has<br />

bought modem sinnulatio~~ and traiining systems for its Warriors, but it<br />

will take two years for <strong>Kuwait</strong>i forces to get lllf delivery of its order and<br />

fuily convert to <strong>the</strong> new system.147<br />

<strong>Kuwait</strong> is filling out its armored strengt.h. by buying 125 M-113 APCs,<br />

$0 BMP-2 and. 20 BMP-3s. The BMPs will be used along with <strong>the</strong> M-&2s in<br />

<strong>the</strong> Sixth Mechanized Liberation Brigade. These sales were part of <strong>the</strong><br />

defense agreement <strong>Kuwait</strong> and Russia signed in NovetJlber, 1993. The<br />

agreement provides for up to $763 million in sales, and requises a Russian<br />

reirtvestment in offset programs of at least $228.9 million.'48 It is considerj,ng<br />

buying an armored system with a Chieftain body and a Piranha<br />

turret with TOW missiles*<br />

<strong>Kuwait</strong> also plans to procure up to 263 trYheeled armored vehicles at a<br />

cost of $385 to $462 million. It: is evaluatjng an initial purchase of 80-130<br />

vehicles for <strong>the</strong> Emis" guard., and <strong>the</strong> candidates include <strong>the</strong> Swiss<br />

Piraha, Styer-Daimler Pmdur, 6 x 6, Textron LAV-300 6 X 6, and Russian<br />

BTR-80. Many will be equipped with a LAV-25 25 mm turret or a Cockerifl<br />

Mark :IXEAl 90 mm gun. O<strong>the</strong>r purchases will hc1ude 108--110 mortar<br />

carriers to provide fire support fnr <strong>Kuwait</strong>" mechanized forces and<br />

new Warriors and ESMZ"-3se The main candidates are <strong>the</strong> Tt~rkish FMC-<br />

Nurol M-113 with an armor mortar turret or a French 120 mm rifled mortar,<br />

and <strong>the</strong> British AMS 120 mortar on a United Defense vehicle.<br />

<strong>Kuwait</strong> is also examhing <strong>the</strong> purchase of a Piraha with <strong>the</strong> Blazer turret,<br />

equipped with a 25 mm gun and VSHOMDS missile launcber,"g<br />

'These plans may end up giving <strong>Kuwait</strong> too many types of vehicles<br />

.from too many corntries and manzlfacturers, and too many light armored<br />

vehicles that cannot directly engage Iraqi heavy amored forces in combat.<br />

<strong>Kuwait</strong> does need light armored vehicles to deal with infiltration of<br />

its bordcrs and o<strong>the</strong>r internal secwity missions, for air defense, and o<strong>the</strong>r<br />

special purpose uses. Rathgr it might do better by giving prioriw to standardizjng<br />

on <strong>the</strong> Warrior*<br />

K~~wait's survivhg anti-tank weapolls and new orders hcltude large<br />

numbers of TOW and HOT mti-tmk guided weapons, and at least 200<br />

Carl Gustav 84 rnrn rocket iaunchers. <strong>Kuwait</strong> is evaluating purchase of


102 Lnlzd Forces Since flze Gzky War<br />

<strong>the</strong> Milm 3 mm-portable anti-tank weapon and has bought 1,015 TOW-<br />

2B missiles for its LJAV-125 equipped armared vehicles.'5"<br />

Zn early 1996, <strong>Kuwait</strong>" aartiuery strength included 22 M-109A2 selfpropdled<br />

155 mm howitzers, some M-56 and M-101 towed l05 mm hwitzers,<br />

some 122 mm, 130 mm, and 152 mm weapons that seem to have<br />

been captured from Iraq, and a few multiple rocket launchers. <strong>Kuwait</strong><br />

had 18 GMT GCT AuF-1 towed and 16 M-13AuE.'-3 self-propelled 155<br />

mm artillery weapons in storagee1S1<br />

<strong>Kuwait</strong> is establishing a mw artillery regiment with 24-36 155 mm selfpropelled<br />

hwitzers and has <strong>the</strong> god of builefing up a force of 100 155<br />

mm wearpms It has had to reduce its original plans for major orders of<br />

new self-propelled artglery weapons, but is considerillg <strong>the</strong> purchase of<br />

24 mm 155 mm artillery systems, It is cmsidering purtlhase of <strong>the</strong> US M-<br />

109A6 PaladSn, <strong>the</strong> South African G-6, <strong>the</strong> British AS-90, and a Chinese<br />

weapon.""<br />

It is shdying an upgrade of its M-109 155 m self-propelled howitzers<br />

to <strong>the</strong> M-209A6 Paladin improvement pxkage or is consid,ering<br />

<strong>the</strong> use of <strong>the</strong> VSELAS90 155 mm turret, <strong>Kuwait</strong> is also attempting to sell<br />

its Auf-1s and place <strong>the</strong>m with <strong>the</strong> Giat Caesar 52 1% mm self-ppelled<br />

or 155 TB tocved weapm, and is considering a GIN offer to modernize<br />

its AUF-~S.~.~~<br />

<strong>Kuwait</strong> ordered <strong>the</strong> Loral MLE in 1989, but had to cancel <strong>the</strong> order<br />

because of its price. It has ordcred 27 Russian BM 30 9h52-2 Smerch multiple<br />

rocket launchers, with a range of 70 kilometers, and had 9 in service<br />

in eady 49%. I'hese weapons arc intmded to equip three multiple<br />

launcher ba.t.teries in a separde gint tent. <strong>Kuwait</strong> is currently integrating<br />

<strong>the</strong> Smesch, an effective long-range system, into its forces. As of yet, however,<br />

<strong>Kuwait</strong> lacks <strong>the</strong> ahility to provide long-range targeting and battle<br />

management systems to mke effective use of <strong>the</strong> weapn.<br />

hwait is =posted to be considering <strong>the</strong> purchase of <strong>the</strong> Russian SS-<br />

2(30 ground-to-gmund miss*, aaor Sakr-36 and Fatih rocket launchers<br />

.from Egypt.1" <strong>Kuwait</strong> is also considering <strong>the</strong> purchase ol a UAV br<br />

artj.l,lery targeting and surveillance purposes.<br />

<strong>Kuwait</strong>" surviving army air defenses include SA-7s, SA-14s' ZSU-<br />

23-4s and same 14.5 mm and 20 mm light anti-aircraft guns. <strong>Kuwait</strong><br />

ordered. 48 Shorts Starburst manportable anti-aircraft missile fire units<br />

and 300 rnissiles in October, 1994. Ku~iait's air deknse brigade will<br />

use <strong>the</strong> Starburst for air base defense and defending key strategic<br />

sites, <strong>Kuwait</strong> is considering additional purchases of <strong>the</strong> Starburst or<br />

<strong>the</strong> Mir;tral Atlas rnissile for deployment on "Humvee" 4 x 4 vehicles.<br />

Trainil~g to use <strong>the</strong> Starburst was underway in Belfast in July 1995.<br />

<strong>Kuwait</strong> is also considering <strong>the</strong> purchase of four batteries of mobile air<br />

defense systems. 'f"he candidates fnclude <strong>the</strong> AUATS, Rohd-3 with


Land Forces Siv~cc flze CzrY War 103<br />

VT-1 missiles, Alenia Aramais, and AdSAMS which fires <strong>the</strong> Aizn-120<br />

AMRAAM rni~sile.~s~<br />

<strong>Kuwait</strong> has placed additional orders with <strong>the</strong> US, many of which will<br />

streng<strong>the</strong>n its armored <strong>war</strong>fart- capabifities. 'I'hese inctude 46 M-K8 tank<br />

recovery vehicles, 52 M-577 command post carriers, 230 M-1064 martar<br />

carriers, 1,178 machine guns, 967 STNCGARS digital radio systems, 132<br />

M-998 troop and cargo carriers, 460 heavy epipment carriers, 130,000<br />

rounds of tank ammunitio~~, and small arms ammunitio~~. <strong>Kuwait</strong> also<br />

plans to order uy to 700 marnored '"umvee" troop carriers and large<br />

nurnbers of 2.5 and 5 ton support vehicles.=b<br />

<strong>Kuwait</strong>i Army Readiness and Warfighting Capability<br />

It will be at least three to five years before <strong>Kuwait</strong> can obtain delivery<br />

of all <strong>the</strong> equipment it now has on order, absorb it into its force<br />

structurc-r, anci provide suitable training. It also needs to create <strong>the</strong><br />

dedicated support, maintenance, and logistic capabilities needed to<br />

figkt effectively against first-line Iraqi forces, fn terms of basing, <strong>the</strong><br />

<strong>Kuwait</strong>i army must rt~huild its military complexes at virtually every<br />

level, although many buildings were left intact. This task invnlves<br />

expenditures of at least $275 million to repair all 11 of <strong>Kuwait</strong>'s military<br />

bases-157<br />

Equipment and bashg problems are oz~ly part of <strong>the</strong> challenge <strong>Kuwait</strong><br />

faces in creating effective land forces. Although <strong>the</strong> <strong>Kuwait</strong>i army is<br />

improving, it still has a long way to go. Despite US and British training,<br />

Kuwajt's restructured lmd forces stjll lack effective military capability in<br />

maneuver <strong>war</strong>farc, cannot fight effectively at night, do not have <strong>the</strong> ahility<br />

to condiuct independent artiflev action, and art. unable to fight intensive<br />

armored cambat.<br />

The amy" movements to <strong>the</strong> bordcr to oppose <strong>the</strong> Iraqi build-up in<br />

late 1994 indicated that <strong>Kuwait</strong>'s ground foxes still move too slowly,<br />

have tro&le movi,ng as a cahcsive force, and lack <strong>the</strong> abili"cy to deploy<br />

and sustajn its forces in <strong>the</strong> field withvut foreign civilian support. However,<br />

<strong>the</strong> <strong>Kuwait</strong>i amy has made a major improvement in its ~adiness<br />

and combined arms trahhg and performed well in command post and<br />

field training exercises in 1995 and 3396, and with US and Saudi units h<br />

<strong>the</strong> Peninsular Shield exercises in 1996,"g<br />

Some of <strong>the</strong> army" prdlems should also be sharply reduced once it<br />

has <strong>the</strong> to absorb its new equipment orders, Several redities, however,<br />

will not change:<br />

* <strong>Kuwait</strong> cannot solve its manpower problems wihout broadenixrg its<br />

~cruiting base and sorne form of much mom cclmprehensive con-


104 Lnlzd Forces Since flze Gzky War<br />

scription. U111ess <strong>Kuwait</strong> takes major new inifiatives to increase its<br />

military manpower, it will atways have "hoII0\141' forces.<br />

* Second, Kuwail. still over-emphasizes weapons and under-emphasizes<br />

support, sustainahility rt?a$.iness, manewer capability, training,<br />

and joint operations. Like most: So&hern Gulf forces, it. ennphasizes<br />

<strong>the</strong> symholic value of Iarge purchases of modem hiard<strong>war</strong>c<br />

over integrated and balanced <strong>war</strong>-fit;hting capabiliq<br />

* Third, <strong>Kuwait</strong> is tagng delivery on only enough modern armored<br />

equipment to match one heavy &publican Guards division, The<br />

KUM"aiti eyuipment will be qualitatively superior, hut cannot provide<br />

hwait wilh more than a Lmited seif-defense c~abifity to deal<br />

with low-intensiq land <strong>war</strong>fare in its border arca. This equipment<br />

aiso will not be fully standarclized with <strong>the</strong> eguipment in US or<br />

Saudi forces. The rest of <strong>Kuwait</strong>'s equipment will consist of lowgrade<br />

arrnor which may do as much to kill its crcws in intensive<br />

combat with first-line Eraqi armm as to kill <strong>the</strong> ~lemy and <strong>the</strong>re is<br />

little c~trrent prospect that <strong>Kuwait</strong> can replace this mix of" low-grade<br />

tanks and OAFVs before <strong>the</strong> year 2005, This may not be as critical a<br />

probtem as it appears, though, because it is unclear whe<strong>the</strong>r <strong>Kuwait</strong><br />

really has <strong>the</strong> manpower to support a lmd force larger than two<br />

first-line active arrnmd brigades. <strong>Kuwait</strong>" ccurmnt land force procuremat<br />

plans do, however, violate common mse to <strong>the</strong> extent<br />

that thy fail to use <strong>Kuwait</strong>'s wealth to buy <strong>the</strong> superim techoloa<br />

it needs to make up for its lirnited manpower.<br />

* Finally, <strong>Kuwait</strong> will always be <strong>the</strong> single most vulnerable Gulf state.<br />

Kuwajt City is wiChin a few hours drive of <strong>the</strong> Iraqi border, and<br />

<strong>Kuwait</strong>i population centers could be held. hostage h any conflict. US<br />

and GulE air and land pwer would <strong>the</strong>n have to take such hostages<br />

into account. The US can improve its prcpositionhg cap&ili,ty and<br />

reaction times, but cannot remain in place in <strong>Kuwait</strong>. This makes <strong>the</strong><br />

improvement of <strong>the</strong> <strong>Kuwait</strong>i Army, and <strong>the</strong> development of <strong>Kuwait</strong><br />

forces that can deter and. delay an Iraqi defemse a critical military<br />

prioriity;


<strong>Kuwait</strong>'s Naval Forces<br />

Since <strong>the</strong> Gulf War<br />

Kuwai"taces e ~ aproblems l in restructuring its navy'sTChart Sixteen<br />

shows <strong>the</strong> trends in K~lvvait naval manpower and <strong>the</strong> impact cJf <strong>the</strong> Gull:<br />

War1" The <strong>Kuwait</strong>i Navy had about 1,500 rnen in its naval forces in early<br />

1996, inchding its Coast Guard. <strong>Kuwait</strong>" snad officers are trained by <strong>the</strong><br />

Briltish Kuvvait Defense Group, although a few cadets are. to be trained in<br />

France and <strong>the</strong> crews of Its French-made ships are being trahed at sea by<br />

Navfco. <strong>Kuwait</strong> is also training an additional 100 combat divers, inrluding<br />

mhe clearers.16"<br />

<strong>Kuwait</strong>'s naval forces are based largely at El Adami and Shuwaifi.<br />

Kuwaiaas signed a contract to rebuild and expand its main naval base<br />

at Qalay* near Mina Sud, about 100 kilometers south of <strong>Kuwait</strong> City<br />

which lraq destroyed in 19911, <strong>Kuwait</strong> has ordcred a new Rockwell-Gelsius<br />

Tech cornand center and communications system to replace <strong>the</strong><br />

one etestmyed dufing <strong>the</strong> <strong>war</strong>.<br />

<strong>Kuwait</strong>i Naval Stxngth and Equipment<br />

As Chart Nbeteen. shows, <strong>Kuwait</strong> has a relatively small navy compared<br />

to o<strong>the</strong>r Gulf forces, <strong>Kuwait</strong> lost most of <strong>the</strong> 23 ships in its pre-<strong>war</strong> navy<br />

during <strong>the</strong> fightiing fn 19530. These tosses inctueted its main force of eight<br />

missile patrol boats.. By early 1996, however, its navy had built back to a<br />

strengtl-r of six connbatants. These ships indude one FPB-57 missile patrol<br />

boat (<strong>the</strong> Isliqiaf), and one TNC-4.5 missile patrol boat (<strong>the</strong> AI Sn~zbozlk).<br />

Each of <strong>the</strong>se two ships has one 7% mm QTO Melara gun, twin 40 m<br />

guns, and four Exmet MM-40 missile launchers (2 twin launchers). The<br />

WB-57 was fitted for minelayin$. <strong>Kuwait</strong> also has four 150 ton OPV-311)<br />

class patrol boats built in Australia, and armed with 20 mm g~11s~"l<br />

Sources dihr on KuwaiV's holdings of smaller patml boats. According<br />

to one sour=, <strong>the</strong> fiwaiti Navy had 17 small patrol boats fmm Britass<br />

Cougm Marine, and 12 Simmoneau Stmdard ir.rshorc patrol csaft.162


U Submarines<br />

0 Major Missle Combat<br />

W<br />

M Major O<strong>the</strong>r Combat<br />

Missile Patrol<br />

O<strong>the</strong>r Patrol<br />

20 U Mine<br />

H Amphibious<br />

H Landing Craft<br />

15<br />

10<br />

5<br />

0<br />

Bahrain Iran Iraq <strong>Kuwait</strong> Oman Qatar Saudi UAE<br />

CHART NINETEEN Gulf Naval Ships by Category in 19%. Source: Adapted by Anthony H. Cordesman from <strong>the</strong> IISS, Milifa y<br />

Balance, 1995-1996, and material provided by US experts.


Ma.r?nl Fo9"~es Since flze Gzky Mitlr 107<br />

Some of <strong>the</strong>se boats were used by bait's forcles during <strong>the</strong> liberation of<br />

<strong>Kuwait</strong>. According to o<strong>the</strong>r sources, <strong>Kuwait</strong> had three catamarans, three<br />

33' ultra-fast patrol boats, three 35hltra-fast patrol boats, four 38' ultrafast<br />

patrol boats, a d four smailer uttra-fast patrot b~ats.1~<br />

<strong>Kuwait</strong> plans a fur<strong>the</strong>r rnajor expansion of its navy, 'The five South<br />

Korean Seagull class patl-of boats <strong>Kuwait</strong> had. ordered in 3986 were seized<br />

by Eraq and destroyed during <strong>the</strong> <strong>war</strong>. Kwait, hokvever, expc~cts to take<br />

delivery on five more ordered in 1988, md commissioned two Austrizlim<br />

31.5 meter patrol bmts in 1994.<br />

<strong>Kuwait</strong> ordercld eight Combattante-1225-ton patrol boats on March 27,<br />

1995. mese ships are powered by MW enghes linked to waterjets, and<br />

each is armd with a 10 mm L70 gm and a M-(j2120 mm gun. They will<br />

be equipped later with ei<strong>the</strong>r <strong>the</strong> Aerospatiale -15 or British Sea Skua<br />

mti-ship missile and its associated radar, Matra Sadal or Shorts Seastreak<br />

air defense missiles, chaff launchers, and ESM/ECM systems. The missifes<br />

are expected t~ be orde~d in 1996, and <strong>the</strong> hips are to be etelhered<br />

h 1997-1999.'";1.<br />

<strong>Kuwait</strong> is likely to orcier four to six much lar;ger 8&95 meter offshore<br />

missile vessels displacing 1,500 to Z,Of)(l tons. nese ship will be helicopter<br />

carriers wi& anti-ship md anti-air missiles. There are thirtee~~ possible<br />

candidates for this program from nine countries, ranging from 1,350<br />

to 2,200 tons."h"<br />

O<strong>the</strong>r purchase plans hclude amphibious landing ships, naval, helicopters<br />

with anti-hip missaes, and a wide ran@ of new weapons sys-.<br />

tems and sensors. Kwait is considering <strong>the</strong> purchase of sonar-based surveillance<br />

and detection systems to deal with <strong>the</strong> Irmian submarhe<br />

threat, but seems to have given up plans to buy mixle vessels and appears<br />

ing on foreip forces to deal with <strong>the</strong> mine <strong>war</strong>fare &reat. It is<br />

considerkg <strong>the</strong> modernization and rebuildlrrg of one TNC-45 missile<br />

patrol boat @I-Sn~buuk) and one FBP-S7 missile pah-ol boat (Isfiqlnl). Both<br />

ships were captured by Iraq and survived, because <strong>the</strong>y fled to ports in<br />

Irm and Wahsain durhg <strong>the</strong> <strong>war</strong>."b<br />

<strong>Kuwait</strong>i Naval. Readiness and Warfi&ting Capability<br />

If <strong>Kuwait</strong> coqlctes all. <strong>the</strong>se ordcrs, it will acytlire a relatively large<br />

nurnber of surface vessels for such a small country. Its navy may, how-<br />

ever, be too large and be desiwed for <strong>the</strong> hvrong missions. <strong>Kuwait</strong> will<br />

have mde a major investment in surface vessels, designed lart;ely to con-<br />

front an Iraqi or Iranian surhce threat in an area where <strong>the</strong> real threat<br />

may be from mines and anti-ship missile attacks on commercid ships,<br />

and where <strong>Kuwait</strong>'s vessels may find it difficult to defend agajnst Zran-<br />

ian and Iraqi aixraft and long-range hnd-based anti-ship missiles.


108 Naval Forces Since <strong>the</strong> Gulf War<br />

<strong>Kuwait</strong> might well have benefited more from investing <strong>the</strong> same money<br />

in mine <strong>war</strong>fare capabilities, armor, or increased air power.<br />

The <strong>Kuwait</strong>i Navy also has limited readiness and low prestige. It com-<br />

petes for resources with <strong>the</strong> <strong>Kuwait</strong>i Coast Guard. This rivalry needs to<br />

be eliminated if <strong>Kuwait</strong> is to concentrate its limited resources in ways<br />

which create effective naval units.<br />

In short, <strong>Kuwait</strong> is likely to remain dependent on <strong>the</strong> US and British<br />

navies for anything o<strong>the</strong>r than very low level contingencies. This situa-<br />

tion will be compounded by <strong>the</strong> fact that both Iran and Iraq can attack<br />

virtually any maritime target in <strong>Kuwait</strong>i waters with <strong>the</strong>ir long-range,<br />

land-based anti ship missiles, and <strong>the</strong> fact that <strong>the</strong> Iranian Navy and<br />

naval branch of <strong>the</strong> Iranian Revolutionary Guards Corps can attack<br />

quickly and with little <strong>war</strong>ning. <strong>Kuwait</strong> has many of <strong>the</strong> same unique<br />

vulnerabilities at sea that it does on land.


<strong>Kuwait</strong>'s Air Forces<br />

Since <strong>the</strong> Gulf War<br />

The trends in <strong>Kuwait</strong>i air force manning are shown in Chart Sixteen, and<br />

<strong>the</strong> trends in <strong>Kuwait</strong> air strmgth are shown in Chart Twenty.167 As might<br />

be expected, <strong>the</strong>se trends have been heavily inflzrenccd by <strong>the</strong> inpact of<br />

<strong>the</strong> Gulf War. <strong>Kuwait</strong>" air force now consists of about 2,500 men, with 7%<br />

combat aircraft and XI armed helicopters, Its two main bases at Ali al-<br />

Salern (&Jahxah) north of <strong>Kuwait</strong> City, and Ahmed a1 Jaber (al-Ahadi)<br />

south of <strong>Kuwait</strong> City, suffered sesiolls damage during <strong>the</strong> <strong>war</strong>, but arc<br />

now operation&, and =pairs on <strong>the</strong> base at Ali al-Salem were completed<br />

in time to base <strong>Kuwait</strong>" sew FI A-18s <strong>the</strong>re by late 1992.16ff<br />

<strong>Kuwait</strong>i. Air Force Equipment<br />

Only a limited number of <strong>Kuwait</strong>" combat aircraft arc fully operational.<br />

Kwiiit has only eight operational Mrage F-1BK/CK fighters, out of a<br />

pre-<strong>war</strong> total of 23. It: has 12 surviving armed Hawk 64 trizhers, and 16<br />

Shorts Tucanos organized as a counter-insurgmcy and training unit.<br />

These aixraft have only limited operational capability against an Iranian<br />

or Iraqi threat.<br />

<strong>Kuwait</strong> has phased out its remahjng 20 A-4KUITA-4KU attack fight-<br />

ers it had left at <strong>the</strong> end of <strong>the</strong> Gulf War, out of a p=-wilr total of 30.<br />

Kuwajt's A-4KU/TA-QKU anack fighters and F-1BKIGK fighters are on<br />

<strong>the</strong> market, and <strong>the</strong> operational aircraft of this type are used large@ for<br />

sales demonstration puz)?oses.l@<br />

As a result, Kwvajt relies h ost exclLtsively on its 40 F/A-18s, which<br />

are organized into a fightcr/fighter ground-attack force. <strong>Kuwait</strong> took<br />

delivery of its first 12 F/A-lt-iC/Ds in June, 49512, and delivery of its full<br />

order of 32 US FI A-18C and 8 PIA-18E> fighters, AIM-9 Sidewinder air-<br />

to-air missiles, AIM-7F Sparrows, AGM-84 Harpoon anti-ship missiles,<br />

and Maverick AGM-656 anti-shipianti-hard point missiles was corn-<br />

pleted by late 19994.


El Fighter/ Attack<br />

Armed Helicopter R<br />

Air I=orces Since flze Gzky War<br />

CHART TWENTY <strong>Kuwait</strong>: Fixed Wing and Rotary Wing Combat Air<br />

Strength----I. 979-1996.. Source: Adapted by Anthony H. Cordesrnaxl from TISS,<br />

Mi;lr'l"n?y B~Zrlnce~ <strong>the</strong> ]CS$ Milifaly Balance ilil <strong>the</strong> Mic3ille Easf, and material<br />

prc>vicied by US experts.<br />

<strong>Kuwait</strong> also completed its initial pilot training at <strong>the</strong> US Navy Air Sta-<br />

tion at Lenore, California, and began joint F/A-18 pilot training with US<br />

Navy pilots in :<strong>Kuwait</strong>i air space in March, 1993. <strong>Kuwait</strong>, however, is still<br />

well short of its goal of 1.5 trained aircrew per aircraft, and has a critical<br />

shortage of pilots. According to some reports, it had only 12 pilots for its<br />

F/A-18s in 1996,lYQ<br />

<strong>Kuwait</strong> began to make use of its F/A-18s during <strong>the</strong> border crisis of<br />

October, 1994. The <strong>Kuwait</strong>i Air Force carried out joint exercises with US<br />

forces against targets only five kilometers from Iraq's for<strong>war</strong>d deployed


Air Forces Silzee <strong>the</strong> Gztlj" War 111<br />

forces. The <strong>Kuwait</strong>i Air Force also ~mained m continuous alert during<br />

<strong>the</strong> crisis. Twelve F/A-18s were kept loaded with ei<strong>the</strong>r eight Mark 82<br />

500 pomd bombs or 20 Ruckeyes. -These aircraft werc also armd with<br />

two AIM-9s and two AIM-Zs, and some o<strong>the</strong>r F/ A-18s were armed with<br />

Maverick.171<br />

Zn early 1995, <strong>the</strong> <strong>Kuwait</strong>i air force had two squadrons with a total<br />

active ill-country strength of 3X FM-18Cs and 7 F-1KUs (one F/A-MC<br />

and one FIA-18D are kept in <strong>the</strong> US for testing purposes). These<br />

squadrms included <strong>the</strong> 9th and 25th squadron, Both squadrons were<br />

capable of both attack and air defense missions, but one squadron<br />

trained 60Y0 for <strong>the</strong> attack mission while <strong>the</strong> o<strong>the</strong>r trained 60Y0 for <strong>the</strong><br />

air defense mission. Both squadrons were deployed at .AI Jaber Air Base,<br />

dong with 24 USAF A-10s from <strong>the</strong> 23rd Wh~g (horne-based at Pope Ar<br />

Force Base).l72<br />

This is a very limlted operatimlal force for a nation as vulnerable as<br />

Kwait, and KwaiZ needs to expmd and moetemize its air force in several<br />

o<strong>the</strong>r ways, It needs to acquire more modern, high-capability fighters,<br />

to reach a decision regarciing purchase of an airborne <strong>war</strong>ning aircraft,<br />

to modernize its training and transport aircraft, to moder~ze its<br />

helicopter fleet md provide m attack helicapter capability Moreover,<br />

<strong>Kuwait</strong> needs to establish at least one additional air base as far to <strong>the</strong><br />

south as possibk, a modrm C4I/Bn/l system, and an advanced integration<br />

)and-based air defense systent. <strong>Kuwait</strong> cannot accomplish all of <strong>the</strong>se<br />

tasks in <strong>the</strong> near future, but it is makhg progress in a nuber of arcas.<br />

Buying and operating additional fighters will not be easy. <strong>Kuwait</strong><br />

codd not a&rd all of <strong>the</strong> new fighters it sought aft- <strong>the</strong> Gulf War, and<br />

had to cancel m option to buy 38 addilional F/A-18s in 1992. It is, hawever,<br />

discussing longer term plans to order up to 35 more. fighters, and<br />

may make m initial buy of 12 F/A-I,KCI:/I) aircraft. Kukvait is also sceking<br />

to buy <strong>the</strong> AWIMAFJL air-to-air missile from <strong>the</strong> US, which would<br />

give it a major advantage over franian and Iraqi aircraft in beyond-visualrmge<br />

codat caphiliy and improve its intemperahility \N.ith <strong>the</strong> Saudi,<br />

and US air forces. <strong>Kuwait</strong> is also cmsidcring a possible buy of <strong>the</strong> lLlirage<br />

2(3(30-5 multi-role fi@ter."3<br />

<strong>Kuwait</strong> is seeking to hnd such purchases by selling its remaining<br />

Skyhawks and. Mirage F-ICTKs. <strong>Kuwait</strong> refurhished 15 of its Mirage<br />

FlCKIBKs with French aid by early 1995. It is seeking to sell <strong>the</strong>se aircraff<br />

to Ecuador, but my continue to operate <strong>the</strong>m if it mnot sell <strong>the</strong>m<br />

or buy more F/A-18s,l7"<br />

<strong>Kuwait</strong> is stdyktg <strong>the</strong> possible purchase oE airbcmle alert: aircraA<br />

and/or mariFime patrol aircraft. It may purclase Che E-2C wl-tich pmvides<br />

both <strong>the</strong> capability to detect md intctrcept twets at long ranges<br />

and a mariltime surveillance capbility. 'f'he purchase would be an expen-


112 Air I"orces Since flze Gzky Mi17r<br />

sive one, however, and <strong>Kuwait</strong> may chwse to rely m tlS and Saudi aircraft.<br />

and aerostat mounted early <strong>war</strong>ning radars,<br />

<strong>Kuwait</strong> now operates a syuadm of 6-12 British Hawk Mark 64<br />

trainer-fighters, and 16 Short Tucano 312 trairrer light attack aircraA (9 of<br />

which are operatio~~al). Kt~wait is seekhg to sell <strong>the</strong> Tucanos, which are<br />

now in <strong>the</strong> t"K. Xt would like to buy Hawk 100 trainers, or at least<br />

upgrade its Mark 64s. <strong>Kuwait</strong> n w has several C-130 transport: aircraft, 1<br />

K-9, and 3 tJ-100-30s. I(u.mil. is considering <strong>the</strong> purchase of six more<br />

transports-pmbably C-130s and/or Skorts Sherpas.lT5<br />

Many of <strong>Kuwait</strong>'s helicopters were destroyed or seized during <strong>the</strong> <strong>war</strong>.<br />

The Air Force did, however, build back three operatiand helicopter<br />

sytladrons by earXy 1995. mese includcd 16 SA-342K Gazelle attack helicopters<br />

equipped with HOT anti-tank guided missites, and 4 AS-332<br />

Super Pumas and 8 SA-330 Pumas.<br />

Attack helicopters oMer kwait a way of providrng rapid-reaction,<br />

anti-armor defenses that can help make up for its hck of strategic depth<br />

and deftnsive barriers. The SA-342Ks have not proved to be effective<br />

anti-tank helicopters, however, and <strong>the</strong> HOT missiles are being removed,<br />

Six of <strong>the</strong> aircrafi. are being armed with 20 mm cannons for border sur-<br />

~reillance and counter-infiltration purposes and <strong>the</strong> o<strong>the</strong>rs will be used as<br />

light attack-trainer helicopters.<br />

As a result, <strong>Kuwait</strong> is seeking to purchase modem attack helicopters. It<br />

originalfy exarnined <strong>the</strong> purchase of 16-20 A-t-MA Apache attack heiicopters.<br />

The Apache offered a nudes of unique advantages to a nation<br />

like <strong>Kuwait</strong>. It is a highty let.hal day-night, atl-wea<strong>the</strong>r tank killer that can<br />

quickly reach any position in <strong>Kuwait</strong>; and which can evade or s~~rvive<br />

many of <strong>the</strong> mobile, short-range air defenses in Iraqi and Iranian fnrces.<br />

Its Hellfire missifes can be used against lmding and smdl craft as well,<br />

and it can perhm an arm& reconnaist;ance rnission with high survivability.<br />

At <strong>the</strong> same tirne, <strong>the</strong> purchase of 16 AFX-64As had a cost of $692<br />

million, and <strong>the</strong> AH-648 required mughy <strong>the</strong> same training and support<br />

effort as a modem fighter aircrafte17h<br />

nese cost issues led Kuwa-it to examine o<strong>the</strong>r attack helicopter<br />

options, including <strong>the</strong> AH-1W, UH-@L Black Hawk, and Ka-511 Hokum.<br />

Kuwajt decjded nr7. <strong>the</strong> UH-6OL in July, 1,995, and placed an order for 7.6<br />

Blachawk WH-60L helicopters at a cost of $461 million. The order also<br />

inclueted four spare TRIO General Electric engines, 500 Hellfire antiarmor<br />

missiles, 38 Hellfire lauders, 11,500 Hydra 70 rockets, 200 mm<br />

guns pods, and night vision devices. This order would save <strong>Kuwait</strong><br />

nearly $200 million. It wodd also give Kwait an attack helicopter with<br />

many of <strong>the</strong> anti-armor capabilities of <strong>the</strong> sZf-2-MA, hcluding a FLXR plathrrn<br />

and a laser designator, which could be used in <strong>the</strong> armed transport<br />

mode. <strong>Kuwait</strong> is cclnssering a follow-on purchase of <strong>the</strong> AH-64A or


Air Forces Silzee <strong>the</strong> Gztlj" War 113<br />

additional UH4QLs in <strong>the</strong> mid-term, as well as <strong>the</strong> Hellfire II missile, It is<br />

also considering <strong>the</strong> purchase of AS-532 Cougar, Black Hawk, and tAR<br />

fAR-530 tsanspmt helicopters.177<br />

The Black Hawk sale, however, ran into stiff opposition from <strong>the</strong> US<br />

military and is still pending approval. US officials are particularly con-<br />

cerned with <strong>Kuwait</strong>" request to outfit <strong>the</strong> Black Hawks with a missile-<br />

guiding desipator and o<strong>the</strong>r equipment used only by US Special E'czrces<br />

units. Appnrently, one of <strong>the</strong> chief concerns is that <strong>Kuwait</strong>'s proximity to<br />

Iraq and its vulnerability to sudden attack codd. lead to <strong>the</strong> capture oi<br />

this sensitive technology. <strong>Kuwait</strong>i and US officials met in early December<br />

1995, to find a cornpromise suilable to both sides. Tbe <strong>Kuwait</strong>i govern-<br />

ment is also awaiting <strong>the</strong> US government% decision regarding <strong>the</strong> possi-<br />

ble sale of <strong>the</strong> Apache Lcmgbow to <strong>Kuwait</strong>.lT8<br />

<strong>Kuwait</strong> now has two air bases. Its fighters arc located at its main hl<br />

Jaber Air Base. This base suffered extensive darnage during <strong>the</strong> Gulf War<br />

from both lrqi activity and US bombfng that destroyed 22 of its 2.3. shef-<br />

ters. It has since been 75-SOoh restared, but it is clear that <strong>Kuwait</strong> needs a<br />

third air base to increase its survivabjlitJi and dispersal, and <strong>the</strong> ability of<br />

US and o<strong>the</strong>r power projection forces to reinforcle <strong>Kuwait</strong>. <strong>Kuwait</strong> has<br />

plans to create a new base in Sou<strong>the</strong>rn <strong>Kuwait</strong>, but it is not clear when<br />

<strong>the</strong>se plans will be funded.179<br />

<strong>Kuwait</strong>i Air Force Land-Based<br />

Air Defense and CaVBM Systems<br />

Kuwajt developed a lmd-based air dtfe~~se system with limited to moderate<br />

capabilities before <strong>the</strong> fraqi invasion, This system used a Thornson-<br />

CSF C"I/BM system tc:, control its fighters and Xflalvk missile nits to<br />

ini:egra.t.e <strong>the</strong> data horn a rnix of A.P;I'/TIJS-32, AR-3D, and TRS 2230 radars<br />

and two Z,i"tton AN/ ASQ-7?, systems to control its IHawks.180 Most of <strong>the</strong><br />

system was liestroyed during <strong>the</strong> <strong>war</strong>, and <strong>Kuwait</strong> mly had six fully<br />

operational batteries of short-range air defenses in easfy 1995. Each battery<br />

had one Sbguard radar, two Aspede surface-to-air missiie fire units,<br />

and two twin 30 mm Oerlikctn guns.l81<br />

As a result, <strong>Kuwait</strong> has had to create a new Imd-based air defelzse and<br />

C"/BM system* <strong>Kuwait</strong> signed a $92 million contract with Hughes in.<br />

Decen-tber, 1'392 to create a new land-based early <strong>war</strong>ning system, refurbish<br />

an air operations celzter, and cm~truct a new radar site. The first<br />

phase of <strong>the</strong> new system-<strong>the</strong> Preliminary Early Warning %stem<br />

(PEWS)-was accepted by <strong>the</strong> <strong>Kuwait</strong>i Air Force in early 1996.1HZ The system<br />

ir; shelter molmted, and integrates two of <strong>Kuwait</strong>'s main search<br />

radars: a new ANlFPS-117 L-Band radar with a radome antenna and an<br />

existing French ?"fiR-2100 Tiger SBand radar at Kuvvait City


114 Air I"orces Since flze Gzky Mi17r<br />

Work is also underway to integrate an airlnome 1.1-88 L-Rand radar,<br />

mounted in an aerostat into <strong>the</strong> sy"em md to correct high temperature<br />

operational environment prdblerns with <strong>the</strong> FPS-117. <strong>Kuwait</strong> also<br />

ordered a long-rmge momson-CSF TRS ZZXX S-Rand three dimensional<br />

radar cvith a detectiiol~ range of up to 450 Itilometers in March, 1995. 'This<br />

radar will improve long-range surveillance at medium and high altitudes.<br />

<strong>Kuwait</strong> has set up a training center fur <strong>the</strong> operators of its radars,<br />

and it is <strong>the</strong> first cemter in <strong>the</strong> Gdf to train opemtors in <strong>the</strong> use of highdefinition<br />

color displays and voice-operated technology,'8"<br />

<strong>Kuwait</strong> has also hnproved its cooperation in C"I/BM with <strong>the</strong> US and<br />

Saudi Arhia. Shce 1994, <strong>the</strong> <strong>Kuwait</strong>i Air Force has begm1 joint operations<br />

with US and Saudi aircraft that prepare it for joint air deknse and<br />

air offensive operations with US and Saulii fighters. It can now operate as<br />

part of <strong>the</strong> US AT0 system, and has digital links to <strong>the</strong> U'S Air Force<br />

AWACS and JSTARS aircraft, The <strong>Kuwait</strong>i Air Force has shown that it can<br />

maintain an htegrated air traffic control system over <strong>Kuwait</strong>i air space<br />

and trmsmit low altitude radar data back to USAF command and control<br />

airesft,<br />

The mal test of <strong>Kuwait</strong>'s success, however, will he its ability to provide<br />

effective low-altitude radar coverage to supplelnent its medim-to-highaltitude<br />

radar systems, acquire a much more advanced Phase I1 C4/battle<br />

management system, and deploy modern heavy surface-to-air missile<br />

defenses* <strong>Kuwait</strong> is now complethg Phase If of its air defe~~se system and<br />

<strong>the</strong> major competitors arc Ilughes and Westinghouse. It has been cmsidering<br />

<strong>the</strong> purchase of low-altitude surveillance radars like <strong>the</strong> I'homsm-<br />

CSF mS21ilQ $Band radar.184<br />

<strong>Kuwait</strong> is taking steps to acyr;rire an advanced surface-to-& missile<br />

capability, <strong>Kuwait</strong>" main surface-to-air missile defenses will consist of<br />

five batteries of Patriot surface-to-air missiles, with 210 MIM-184 PAC-2<br />

GEMS (Guidmce Enhancement Missiles), ordered at a cost of $327 miflion.<br />

<strong>Kuwait</strong> has considered buying six new batteries of IHawk Phase IH<br />

fire units and 342 MZM-23B Hawk missiles as well, but delayed this decjsion<br />

pending a study of possible reconstruction of <strong>the</strong> equipment for four<br />

IHawk batteries which Iraq returned <strong>after</strong> <strong>the</strong> <strong>war</strong>. According tc-, some<br />

reports, <strong>Kuwait</strong> is also considering an order for Russim SA-10 or SA-12<br />

(S-3WPTJ) mis~iles~~~s<br />

<strong>Kuwait</strong>i Air Force Readiness<br />

and Warfighting Capability<br />

The <strong>Kuwait</strong>i Air Force is nrtaLng real progress, and US experts now rate<br />

<strong>Kuwait</strong>i pilots as equivalmt in training and skill to <strong>the</strong>ir US counterparts.<br />

i?nuch will depend, howver, on h w <strong>the</strong> <strong>Kuwait</strong>i Air Force manages its


Air Forces Since <strong>the</strong> Gulf War 115<br />

future arms purchases, wheCher it cm irrtprove its numbers of pilots and<br />

tsajning ground crcws, md whet-her it can evolve beyond <strong>the</strong> "hights of<br />

<strong>the</strong> air" kvel of mast Gulf air forces,<br />

The Kwait Air Force needs a clearer strategic and tactical raticrnale<br />

and needs to be able to traifl and operate as an integrated force, m<strong>the</strong>r<br />

than small. groups of ail-craft. It needs a clear concept of joint operations.<br />

It also faces <strong>the</strong> limitatim that it cannot accomplish <strong>the</strong>se goals in cfealhg<br />

with more lhan a low level threat unless it is interoperahle with <strong>the</strong> Saudi<br />

and US air forces, can operate ushg modern USAF C4I/RM systems, and<br />

has <strong>the</strong> option of extending its strategic depth by operating out of bases<br />

in Bahrah md Saudi Arabia.<br />

It is not clear what degree of integratlion <strong>Kuwait</strong> can achieve with Saudi<br />

Arabia and Bahrain in creatirrg a corncm air defense, maritirne surveillance,<br />

and &eater ballistic ntissile defense system, Full-scale cmputerized<br />

digital icntegration among all three countries is critical to providing<br />

effective air and maritime defense in <strong>the</strong> upper G&. This would give <strong>the</strong><br />

Sou<strong>the</strong>rn Gulf states an ""c.dge"" over Iran and Iraq, and effective interoperability<br />

with US air and naval. forces.<br />

It would be extremely desirable to develop such an integrated system<br />

on a KC-'CV basis. <strong>Kuwait</strong>'s slnall size and air space, common<br />

border with Iraq, and proximity to Iran, all. requi'e <strong>Kuwait</strong> to have a<br />

survivable air defense and land and maritime stlfweillance system. No<br />

<strong>Kuwait</strong>i-based system can provide such characteristics unless it is<br />

htegrated into a Saudi system, preferaby with close links to Bahrain,<br />

Qatar, and <strong>the</strong> UAE. At p-resnt, however, plans for impwed integration<br />

are limited, and Saudi kabia's new Peace Shield system '~vould<br />

have to be redesigned to provide optical fjber links to o<strong>the</strong>r countries.


<strong>Kuwait</strong>i Paramilitary<br />

and Internal Security Forces<br />

<strong>Kuwait</strong> has few paramilitary forces o<strong>the</strong>r than a National Guard. This<br />

fnrce has an authorized strength of 5,lftlt), atthough its actual strengl is<br />

much lower. <strong>Kuwait</strong> does, however, have strong internal security forces-<br />

The Mhister of Interior supervises Muwai.t% securiq apparatuis, which<br />

inctuefes <strong>the</strong> Criminal Investigation Department (CID) and h ait State<br />

9curity (KSS). 'These two agencies investigate htrtmal, security-related<br />

offensest h additim to <strong>the</strong> regular police.<br />

<strong>Kuwait</strong>i Security Measures<br />

Although Kuwit has an elected National Assembly, it places tight cm-<br />

trols on many aspects of political activity- <strong>Kuwait</strong> bans pot.itical parties,<br />

and associations that arc not registered with <strong>the</strong> government, The gov-<br />

ent prevents unrt;gi"ered human rig.hts groups frm holding pub?iic<br />

meetings. It also has a policy of preventing <strong>the</strong> =turn of stateless, fraqi,<br />

and Palestinian pelople who have strong family ties to <strong>Kuwait</strong>, and its<br />

labor laws do not cover foreip-born domestic scrrwants.<br />

These security measures need to be kept in careful perspecljve. They<br />

have often been <strong>the</strong> subject of intense criticism by human rights orga-<br />

nizations-particularly between 1991 and 1993, -hm <strong>the</strong> government<br />

drove many foreigners out of <strong>Kuwait</strong> and conducted security trials to<br />

punish those who had. aided Iraq during its occupation of <strong>Kuwait</strong>,<br />

There is no doubt that <strong>the</strong>re were many real abuses of human ri&hts<br />

during this period. 'There is also no doubt that Kukvaiti internal secu-<br />

rity procedures have never mt Western standards of human rights,<br />

rules of evidence, or police procedures.<br />

<strong>Kuwait</strong>, howeverp has been <strong>the</strong> target of aggressive Iranian and Iraqi<br />

htelligence operations, and has had to deal with much more sew= inter-<br />

nal, security threats than <strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>rn Cuff comtries. From 1979 to<br />

<strong>the</strong> present, it has faced constant problems with Iranian hteijigencle oper-


ations inside <strong>Kuwait</strong>. During <strong>the</strong> Iran-Iraq War <strong>the</strong>se took <strong>the</strong> form of<br />

aggressive sabotage, bombings, and assassination attempts"<br />

Iraqi, irttelligcnce systematically infiltrated <strong>Kuwait</strong> durhg late I989 and<br />

early 1990, buiiding on fntdligmce networks M"hich, in some cases, dated<br />

back to <strong>the</strong> early 19ft0s. Mmy foreign workers-hcl~~ding many Palestinians<br />

and jordanims-did collaborate with <strong>the</strong> Iraqi ocrcupyhg forces<br />

and this sometimes resulted in <strong>the</strong> torture, killhg, or disappearance of<br />

<strong>Kuwait</strong>i citizens.<br />

The US State Department also reports that <strong>Kuwait</strong> has ixnproved conditions<br />

in prisons and dekntion caters, extcnded <strong>the</strong> Iranchise to <strong>the</strong><br />

sons of ~zaturalized citizelzs, md invited <strong>the</strong> International Labor Organization<br />

(IILO) to <strong>Kuwait</strong> for consultations, It indicates that <strong>the</strong> Human<br />

Rghts Committee of <strong>the</strong> National Assembly is playing a grwing role in<br />

investigating important humm rights abuses, and has recmmelzded<br />

imgrovenrents in prison conditions.186<br />

Criticism of Kwait's internat security procedures must be tempe~d<br />

with <strong>the</strong> understanding that <strong>Kuwait</strong> faces very real problems. Mile<br />

KuwaiMdoes not follow Western human rights practices, it also faces far<br />

more severe problems and threats than most Western gave<br />

<strong>the</strong>r, Britain has been forced to adopt somewhat similw securjty practices<br />

in dealing with <strong>the</strong> situation in Nor<strong>the</strong>rn IreIand, as dld France when it<br />

attempted to clteal with Algerian independence.<br />

The Xmpact of <strong>the</strong> <strong>Kuwait</strong>i Legal System<br />

Like all Gulf slates, <strong>the</strong> Kttwaiti legal system allows <strong>the</strong> government to<br />

deal with security cases differently from standard civil cases. The Constitution<br />

provides for <strong>the</strong> f~edcrm from arbitritry arrest and detention, but<br />

security forces do not always respect <strong>the</strong>se rights. Security forces in<br />

KuwaiKity somtimes set up checkpoints where <strong>the</strong>y may briefly detain<br />

individuals, Police officers must obtain arrest <strong>war</strong>rants f m state prtwecutors<br />

before making arrests, though in misdemeanor cases <strong>the</strong> asrcsting<br />

officer may issue <strong>the</strong>m.l8?<br />

Under <strong>the</strong> Penal Code, a suspect may not be held for more than four<br />

days Mlithout charge* Security officers solnetintes prevent families from<br />

visiting detainees during this confinement. After bur days, prosecutm<br />

must eitber release <strong>the</strong> suspect or file charges. If charges are filed,<br />

prosecutors may remand a suspect to m addfiional 21 days in detention,<br />

Prosecutors may also ubtain court orders for fur<strong>the</strong>r detention<br />

pending trial*Igs<br />

Detelrtion rules are djfferf-?m.t. fnr cases involving state security. fn such<br />

cases, pmsecutoss may bold a suspect in detention for six months, and a<br />

judge may authorize a longer confinement pending trial. After 21 days in


118 hranzz'lifaty and Internal Security Forces<br />

detmtion, a liefendant has <strong>the</strong> right to petition for his release in <strong>the</strong> State<br />

9czrrity Court. If <strong>the</strong> judge denies <strong>the</strong> mtion, <strong>the</strong> defendant may submit<br />

ano<strong>the</strong>r appeal 30 days <strong>after</strong> <strong>the</strong> rejection. In general, cases go to trial<br />

between 21) and 30 days <strong>after</strong> arrest. The State Department ports that<br />

<strong>the</strong>re is no evide~~ce of long-term incommunicado dete~~tian, though<br />

<strong>the</strong>re are about 30 detainees fachg deportation, especially fragi citizens<br />

and <strong>the</strong> Bidoon, who have been irm detention for more than a year.<br />

Appraximately 1,850 people were in prison in 1994, of whom 400 are in<br />

pretrial det@ntion.18"<br />

About 75 pexent of <strong>the</strong> detainees face administrative deportation<br />

orders which <strong>the</strong> Ministry of Interior can issue arbitrarily. There are no<br />

trials for deportations and deportees do not have " he process." The<br />

Government may eve1 nm-citizens, even those who have been longterm<br />

residents, if it considers <strong>the</strong>m security risks. The Governme~~t<br />

may also expel forei.pers if <strong>the</strong>y are unabIe to obtain or renew work or<br />

~siciency permits. The State Department reports that <strong>the</strong> Government<br />

deported 122 Iraqis and naticmals of countries that supported Iraq in<br />

<strong>the</strong> Gulf War (primarily Yemen and 1ard.m) in 1994, well below <strong>the</strong><br />

3993 level. The Government also routinely deported Iranians and o<strong>the</strong>r<br />

foreign nationals who have violated residency requirements or cammitted<br />

o<strong>the</strong>r offenses,lqO<br />

The judicial system is also part of <strong>the</strong> internal security system. It is<br />

composed of <strong>the</strong> regular courts, which try crirninal and civil cases, and<br />

<strong>the</strong> State Security Court, which tries cases of a security naturc; and <strong>the</strong><br />

Court of Cassation, M;hich is <strong>the</strong> highest level of jutJiciai appeal, During<br />

periods of martiai law, <strong>the</strong> Emir m y adhorize ditary courts to try civilian<br />

defendants, nere have been no martial-law trials since 1991. The<br />

Emir has <strong>the</strong> collstitutional power to padon or co ute all sentences."'"<br />

Both defendants and prosecutors may appeal verdicts of <strong>the</strong> State<br />

Securily Court to <strong>the</strong> Court of Cassation, but <strong>the</strong> appellate court may d y<br />

determine whe<strong>the</strong>r <strong>the</strong> lw was properly applied with respect to <strong>the</strong> sentence.<br />

The Court of Cassat-ion cannot rule on guilt or innucence. Most<br />

security trials are public, as was <strong>the</strong> case in <strong>the</strong> 19913: trial of 14 persons<br />

accused in <strong>the</strong> foiled assassination plot against fnrmer P~sident Bush. In<br />

Jw~e <strong>the</strong> State Scurity Court co~~victed I3 defendants and acquitted one,<br />

It sentenced six defendants to death and seven to prism terms ranging<br />

from six months to 1;Z years.<br />

The State Department reports that this tniali, like o<strong>the</strong>r security trials,<br />

did not meet internationally accepted standards with regard to an independmt<br />

judiciary and <strong>the</strong> evidence requied for proving criminal wrongdoing.<br />

It reports that <strong>the</strong> judges in martial-law courts have handed dokvn.<br />

several death sentences based on confessions iapparently uhtained under<br />

torture and that <strong>the</strong> courts later rr.hsed to reopen <strong>the</strong>se trials. 'The sen-


tences were., however, comxnuted to imprisonment ranging from 10 to 21)<br />

years. It also reports that <strong>the</strong> State 9curit;y Court ruled against excl~~dislg<br />

<strong>the</strong> confession of <strong>the</strong> 14 persons accused of attempting to assassinate for-<br />

mer US President George Rush-despite allegations raised by <strong>the</strong> defense<br />

that <strong>the</strong> cmfessions were obtained by torture.<br />

Freedom of Expression and PeacehX Dissent<br />

<strong>Kuwait</strong> allows mom freedom of expression than most o<strong>the</strong>r states in <strong>the</strong><br />

Guif md fie RRibdle East, although it again has powerful leg& toots to<br />

maintain internal security. The tl'S State Depnrtment reports that scveral<br />

laws eznpower <strong>the</strong> Government to impose restrictions on <strong>the</strong> freedom of<br />

speech and <strong>the</strong> p~ss, but <strong>the</strong> Goue ent did not apply <strong>the</strong>se laws in<br />

15394, The State Depart~aent also reports that academics conduct <strong>the</strong>ir<br />

activities with no appamnt censorship of <strong>the</strong>ir teaching, research, or writings,<br />

wbife subject to fie same restraints as <strong>the</strong> media with ~gard to criticism<br />

of <strong>the</strong> Emir or Islm. Ordinary ejtizens are free to criticize <strong>the</strong> Government<br />

at prrblic meetings and in <strong>the</strong> media.192<br />

ent ended di~ct censorship in 3992. Journalists still, however,<br />

censor thcmselv~, and <strong>the</strong> Press Law prohibits <strong>the</strong> puh)ication of<br />

direct criticism of <strong>the</strong> Emir, official government communications with<br />

o<strong>the</strong>r states, and material fiat "nzigbt incite people to commit crimes, create<br />

hatred, or spread dissension mong <strong>the</strong> people."lg3<br />

Newspapers are privately owned and are free to publish material on<br />

many social, ecmomic, and political issues. They frequently criticize<br />

government policies and officials, including <strong>the</strong> Prime Minister. Newspay-ers<br />

must, however, obtain an operating license horn <strong>the</strong> Ministry of<br />

Information. 'This licensing pwer allows <strong>the</strong> Government cmtrol over<br />

<strong>the</strong> establishment of new publications. The law also stipuldes that publishers<br />

may lose <strong>the</strong>ir license if <strong>the</strong>ir publications do not appear for six<br />

mmths. This ""six-montW rule prevents publishers from publishing sporadicdy<br />

and is not used to suspend or shut down existing nekvspapers.<br />

Tndividuals must dso obtain permission frm <strong>the</strong> Ministry of Information<br />

before publishing any prhted material, includi~~g brochures and<br />

wall posters. Foreign journalists are not censored md <strong>the</strong> Governfnemt<br />

permits <strong>the</strong>m open access to <strong>the</strong> camtry.<br />

The Gowemnt oms and controls <strong>the</strong> radio and television campnies,<br />

alt-hough <strong>the</strong> Middle East Rroadcastjng Con?pany and Egyptian television<br />

transmit to <strong>Kuwait</strong> without censorshiy. The gave<br />

inhibit <strong>the</strong> purchase of satellite dishes. Citizens with such devices are free<br />

to watch a vasiety of progranns, incluhg thosc broadcast from I~rael.1~4<br />

The Ministry of lnformatim has a Censorship Bpartnnent that reviews<br />

all books, films, videotapes, periodicals, and o<strong>the</strong>r imported publications.


120 hranzz'lifaty and Internal Security Forces<br />

In practice, such censorship is sporadic anci ahed mostty at morally<br />

offensive material; however, political, topics may be censored. The General<br />

Organization of Printing and Publishing controls <strong>the</strong> prirzting, publishing,<br />

and distribution of iz~formational materialely3<br />

There are addjtional limits on poljtical activi? and legal controls that<br />

allow <strong>the</strong> government to maintah internal securiy. All nm-governmentai<br />

organizatims (NGOs) artr illegal unless <strong>the</strong>y obtain a lieense from <strong>the</strong><br />

Ministry of Social hMairs and tabor. The Governrnelnt uses its power to<br />

license as a mems of political control, The Mlnistry bas registemd over 55<br />

NClOs, including professicmal groups, bar associaticms, and scientific<br />

bodies. 'These groups receive governnnelnt st~bsidies for <strong>the</strong>ir operating<br />

expenses. They must also obtain permission from <strong>the</strong> Minis try before<br />

attending international conferences. Since 1985 <strong>the</strong> Ministry has issued<br />

only two lkenses, incl~~dhg one in 1994 to <strong>the</strong> Union of <strong>Kuwait</strong>i Wornens%rouys,<br />

which is headed by <strong>the</strong> wife of <strong>the</strong> Crown Prince. The Ministry<br />

has not approved o<strong>the</strong>r reguests for licenses on <strong>the</strong> grounds that previnusly<br />

established NGOs already provi,de servi,ces similar to those<br />

proposed by <strong>the</strong> petitioners,<br />

'T"here are many private organizaticms wbose activities arc. largely<br />

ignored by <strong>the</strong> government, However, <strong>the</strong> Cabhet issued a decree in 1993<br />

ordering ali mregistered NGOs to cease such activitier;, md no osgmization<br />

has chalienged this decree in court. In Sptember, 1994, <strong>the</strong> Mi-nistry<br />

of Interior ordered three u~nregistered N'Gt)s to vacat-e <strong>the</strong> offices that<br />

<strong>the</strong>y had established in unused, governnnent buildings. The NGCk complied<br />

with <strong>the</strong> order. Zn banning <strong>the</strong>se unregistered NGOs, <strong>the</strong> gwernrnent<br />

sought to dissolve groups whose efforts were not coordinated with<br />

a governmnt committee workizlg for <strong>the</strong> release of missillg persons presued<br />

to be held in Iraq. The Government viewed such groups as poiitically<br />

unac~eptarble.'~"<br />

Treatment of Foreign Labor<br />

<strong>Kuwait</strong>i tabor Law does apply to <strong>Kuwait</strong>i nationals, but virtually all<br />

<strong>Kuwait</strong>i nationaf ei<strong>the</strong>r work for <strong>the</strong> government or in family busirtess. As<br />

a result, Kukvait's stabor legislation is largely a means of controll.ing foreign<br />

labor, although it has been applied to <strong>Kuwait</strong>is in a number of cases.<br />

This legislation provides for direct negotiations between employers<br />

and "laborers or Cheir representa<strong>the</strong>s" h <strong>the</strong> private sedo~ Most agreements<br />

are resolved in such negotiations; if not, ei<strong>the</strong>r party may petition<br />

<strong>the</strong> Ministry of Social Affairs and tabor for mediation. If mediaticm fails,<br />

<strong>the</strong> dispute is referred to a )ahor arbitration board cornpsed of officials<br />

from <strong>the</strong> High Court of Appeals, <strong>the</strong> Attorney Gmeral" oofiice, and <strong>the</strong><br />

Mhistry of Social Affairs and tabor.


The law limits <strong>the</strong> right to strike. It =quires all labor disputes to be<br />

referred to colnpulsory arbitration if labor and mnagelnent camot rclach<br />

a solution, The law does not have any provision guaranteejng that strikers<br />

will be free from any legal or administrative action taken against <strong>the</strong>m<br />

by <strong>the</strong> State, Two strikes wcurrcd in 19%. me was called by cleaning<br />

personnel in <strong>the</strong> school system for a pay raise, and a second by security<br />

guards at <strong>the</strong> Social Welfare Ilorne to cdlect unpajd wages, The majority<br />

of <strong>the</strong> strikers were foreign workers.<br />

<strong>Kuwait</strong>i law provides extensive protection for many classes of workers<br />

and Kwait does have <strong>the</strong> best developed trade union system of any<br />

country in <strong>the</strong> Gulf. Workers can join trade unions, and over 28,400 people<br />

were organized in 14 unions in 1994, 12 of which are affiliated. with<br />

<strong>the</strong> <strong>Kuwait</strong> Trade &ion E'ederation &WE;), <strong>the</strong> sole, legal trade union<br />

federation.<br />

At <strong>the</strong> same tirne, <strong>the</strong> government maintains powerful internal securiq<br />

controls over union activity. Xt rrstrkts <strong>the</strong> right of association by prohibithg<br />

all hvorkers knrn freely establisrhing trade unions. The law stipwlates<br />

that workers may establish only one union in any occupational<br />

trade, and that tbr unions may establish only one federation. The Bank<br />

Miorkers Unim and <strong>the</strong> Kukvait Airways workers Union are independent.<br />

The Governmnt has shown no sign that it would accept <strong>the</strong> establishment<br />

of more than ofie legal trade unicm federation. The law stipulates<br />

that any nekv unio~~ must include at least 100 workers, of whom at least<br />

15 are citizens. This reguirernent discourages <strong>the</strong> establishment of unions<br />

in sectors empl* few citizens, such as <strong>the</strong> construction industry and<br />

domestic servmts.197<br />

The governmnt subsidii.,es as much as 90 pescmt of most union budgets.<br />

It can inspect <strong>the</strong> financial records of any union, and prohibit any<br />

union from engaging in vaguely defined political or religious ac.li\rities.<br />

The courts can dissolve any union for violating labor laws or for threatening<br />

'"pubtic orcier and morals,f" The Emir may also dissolve a union by<br />

decree, By Law, <strong>the</strong> Minidry of Social Affairs and Labor is authorized to<br />

seize <strong>the</strong> assets of any dissolved unj.on. Althougtn no ranion has been dissolved,<br />

<strong>the</strong> law subordinates &c legal existence of unions to <strong>the</strong> power of<br />

<strong>the</strong> State.198<br />

As is <strong>the</strong> case in all <strong>the</strong> Sou<strong>the</strong>rn Gulf states, <strong>the</strong> treatment of foreign<br />

workers presmts sipificant pmblems in terms of both internal securiw<br />

and humm rights. Foreigners cmstit~re most of <strong>Kuwait</strong>" total work<br />

force and more than one-third of its unionized work force. Yet <strong>the</strong> law<br />

discrimhates against fomign workers by permitting <strong>the</strong>m to join unions<br />

only <strong>after</strong> five years of residency and only as non-voting members.<br />

Unlike uni.m members who are citizens, ioreign workers do not have<br />

<strong>the</strong> right to elect <strong>the</strong>ir leadership. The law =quires that union officials


122 hranzz'lifaty and Internal Security Forces<br />

must be citizens. The ILO has criticized <strong>the</strong> five-year residency repirement<br />

and <strong>the</strong> denial of voting rights for foreign workers. KTUF administers<br />

an Expatriate Labor Office which is authorized to inwstigate complairttti<br />

of foreign laborers and provide <strong>the</strong>m with free legal advice. Any<br />

.foreign worker m y suiilnnit a grievance to t-he I:.,abor Office, regardless of<br />

mien status,'*<br />

The Constiktion prohibits forced labor "except irr cases specified by<br />

lahv for ndinnal mergelncy and with just remmration." None<strong>the</strong>less,<br />

<strong>the</strong>re have been credible reports that ioreign nationals employed as<br />

domestic servants have been denittd exit visas requested without <strong>the</strong>ir<br />

employer's cmsent, Foreiw workers m y not change <strong>the</strong>ir elnployment<br />

without permission from <strong>the</strong>ir orig-inal sponsors.<br />

Oomeseic servants are particularly vulnerable to abuses, because <strong>the</strong>y<br />

are not protected by <strong>the</strong> Labor Law. h mmy cases employers exercise<br />

som controi over <strong>the</strong>ir servants by holding <strong>the</strong>ir passports, although <strong>the</strong><br />

ent prohibits this practice and has acted to retrieve pawports of<br />

maids invol\red in disputes.. By law, domestic servants who run away<br />

from <strong>the</strong>ir employers may be tmatcd as criminals. In some reported cases,<br />

employers ikgally L\lithheld wages from domestic scrrwants to cover <strong>the</strong><br />

costs involved in bringing <strong>the</strong>m to Kwvajt. The State Department reports<br />

that <strong>the</strong> government has done little, if anything, to protect domestics h<br />

such cases.2~)~


Strategic Interests<br />

Kwait faces serious strategic challenges. It must develop as effective a<br />

sdgdefense cap&ility as is possible; it must reinforce its strategic ties to<br />

<strong>the</strong> US as <strong>the</strong> ultimate guarmtor of its security; it must do as much as<br />

possible to rehfortle its ties to o<strong>the</strong>r Sou<strong>the</strong>rn Gulf states; and it must<br />

move to<strong>war</strong>ds political, social, and ecmomic reform.,<br />

The Challenge af Self Dclensle<br />

Kuwajt is aka* doing a lot to jmprove its self-defcnse capabilities. It<br />

must, however, deal with three serious problems if <strong>the</strong>se efforts are to be<br />

effective:<br />

* First, <strong>Kuwait</strong> needs to make hr<strong>the</strong>r reforms in <strong>the</strong> leadership of its<br />

armed forces, and firmly emphasize military professionalism even<br />

in ihe most senfor por;itions. <strong>Kuwait</strong>, more than any o<strong>the</strong>r Sou<strong>the</strong>rn<br />

Gulf state, faces urgent W~J. fighting needs. nese needs can only be<br />

met if promotion and rank are based. on competence, ra<strong>the</strong>r than<br />

family. T-hert. needs to be a much clearer understanding within <strong>the</strong><br />

highest echelons of <strong>the</strong> <strong>Kuwait</strong>i gover ent that <strong>the</strong> loyalty of modem<br />

armed forces is ultimately dependent on <strong>the</strong> belief by those in<br />

<strong>the</strong> armed forces that <strong>the</strong>y have a clear mission, that this mission is<br />

being efficiently and honestly funded, and that <strong>the</strong>ir leadership is<br />

<strong>the</strong> best leadership available,<br />

* Secclnd, <strong>Kuwait</strong> needs to stop politicizing its arms purchap;es. It<br />

needs rigorovls financial procedures, backed by ac<strong>the</strong> crim,inal prosecutjon,<br />

to ensure <strong>the</strong>re is no corruption in such purchases. There is<br />

no doubt that <strong>the</strong> West-especially <strong>the</strong> US and Britah-have<br />

aggressivrly oversold arms systems, asked <strong>Kuwait</strong> fnr unfair "burden<br />

sharing" purchases, and contributed to a clhate where some<br />

contracts have had dubious terms and kckbacks, <strong>Kuwait</strong> faces<br />

threats, however, which, arc too serious for such politics, and it needs


to demonstrate to its armed forces and its people that ""business as<br />

usual" does not extend to defe~~se.<br />

* Most important, <strong>Kuwait</strong> as a whole needs to understand that<br />

nothing <strong>the</strong> government and royal family does can be a substitute<br />

for a public comitment to sharing in <strong>the</strong> bwden Oj: defense and<br />

providing <strong>the</strong> manpwer <strong>Kuwait</strong> needs to make its forces effec-<br />

tive. <strong>Kuwait</strong> cannot be defertded by criticizing <strong>the</strong> governn-tent<br />

.from wit.hjn <strong>the</strong> security of a Diwania, or by hiring fnreigncrs to<br />

substitute far its sons,<br />

<strong>Kuwait</strong> has <strong>the</strong> capability to deal with <strong>the</strong>se challenges, but nei<strong>the</strong>r<br />

<strong>Kuwait</strong> nor its allies should have my illusions about <strong>the</strong> results* <strong>Kuwait</strong><br />

has no fowseeable prospect of being ahle to defend its own territory without<br />

external aid. It requires substmtial additional arms deliveries if it is<br />

to create even a limited regional deterrent or to acqui~ <strong>the</strong> levels oi<br />

mlanitinns, weapons, and military facilities to albw ei<strong>the</strong>r an Arab or US<br />

force to come to its aid. Wthout such arms imports, <strong>Kuwait</strong> will be hopelessly<br />

weak, Fur<strong>the</strong>r, <strong>Kuwait</strong>" forces will rcmah dependent on foreigsr<br />

technicians and suppmt during <strong>the</strong> next decade. It will be una:ble to use<br />

its arms agaiinst any nation without supplier assistmce, although Iran<br />

and Iraq could operate many <strong>Kuwait</strong>i weapons systems if <strong>the</strong>se we=<br />

seized in a future invasion.<br />

The Challenge al Regional Cooperation<br />

The G& Cooperation Comcil has set good goals, but its membcrs have<br />

hiled to support <strong>the</strong>m. Regional cooperation offers no near or mid-term<br />

prospect of offering <strong>the</strong> kind of reinforcements that could &kd <strong>Kuwait</strong>'s<br />

nor<strong>the</strong>rn border. 'The unfortunate fact is that <strong>the</strong> Sou<strong>the</strong>rn Gulf states are<br />

hiling to make practical progress in virhally every major m a of colfec-<br />

tive defense. While individual states and <strong>the</strong> Gulf Cooperafion Council<br />

have sometimes shown &at <strong>the</strong>y are capable of formulathg <strong>the</strong> right<br />

plans md hetosic, <strong>the</strong>y have ei<strong>the</strong>r not made sufficient progress or have<br />

failed to make any pmgress in many prioriv aws. 7'he Sou<strong>the</strong>rn Gulf<br />

states need to dewlop collective or integrated defcnse capat?ili.lries by:<br />

* Creating an effective p1 ing system for cotlecti\le defense, and<br />

truly standarctized and or htemperable forces.<br />

* Integrathg C" md sensor nets for air and naval combat, including<br />

BVR and night <strong>war</strong>fart...<br />

* Creating joint air defense and air attack capabilities,<br />

* Establishing effective cross reinforcement and tactical mdility<br />

capabilitjes,


Setting up joint training, support, and infrastntcbre fadities.<br />

Creating joint air md naval strike forces.<br />

* Deplqhg joint land defenses of <strong>the</strong> <strong>Kuwait</strong>i/Northwestern Saudi<br />

borders, Today" Peninsula Shield force is more farce &an force. It<br />

has political value, but negligible \.varCighting capability aga,inst<br />

Iraqi armor.<br />

Preparing for outside or over-<strong>the</strong>-horizcm rr.inforcerncmt.<br />

Creating common advanced traiining sy&ems.<br />

* Improved urban and urban area security for unconventional <strong>war</strong>-<br />

fare and low intensity combat.<br />

They need to pmcure interoperable or standardized equipment to pro-<br />

vide <strong>the</strong> capabiliv to pe'fom <strong>the</strong> follwing missions:<br />

* FXeavy armur, artillery, attack helicopters, and mobile air defense<br />

equipment fnr defense of <strong>the</strong> upper Gtlff.<br />

bteroperilbility md stmdardbation with US power pr4ectian forces.<br />

* Interoperable offensive air capability with stand-off, dl-wea<strong>the</strong>r<br />

precision weapons and anti-armor / anti-sh* capability.<br />

a Intempesat?le air defense eqwipment, includiag heavy surface-to-air<br />

missiles, BVRIASIVX fighters, AEW & surveii_lanre capability, A M<br />

& ECM capability. (Growth to h'TRM and cruise missile defense<br />

capability)<br />

* Maritime surveillance systems, and equipment for defense against<br />

maritkne surveillmce, and unconventional <strong>war</strong>fare.<br />

Mine dtztedian md clearhg systems.<br />

* Improved uhan, area, and. border securily equipment for uncon-<br />

ventional tvarfare and low intensity conflict.<br />

Advanced trahing aids.<br />

* Suppart and sustai<br />

<strong>Kuwait</strong> and its GCC parhers also need to develop coordinated pro-<br />

curcment plans to eliminate <strong>the</strong> waste of defenae on:<br />

a Uniyue eqzt@mnt types and one-of-a-kind modificatio~zs,<br />

* "Glitter factor" wweapons; '"developmental" equipment and technol-<br />

ogY*<br />

a Non-interoperable weapons md sy "ems.<br />

* Submarines and ASW systems.<br />

Major surface <strong>war</strong>fare ships.<br />

a Major eqwipment for divided or "dual" forces.<br />

* New types of equipment whirh increase <strong>the</strong> maintenance, sustain-<br />

ability, and training prohkm, or layer new types over old.


W~ik outside Arah forcles could help secure <strong>Kuwait</strong>, Egypt is <strong>the</strong> only<br />

Arab nation that has <strong>the</strong> potential strength to provicle <strong>Kuwait</strong> with <strong>the</strong><br />

kind of sustajnahle and combat effective fasces needed to deal. with Iray,<br />

and Egyptian forces are not structwd to prowide this kind of power projectinn<br />

force. Even if Kukvajt: and Egypt rcactned a political and fil-tancial<br />

agreement, Egypt lacks any thing approaching <strong>the</strong> high technology power<br />

projection capabilities of <strong>the</strong> tlnited States.<br />

At <strong>the</strong> same time, every improvement in regional cooperatio~~ will be<br />

important, particularly within <strong>the</strong> Gulf and between <strong>Kuwait</strong>., Saudi Ara"<br />

bia, and Bahrain. <strong>Kuwait</strong> and Saudi Arabia need to coordinate tiffhtiy on<br />

lmd defense, At <strong>the</strong> same timef <strong>Kuwait</strong>, Saudi Arabia, and Bhrain need<br />

to integrate <strong>the</strong>ir air md missile defenses, air strike-attack capabilities,<br />

and rnaritirne surveihce, rnine <strong>war</strong>farcl, and surface defense capabilities.<br />

.hfl three states need to recog~~ize that <strong>the</strong> GCC is not enough, that<br />

<strong>the</strong> Peninsular Shield Force will only be as strong as its <strong>Kuwait</strong>-Saudi<br />

component, and fiat it is <strong>the</strong> mukal cooperation among Bahrai~~,<br />

<strong>Kuwait</strong>, and Saudi Ara:bia which will shape <strong>the</strong> mnst important elemmts<br />

of <strong>the</strong>ir deterrent and defense capa"agities, and abjliv to support reinforcements<br />

from fie Wst.<br />

The Challenge of Kegations<br />

with <strong>the</strong> United States and <strong>the</strong> TnJest<br />

KuwaiWvvill myuirts <strong>the</strong> support of US and othr Western forces in any<br />

serious crisis with Iraq and Iran until wefl <strong>after</strong> <strong>the</strong> year 2030. <strong>Kuwait</strong><br />

understood this when it signed a 10 year joint defense agreement with<br />

<strong>the</strong> US on September 19,1991. This agreemat allowed <strong>the</strong> US to prep0sition<br />

stocks and eyuipment m <strong>Kuwait</strong>i soil and to deploy a squadron of<br />

combat aircmA ia <strong>Kuwait</strong> while giving <strong>the</strong> US access to its ports and airfields<br />

in an emerlfency<br />

The agreement required <strong>Kuwait</strong> to pay <strong>the</strong> US $215 maim for prepositios~hg<br />

aid and support, including $50 miltion in 1992. Prepositioning<br />

was to include <strong>the</strong> equipment for three armored companies and three<br />

rnechmized ccmlpanies, hclutling 58 M-3A2 tanks, M-2s, artrllery and<br />

o<strong>the</strong>r equipment, plus <strong>the</strong> construction of some $125 million in storage<br />

and reception facilities. A new US Army storage area is being constructed<br />

some 40 kilometers south of <strong>Kuwait</strong> City.201<br />

The qreernent also provided fos jnjnt training. Ktlcvaiti and US forces<br />

cmpleted two joint exercises by Ma)r; 1932. C)ne involved 2,300 Marines<br />

and <strong>the</strong> 0th- 1,000 special forces. It bas conthued regular joint exercise<br />

tsajning ever since. The US also held its first joinl rnititary command exercise<br />

with militar). commanders from <strong>the</strong> GCG states in <strong>Kuwait</strong> in December,<br />

1994. O<strong>the</strong>r series of exe~ises include Iris Gold, Eager, Eager Archer,


I-lomelmd Shield, tntrinsic Action, and Native Fury. Many of <strong>the</strong>se series<br />

hvolve Britain md France, as well. as <strong>Kuwait</strong> and <strong>the</strong> US.202<br />

The need for strategic cooperation between <strong>the</strong> <strong>Kuwait</strong> and <strong>the</strong> US<br />

became atl too clear in August and Srptember of 1992. The confrontation<br />

between Iraq and <strong>the</strong> UN over <strong>the</strong> eliminat-ion of weapms of mass<br />

destruction, and :Iraq% ttreatment of its Shi5tes and Kurds, forced <strong>the</strong> US<br />

to transform US Army, Make Corps, and Navy exercises into a demon-<br />

stration that Ihe US would protect Kucvajt agakst any military adwen-<br />

tares by :Iraq, The US had to msh Patriot batteries to both <strong>Kuwait</strong> and<br />

Bahrain, It also conducted a test pre-positiming exercise cafZed Native<br />

Fury 92, deployed a 1,300 mm battalion from <strong>the</strong> 1st Cavalry Division,<br />

and conducted an amphibious reixrforccment exercise called Eager Mace<br />

92. It depbyed 1,400 Marhes and 2,400 soldiers, includillt; two armwd<br />

and two mecfimized compmies,zQ3<br />

This need for joint exercises became even more apparent in October,<br />

1994, when lraq mwed its Hammurabi and AI Nida Republican Guards<br />

divisions sou& from <strong>the</strong> area around Baghdad to positior~s about 20 kilometers<br />

from <strong>the</strong> border with Kuwai.t, Although Iraq backed down, and<br />

agreed to withdrw its forcles on October 9,1994, this crisis made it clear<br />

that <strong>the</strong> rnititary bc-ltance in <strong>the</strong> Gulf is shaped by a contbination of US and<br />

<strong>Kuwait</strong>i actions and not by <strong>the</strong> GCC or mified action by <strong>the</strong> GCC.<br />

The October, 1994 crisis again exposed <strong>the</strong> fact that Kwait had virtually<br />

no strategic depth, and that both Iraq and Iran codd rapidly thrcaten<br />

<strong>Kuwait</strong> in a crisis. It demmskated <strong>Kuwait</strong>'s inabjlity to act alone, and<br />

that <strong>the</strong> Gulf states must do everything possible to reduce <strong>the</strong> problems<br />

<strong>the</strong> US faced in deploying its foxes, even with prepositio~zhg.<br />

While <strong>the</strong> US was better prepared on this occasion for rapid movement<br />

than in 1990, it took 72 to 96 hours for <strong>the</strong> first combat aircraft to<br />

arrive. The closest US prepositiorri~~g ships were six days sailing away<br />

h Diego Garcia, and it took well over a week for US Army forces in <strong>the</strong><br />

US to move by air, fully deploy to <strong>the</strong>ir prepositioned equipment in<br />

<strong>Kuwait</strong>, and move to <strong>the</strong> border area in combat s~~stainable form.<br />

While US power projection capabilities for mid-to-hi& intensity <strong>war</strong>fart?<br />

were not tested during this confrontation with Iraq, <strong>the</strong> US Army<br />

later issued briefings that indicated that even, with all, <strong>the</strong> force<br />

improvements <strong>the</strong> US had progrannmed for 1998, it would still take 30<br />

days to fully deploy two sustainable heavy &visions and one light<br />

division, and '73 days to depIop <strong>the</strong> lcir~d of five division corps called<br />

for in its Major Regional Contingency strategy.204<br />

Fur&er, <strong>Kuwait</strong> and <strong>the</strong> US were confrcmted by new irrdications of<br />

Iraqi mnvernents against Ku'cvajt. in i\rugust and %ptember, 1995. These<br />

indications led <strong>Kuwait</strong> to create a new security zone near its capital, and<br />

<strong>the</strong> US to rush naval reinfortlements and maritirne pregositioning ships to


<strong>the</strong> Gulf. 7'he US deployed a total of 12 prepositioning ships from Diego<br />

Garcia and o<strong>the</strong>r locations to <strong>the</strong> Gulf, with elnough armor, artillery, food,<br />

fuel, water, vehicles, and o<strong>the</strong>r eyujpmmt to sustajn a 16500 Marine<br />

Corps MEF (Forwad), and a 35,000-17,OW man US Army force in cornbat?"<br />

"ey also led Kukvait and <strong>the</strong> US to advance <strong>the</strong> date of a large<br />

amphibious exercise called Eager Mace 96-1 to deter any Iraqi rnoves.~~~<br />

The US and <strong>Kuwait</strong> cooperated again in January, 1996, when US intrelligene<br />

concluded that Iraq had brought five armored &visions to sufficient<br />

readiness to deplq to <strong>Kuwait</strong> with only five hours notice. The US<br />

deployed 12 prepositioning ships nough to equip a Marine Division<br />

and a US Army Brigade-ink <strong>the</strong> GLE~~. The US did not setnd troops, but<br />

this move allowed <strong>the</strong> US to deploy up to 20,000 troops m short notice.<br />

I'he US atso depfoyed additimal combat aircrafl to Bahrain and <strong>Kuwait</strong>,<br />

md extended a jobnt exercise wif-;h <strong>Kuwait</strong>.<br />

The t"S already had some 20,000 troops in <strong>the</strong> Middle East area, and<br />

deployed 35 ships, and 14,000 sailors and US Marines, in its Fifth Fleet<br />

between <strong>the</strong> Suez, Canal md hdian Ocean. "ese forces hcl~~ded <strong>the</strong><br />

Nirnifz carrjep battle group, and a Marine Corps amphibious ready grwp.<br />

It is interesting to note that <strong>the</strong> US only had 250 naval personnel stationed<br />

permanently ashore in Bahrah.207<br />

It is clear, <strong>the</strong>dore, that Krawaiti strategic cooperation with <strong>the</strong> US will<br />

be critical in <strong>the</strong> years to come, as will efforts to provide adequate power<br />

projection md rapid response capabilities. <strong>Kuwait</strong> and <strong>the</strong> US have<br />

already demonstrated that <strong>the</strong>y can work well toge<strong>the</strong>r, but this cooperation<br />

can oniy be successful if <strong>the</strong> o<strong>the</strong>r Sou<strong>the</strong>rn Gulf states provide<br />

equal support, particdarly in improbring US prepctsitianing and rapid<br />

deployment capabilities,<br />

Although less urgmt, <strong>Kuwait</strong> must also ercpmd its strategic relations<br />

with o<strong>the</strong>r countries. This is a challenge that <strong>Kuwait</strong> has done a goad job<br />

of meeting. Xt has sigsled four defense aglleements with <strong>the</strong> UM since 1991.<br />

It siped one 10 year pact with <strong>the</strong> UK on March 11,1942, which covers<br />

technical and training assistmse and bilateral exercises and trilateral<br />

exercises between <strong>Kuwait</strong>, <strong>the</strong> UK, and <strong>the</strong> US* These exercises have<br />

already incIuded Blue Falccm, Free 5kyf Eager Mace, and Eager Sentq. It<br />

signed ano<strong>the</strong>r agreeme~nt on August 31, 1992 for techical cooperation,<br />

and an arms sales protocol on September 22,1992. It reached a contracting<br />

agreemat on December 2, 1992.2m<br />

<strong>Kuwait</strong> reached its first defense agreement with France in 1969, and<br />

made several major purchases of French arms in <strong>the</strong> 1970s md 1980s. It<br />

siped two new agreements <strong>after</strong> <strong>the</strong> Gulf War on August 18, 1992, and<br />

etoher 18, lf993. The first agreement provided for technical assistance,<br />

modemizatian of <strong>the</strong> <strong>Kuwait</strong>i Navy, and joint rnaneuvers like Gulf Pearl<br />

and Pearl of <strong>the</strong> West. The second agreement established new legal con-


ditions for arms sales. <strong>Kuwait</strong> holds rczgutar hnd and naval exe~ises<br />

with France, and began joint air exercises with France in Jme, l"394.2W<br />

<strong>Kuwait</strong> established diplomatic relations with Russia in 1963, and<br />

siped arms sales contracts with Russia in 1975 and 1982. It siped an<br />

agrement with Russia on February 14, 1993, covering <strong>the</strong> exchange of<br />

military delegations and inhrmation, and a cooperation agreement on<br />

arms sales and joint exercises on November 29, 1993, <strong>Kuwait</strong> has since<br />

carried out Exercise Rkka with Russia, and signed a major arms sdes<br />

contract on August f3,1994. <strong>Kuwait</strong> signed an agrctement with China on<br />

Mmh 24,3995, under which China will provide Kwait with aid to reor-<br />

ganize its arm& forces, It has atso held three joint exercises with Che Itat-<br />

ian Navy sisrce 1991.210<br />

<strong>Kuwait</strong>" security ties to <strong>the</strong> West are critical to <strong>Kuwait</strong>'s future secu-<br />

rity. They do, however, present problems that bath <strong>Kuwait</strong> and its allies<br />

must deal with in <strong>the</strong> future:<br />

The first problem is that such ties create <strong>the</strong> risk that <strong>Kuwait</strong> will<br />

become so dependent on states outside <strong>the</strong> region that it will not<br />

property devdop its own defase capabilities, will become ovcrreliant<br />

or1 otltside su,pport for low-level security cont.jngencks that<br />

require a constant <strong>Kuwait</strong>i effort and immdiate =action, and. will Jail<br />

to assert its own sove~ipty Some of <strong>the</strong> National Assembly debates<br />

over defe~~se are a <strong>war</strong>ning that this may already be happening.<br />

* The second is that dependence m <strong>the</strong> West will lead. <strong>Kuwait</strong> to<br />

under-emphasize <strong>the</strong> importance of couective securiw with Bahrain<br />

and Saudi Arabia, and <strong>the</strong> need to at least try to expand <strong>the</strong> capabilities<br />

of <strong>the</strong> Gulf Cooperation CounciL So far, Kuwa-it has sought to<br />

expad its collective securiiy &forts, but it atmost certainly needs to<br />

do more.<br />

* The third is that tics to so many countries will encourage buyislg<br />

arms from wery possille source md politicizing arms purchaz~t<br />

<strong>the</strong> expense of standardization, intemperability effective~~ess, and<br />

waste. The prclvious discussion of fiwait's arms purchases provides<br />

a nurnber of indications that this is becoming a serious problem.<br />

The foutth is that <strong>Kuwait</strong>'s growing dqendence on <strong>the</strong> US will lead<br />

<strong>the</strong> US to abuse its hurben-sharhg negotiations with <strong>Kuwait</strong>, and to<br />

seek more su~port than is really merited. nere are strmg indicatims<br />

that <strong>the</strong> US is akeacliy abzlsk~g its burden-sbaring negotiat-io~w and is<br />

askixlg for payments for very dubious charges, such as '"eprcciation'kn<br />

<strong>the</strong> carrier battle gmup"t has deployed to <strong>the</strong> Guf.<br />

nere is no reason <strong>Kuwait</strong> camot deal with <strong>the</strong>se problems if both its<br />

leadership a d <strong>the</strong> National Assembly art? wiilfng to accept <strong>the</strong>ir impor-


tance. <strong>Kuwait</strong>% leaderhip already seem to understand what needs to be<br />

done, The question is whe<strong>the</strong>r its National Assembly can look beyond <strong>the</strong><br />

role of critic and focus on <strong>the</strong> nation" strategic priorities.<br />

The Challenge of Internal Refam<br />

No nation can be secure, or meet its strategic needs, without meeting <strong>the</strong><br />

needs of its own people. Ku'cvait has done well in adapting to <strong>the</strong> challenges<br />

of reconstruction, and. its economy is mcovering, but <strong>Kuwait</strong> faces<br />

fie same need to make internal reforms its <strong>the</strong> a<strong>the</strong>r Sou<strong>the</strong>rn Gulf<br />

states. Ku'cvait must develop its own mswer to <strong>the</strong> probkrn of increasing<br />

popular participation in political decision-making, <strong>Kuwait</strong> must<br />

rt?defiMr its citizenship to include many of its Ridom and long-term "foreign"<br />

~sidents.. It must simultaneously reduce its dependence on foreign<br />

labor, create more jobs for <strong>Kuwait</strong>is, and privatize much of its economy.<br />

It must adopt fiscal forms and replace an unaffordable welfare<br />

state with a new mix of social services md a much larger and more cornpetitive<br />

private sector.<br />

This is mt to argue that <strong>Kuwait</strong> must copy Western social, economic,<br />

and political practices. In fact, atl of <strong>the</strong>se reforms have been advocated<br />

by many <strong>Kuwait</strong>is and arc already <strong>the</strong> subject of public debate in <strong>Kuwait</strong>.<br />

The problem in <strong>the</strong> GulE, however, is rarely expertise anci intelligence, it<br />

is ra<strong>the</strong>r <strong>the</strong> need for cmmitment and action. It is also <strong>the</strong> understmding<br />

on <strong>the</strong> part of its intellectuals, politically active citizms, and technocrats<br />

that "'reform" involves far more t-t~an simply criticizing fie<br />

nati.onfs leaders or seeking added political powec <strong>Kuwait</strong>'s s~nall population<br />

and. wealth give it more <strong>the</strong> in which to carry out such internal<br />

=forms than is available to many of its neighbors. Even so, this time is<br />

measured in years and not in decades.<br />

As has been discussed earlier, <strong>the</strong>se reforms should include efforts to:<br />

a Reduce dependence 811 welfxel and Rserve subsidies only for its<br />

poor citizens. Water, electriciw, motor gasoline, basic foods, and<br />

many services need to be priced at market levels and subsidies to citizens<br />

need to be replaced with jobs md eco~~omic opportunities.<br />

* Force radical reductims in <strong>the</strong> nurnber of foreign workers, with priority<br />

for rczductions in servants and in trades that af2ow <strong>the</strong> most<br />

rapid, conversion to native labor* Charge high fees for fo~ign Labor<br />

permits and force all foreign labor to pay not only <strong>the</strong> cost of all govent<br />

services, but pay a premium over cost.<br />

a Force social changes in kwait by eliminating guaranteed employment<br />

in <strong>the</strong> government and ensuring that government salaries lag<br />

sharpfy behind those in <strong>the</strong> private sector. <strong>Kuwait</strong>'s young and wefl-


educated poputation needs to be givm jobs, and <strong>Kuwait</strong>i society<br />

must adapt to <strong>the</strong> rcality that its present dependence on forcign<br />

labor is a major threat to <strong>Kuwait</strong>" nnational identity and security.<br />

* Educate <strong>Kuwait</strong>is to regard g m ent jobs as having 1w status<br />

and to understand that most government jobs are now a net liability<br />

to <strong>the</strong> <strong>Kuwait</strong>i economy Freeze and <strong>the</strong>n reduce <strong>the</strong> number of civil<br />

servants. Restructure and down-size <strong>the</strong> civil service to focus on<br />

productive areas of activity wi& a much smaller pool of Irranpower.<br />

Cut back sharply on state employees by <strong>the</strong> year 2000.<br />

* Restmcture <strong>the</strong> educational system to focus on job train% and cornpetitiveness.<br />

Create strong new illcentives or faculty and students<br />

to focus on job-related education, sharply down-siz o<strong>the</strong>r forms of<br />

educational funding and activity, and eliminate high owerhead educational<br />

activities with~u"f:co~~omic benefits.<br />

* Eliminate economic disincentives for employers hiring native labor,<br />

and create disincentives for hiring foreign labor.<br />

* Shift all govcmment impacted goods md services to rnarket prices.<br />

Remove distortions in <strong>the</strong> economy and underpkchg oi water, ail,<br />

and gas.<br />

* Implement extensive privatk,.t.ion to increase <strong>the</strong> efficiency of<br />

Kuwai"t investments in downstream and upstmam operations. Create<br />

real jobs and career opportunities fnr native <strong>Kuwait</strong>is, and open<br />

jnvestmelrt opportunikies up to a much wider range of: investors.<br />

Kuwaifilnas alrcady begun this process but it needs to be sharply<br />

accelerated to remove productive activity from govemmmt control.<br />

At <strong>the</strong> sme time, privatization must be managed in ways that<br />

ensure afl <strong>Kuwait</strong>is an opporh;tnity to share in <strong>the</strong> privatization<br />

process. It should not he conducted in a way that benefits only a<br />

small elite group of jnvestors md discourages popular confidence<br />

and willhgness to invest in <strong>Kuwait</strong>.<br />

* Stop subsidizing <strong>Kuwait</strong>i businesses in w~ which prtrvent realistic<br />

ecmornic growth md develoipment, md which deprive <strong>the</strong> government<br />

of revenue, Present policies strongly favor <strong>Kuwait</strong>i citizens<br />

and <strong>Kuwait</strong>i-owned companks Income taxes are only levied on foreig11<br />

corporations and foreign inte~sts i,n <strong>Kuwait</strong>i corporations, at<br />

rates that may range as high as 55 percent of net income.<br />

* Tax ean~jngs and sales with progressive tartes that rc3duce or elhinate<br />

budget deficits, encourage lcxal investment, md create strong dishccntives<br />

for <strong>the</strong> expatriation of capiifal, including all foreig holdings<br />

of capital anci property by members of elite and ruling hmfiies. This<br />

will. pvide a key source of' revenue, and make <strong>the</strong> distribugon of<br />

income more equitable. <strong>Kuwait</strong> needs to ensure that wealthier<br />

KuwaWs make a poper mntribu~~n to social services and deknse.


* Ahw foreign investmnt on mcrw competitive terms. <strong>Kuwait</strong> currclnlly<br />

allows foreign investmnt in lixnited sectors of Ihe economy,<br />

in minority partnerships, and on terms compatible with continued<br />

<strong>Kuwait</strong>i control of all basic economic activities. Some sectors of <strong>the</strong><br />

ecmorny-includhg oil, banking, ins~~rmce and real, estate-have<br />

traditionally been closed to foreign investment, Foreigners (with. <strong>the</strong><br />

exception of naticmals from sow GCC states) are not permitted to<br />

trade in <strong>Kuwait</strong>i stocks on <strong>the</strong> <strong>Kuwait</strong>i Stock Exchange, except<br />

through <strong>the</strong> medium of unit trusts, Protection shodd not, however,<br />

extend to <strong>the</strong> point where it elinninates efficiency and competitiveness,<br />

or restricts eco~zomic: expansio~z. Foreign nationals, who represent<br />

a majority of <strong>the</strong> population, are prohibit.ed fmm having majority<br />

ownership in virtually every business o<strong>the</strong>r than certaill smafi<br />

service-oriented bushesses md may not own property (<strong>the</strong>re are<br />

som exceptions for citizens of o<strong>the</strong>r GCC states), <strong>Kuwait</strong> needs to<br />

act on proposals such as allwing foreip equity particripation in <strong>the</strong><br />

bankhg sector (up to 40 percent) md h <strong>the</strong> upstream oil sector<br />

(terms still to be determined).<br />

* Refom <strong>the</strong> structurt. of tbr budget to ensure that most of <strong>the</strong><br />

nation" revezzues md foreign reserves md earnhgs are integrated<br />

into <strong>the</strong> national budget and into <strong>the</strong> planning process. Clearly separate<br />

royal and national income and investment holdings.<br />

* Place sharp limits on <strong>the</strong> transkr of state funds to princes and members<br />

of <strong>the</strong> royal family outside <strong>the</strong> actual mhng fmily, and trans-.<br />

fers of unearned income to members of o<strong>the</strong>r leading families.<br />

Elnszxre that such hily rnmbers are fully taxed on all incorn and<br />

investments.<br />

* Ensure that all income from enterprises with state financing is<br />

rclflected in <strong>the</strong> na.t.ional budget and is integrated into <strong>the</strong> nati.onal<br />

economic development and planning program.<br />

* Establish mthlcssly demanding market criteria for evaluatirrg and<br />

makhg all major state and state-supported investments. Require<br />

state investments to offer a conclusively bigher rate of return than<br />

private investments. Demanli detailed and independent risk assessment<br />

md projections of comparative return on hvest.nnent, with a<br />

substantial penlalty for state versus privately funded projects and<br />

venturczs. Dawn-size <strong>the</strong> scale of programs to =duce investment and<br />

cash flow costs md <strong>the</strong> risk of cost-escalation.<br />

* Create new incmtives to invest in local hdustries and business and<br />

disincentives for <strong>the</strong> expatriation of capital.<br />

* Create nnarket driven incentives for fo~ign in\restment in major oil<br />

and ga~rOjects, refinerigs, and petrochemical operations. Avoid offset<br />

~quirements that simply create disguixhemployment or


non-competitive vmbres that act as a fur<strong>the</strong>r state-spcmsored distortion<br />

of <strong>the</strong> economy<br />

* Establish a firm rule of law for all property, cmtract, permitting, and<br />

business activity and reduce state bureaucratic and permitting barriers<br />

to private hvestment.<br />

* Place nationd security spending on <strong>the</strong> same basis as o<strong>the</strong>r state<br />

spending, and fully impleMent <strong>the</strong> law <strong>the</strong> Nationai Assembly<br />

passed in 1,993 to insure that all direct and indirect defense costsincluding<br />

arms-are reflected in <strong>the</strong> national budget. htegrate it<br />

fuify into <strong>the</strong> nationat budget, including investment and equipment<br />

purchases..<br />

* Replace <strong>the</strong> present eznphasis on judging ams purchases of <strong>the</strong><br />

basis on initial procmement wsts a d technical featurlts with a M1<br />

assessment: of life cycle cost-including training, maintenance, and<br />

Ifacilities.<br />

* Cease buying arms in an effort to win outside pohtical support and<br />

establish speejfic proccdurcs and wgulations for evaiuating <strong>the</strong><br />

value of standadization and interoperability with existing national<br />

equipment and facilities, those of o<strong>the</strong>r Gulf states, a d those of <strong>the</strong><br />

US md o<strong>the</strong>r power projection forces.<br />

* Subject all offset proposals relating to govement military and<br />

non-military expenditures abroad to <strong>the</strong> same risk a d cost-benefit<br />

analyses used by <strong>the</strong> private sector, and create independent auditing<br />

procedures to ensure that offsets do not become a cmcealed<br />

ent sutnsiciy or a way of benefiting i~~flrrential gwe<br />

officials.<br />

* Expand <strong>the</strong> number of voters for <strong>the</strong> National AssemhIy, Cmtirtue<br />

to allow <strong>the</strong> ercpansian of golitid activity to ensure <strong>the</strong> peaw"ful resolution<br />

of internal economic d&ates.<br />

* Deal with <strong>the</strong> issue of <strong>the</strong> Bidom and expand citizenship to de facto<br />

<strong>Kuwait</strong>is,<br />

* Create a l011g-term pl ing effort focusing on periods five, ten, and<br />

hnienty years into <strong>the</strong> future to set goals for <strong>Kuwait</strong>" social, economic,<br />

and military development, with special attentim to <strong>the</strong> problems<br />

of- pop"latio11 growth, reducing depertdence on foreign labor,<br />

dkersifying <strong>the</strong> economy, and lhkirtg developmnt to a clear set of<br />

social goals. Use cmtingency and risk analysis, not sirnp?w growthoriented<br />

models.


Notes<br />

Chapter 3<br />

1. Oil altd Cos Jclumnl, September 23,1991, p. 62; 6; and IEA, Middle East Oil and<br />

Gas, Paris, BECL)/IEA, 1995, Annwes 16 and 27.<br />

2, The military manpower, force strength, and equipment estimates in this section<br />

are made by <strong>the</strong> author using a wide range of sources, including computerized<br />

data bases, interviews, and prss clipping wrvices. Most are impc~ssible to<br />

reference in way~of use to <strong>the</strong> reader. The force strength statistics are generally<br />

taken from interviews, and from <strong>the</strong> sources reference for each paragraph. The<br />

data for <strong>the</strong> pre-Gulf LZrar estimates also draw heavily on his Ttze Gulf alzd <strong>the</strong><br />

S~"arcI.1 for SIrn tegk Sf.la biEify (Boulder, Wesb~iew, 4984) and Thc Czav mzd f k West<br />

(Boulder, Westview, 1988).<br />

Extensive use has also been rnade of <strong>the</strong> annual editions of <strong>the</strong> International<br />

Institute for Strategic Studies 1CTz'litlal.y Bala~ee (IfSt;, London), in this case, <strong>the</strong><br />

1995-1996 edition, and of <strong>the</strong> Jaffee Center for Strategic Studies, The Military Bnlancc<br />

in Ik Middle East UCSS, Tef hviv), especially <strong>the</strong> 4994-1995 edition and working<br />

materials from <strong>the</strong> coming edition. Material has also been drawn from cornputer<br />

print outs from NEXIS, <strong>the</strong> United States Naval Institute data base, and<br />

from <strong>the</strong> DMS/FI Market Intelligence Reports data base, O<strong>the</strong>r sources include<br />

jn~~eS Defe~se Wcekty, December 14, lli391, p. 1174, March 28, 1992, pp. 52s531;<br />

New York Tijfi~~es, January 14, 1992, p. 4; tondon Financial Ti"?nes, July 8, 1991, p. 3,<br />

Janua~ 7, 1992, p. "4 Defense Nezus, February 10, 1992, g. 38; Theodore Crajg,<br />

"<strong>Kuwait</strong>: Background, Restoration, and Questions for <strong>the</strong> Unit& States," Congressional<br />

Research Sewice, 91 -2&8F;, May 21, 1992; Department of Defense, Conduct<br />

of flze Persian Gulf' Wn1;. Firznl Report IQ CLI~Z~~@SS, Washington, Department of<br />

Defense, AgriX, 1992, pp. 2-10; Mililla~y Eclznofo~ "World Defense Almanac for<br />

4991-1992,'' published in early 1992; Foreign Affairs Division, ""Middle East Arms<br />

Control and Rel ated Issues," Washingon, Congressional Research Service, 92 -<br />

384E May 1, 1994; and Middle East Eco~zomic Digest., ""Special Report: Defense,,""<br />

Volume 35, December 13,1991,<br />

Weapons data are taken from many sources, including computerized material<br />

available in NEXTS, and various editiom oE]aneS Figjzti~tg Ships Oane's Publishing);<br />

Iafiznc's Naval Weapons Syslenfs (Jane's Publishing); JaneS Annor n~zd Artillery (Janers<br />

Publishing); lane's I~gn~~kjy Weayot~~ Uane's Publishing); jar~e's Milz'lnjy Vehicles arzd<br />

Logistics tJane's Publishing); jnne's Land-Blase Air Defense (Jane" Publishing); ]one3<br />

All tfzc Worldf$ Aircraft Uane's Putxbshing); Jnrle's Bntf Eefield Sz~rvcillnizw Systems,<br />

IPublishkg); kneS Radar and Ekctrorzic Wnfare Systems Uane's Publishing),<br />

jatze"sC3I Systems Oane" Publishing); lane3 Air-Lnti~zclzed Weayotzs Systems (Janefs


Publishing); In~zr.3 Dqelase Rppoin5menl.s 6 Prucuremerzf Ha~zdbouk (Middle Ensf Edition)<br />

(Jane's Publishing); Rnks of <strong>the</strong> World (8rrmard and Grafe); Weyer's Warskzi;<br />

(Bernard and Grafeer); and Warpla~zes of tfzc World (Bei-nard and Crafe).<br />

O<strong>the</strong>r military background, effectiveness, strmgth, organizational, and history<br />

data are taken from Anthony H. Cordesman, T!ze Gulf and th Searcti for Slrategk<br />

Stability, Bout der, Wesbiew, 2984, The Gulf and tI:2(t Wesf, Boufdeq Weskiew, 1 988,<br />

and Weapons of Mass Des5rueti;an ir-z <strong>the</strong> Midle Emt, London, Brassey%/ RUSX, 1991;<br />

Anthany H, Cordesman and Abraham Wizper, The Lessons ofModern War, Volume<br />

TI, Boulder, WeshriewI 1989; <strong>the</strong> relevant count^ or <strong>war</strong> sedions of Hex;berC. K.<br />

Tiltema, bzterr-zatfonnl Gorzpict Since 1945, buldel; Westview, 1991; Department of<br />

Defense and Depadment of State, Congressionnf Presentaliot? for Seeurl'fy Assis&nce<br />

Prqmms, Fiscnl Ymr 2993, Washington, Department of State, 1992; various annual<br />

editions of John Lraffin" sI"12e Wodd irz Conjlict or War Annttal, London, Brassey",<br />

and Joh Keegan, Inkartd Armies, London, Macmillan, 1983.<br />

3. The ranges shown cover <strong>the</strong> low and high case. The source of <strong>the</strong>se projections<br />

is EIA, Oil Market Simulation Mcjdel Spreadsheet, 1994, data prc>vided by<br />

<strong>the</strong> EIA Enerw Markets and Contingency Idarmation Division, and EIA, Inter-<br />

~afional Energy Ozltlook, 2994, pp. 11 -28.<br />

4. For fur<strong>the</strong>r details on <strong>the</strong> strategic history of <strong>Kuwait</strong>, see Helen Chapin<br />

Meter, Persian C~ty States, Washingtonr Depadment of <strong>the</strong> Army DA Pam 550-1 85,<br />

4993, and Anthony H. Cordesman, The Gt~ya~zd th West, Boulder, Wesh~iew~ 1994.<br />

Chapter 2<br />

5. Alfred B. Prados, ""lraq and <strong>Kuwait</strong>: Conflicting Histc>ricat Cfairns," Congressional<br />

Rexarch Srvice, 91-34E January 11, 4991, p. 4.<br />

6. Afnericatz Arab Afail"~, Fa11 1989, p. 30; Los Angeles Tirrres, December 2, 1990,<br />

pp. M-4 and M-8; Theodore Craig, ""<strong>Kuwait</strong>: Background, Restoration, and Questions<br />

for <strong>the</strong> United States," Congressional Research Service, 91-288F, May 21,<br />

1992, p. 9.<br />

7, Waslzitzgton Post, December 19, 1987, p. A-27.<br />

8. Department of Defenx, Condr~ek c$ <strong>the</strong> Pemian Guy Wal.; Final Report to Congress,<br />

Washington, Department of Defense, April, 1992, pp. 6-7.<br />

9. Department: of Def'en,~, Conduck cf <strong>the</strong> Pemfan Guy Wg1;" Final Report to Congress,<br />

Washington, Department of Defense, April, 1992, pp, 34.<br />

20. Department of Defense, Conduct of <strong>the</strong> Perskn Gulf LZmr; Final Report to Congress,<br />

VVashington, Department of Defense, April, 1992, pp. 34.<br />

21, Alfred B. Prados, "Iraq and <strong>Kuwait</strong>: Conflicting Historical Claims," Can.gressional<br />

Re<strong>war</strong>ch %rvict;3,91-34F, January 11,1991, p. 4.<br />

22. FBIS NES9Q-138, Jufy 18, 1990, p. 21; Theodore Craig' *<strong>Kuwait</strong>: Background,<br />

Restoration, and Questions for <strong>the</strong> United States,'Tongressisnal<br />

Research Service, 91-288F May 21,1992, p. 8; Department of Defenw, Corzduct. of<br />

<strong>the</strong> Persian Guy Wac Final Rqort to Coqress, Washington, Department of Defense,<br />

April, 4992, pp. 2-10.<br />

23, fizne's Defense Weekly, February 22, 1992, p. 274, March 7, 1992, p. 375,<br />

August 1, 1992, p. A-40, August 4, 1992, p. A-14, August 8, 4992, p. 6, August


45, 1992, p. A-15; Dcfcnse NPWS, September 9,1991, p, 1, November 18,1991, p,<br />

3, February 17, 1992, p. 3, June 15, 1992, p. 26; Stars and Stripes, March 3, 1992,<br />

p. 8; Lorjdon Fina~lc-iat Timcs, July 8,1991, p. 3; 'MIasf~i~zgt~~t Post, August 28,1991,<br />

p. A-7, September 6, 1991, p. A-24, August 15, 1992, p. A-15; Wasfzi~zgton T;;ntes,<br />

December 6, 1991, p. A-2, August 5, 1992, p, A-4; R.uinfr'un Week, September 9,<br />

1991, p. 21.<br />

14. The border was laid out relatively quickly by a single British agent, Major<br />

Joh More' and no follow-up effort was made to create a formal survey or border<br />

markings. Economist, Fhruary 2.9, 19Zm p. 45; Plzz'ladelphia Itzquirer, Februa~ 20,<br />

4992, p. A-46; Wall Street Jourrznl, December 5,1991, p. A-4.<br />

15. Department of Defense backgrc>und briefing, October 20, 1994 (Federal<br />

News Srvice); DeparZment of Defense handouts of Oct~ber 14,1994 and October<br />

12, 3994; fanek Defevtse WeeF;bJ October 22,1994, p. 4, December 17,1994, p. 7; US<br />

Army briefing sheet (undated) October, 1994; Congressional Research Sei-vice,<br />

Iraq Crisis, October, 2994, A Cl'zmnology, 94-808F, October 24,1994.<br />

16. This description is based on interviews with US experts, and Executive<br />

News Service, August 2% 1995, 0329, September 19, 1995, 1014, September 27,<br />

1995,0324; Washingtcyn Post, August 19, 1995, p. A-17.<br />

17, Balf-imore Sur?, December 29,1995, p. 16A; Dqerzse Mews, April 18,1995, p. 40;<br />

Wall Street lournal, June 27, 1995, p. A-10.<br />

18. Dfetzsc NPZUS, April 18,1995, p, 40; Wr Jl Street jour~zal, June 27,1995, p. A-40.<br />

19. Executive News Service, October 10,1995,0221.<br />

20. CIA, World FaL"Ebook, 2995, ""<strong>Kuwait</strong>'" j~n~e"s~e~zse Weekly, July 29,495, p. 45.<br />

Chapter 3<br />

21 "Special Repc~rt <strong>Kuwait</strong>," MIIIdEc East Ecmontz'c Digest, Februav 23,1996, p. 7.<br />

22. Estimates based upcm <strong>the</strong> data in ""Special Report <strong>Kuwait</strong>," Middle East Econontic<br />

DQesl, Februa~ 23, 1996, p. 15; ACDA, Wrld Militar)~ Expenditures and<br />

Arms Transfers, 499S1994, Table 1, and CIA, World Factbook, 1995, and Vousef H.<br />

AI-Ebraheem, "The Gulf Economic Situation in <strong>the</strong> Next Decade: The Case of<br />

<strong>Kuwait</strong>," National Defenw University Workshop on Gulf Sc-?curity, April, 1996, p.<br />

10. Fur<strong>the</strong>r statistical and analytic background is taken from material provided by<br />

<strong>the</strong> World Bank, including "Wfl Arab Workers Prosper or Be Left Out in <strong>the</strong><br />

Twenty-First Century?," August, 19995; ""Forging a Par-tnership for Environmental<br />

Actic>n," December; 19%; and "'A Population Perspective on Development: The<br />

Middle East and North Africa," August, 1994.<br />

23. World Bank, "Ec>rging a Partnership for Environmental Action," December;<br />

4994; and "A Populatic~n Perspedive on Development: The Middle East and<br />

North Africa," Washington, World Bad, August, 1994, p. 24,<br />

24. CIA, Worl~Z Factbookl 11995, LIAE,<br />

25. Energy Infarmation Agency (EZA), Irttertzatlitnnl Energy Outlook, 2994,<br />

DOEIEIA 0484((34), July 1994, pp. 34-26; ETA, hztemational Pelrofezim Slntzcs<br />

Report, DOE/EIA 0520(94)1), November, 1994, pp. 6-7, and International Pt*froleum<br />

Encyclopedia, 1993, p. 280. These estimates have become increasingly more poiiti-


cal in recent years as each major prc~ducer in <strong>the</strong> Gulf has tried tcr exaggerate its<br />

reserves and relative importance,<br />

26. IEA, Middle East Oif and Gas, Paris, OECD/IEA, 4995, p. 158.<br />

27- "Special Report <strong>Kuwait</strong>,'" Middle East Ecmo~rtic Digest, February 24, 1995,<br />

pp. 42-16.<br />

213. This dixussion of <strong>Kuwait</strong>i energy developments is adapted fram material<br />

provided in <strong>the</strong> I>OE/ETA Tnternet data base, ETA, analysis sedion, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and XEA, Middle East Oil and<br />

Gas, Paris, BECDIXEA, 2 995.<br />

29. Oil attd Gns htat-rzal, Sptember 23,1991, p. 62,<br />

30. IEA, Mid~jle East Qif alzd Gas, Paris, OECDIIEA, 1995, pp. 153-157.<br />

31. IEA, Mi&Ee East Oil mzd Gm, Paris, OECD/IEA, 4995, pp. 153-157.<br />

32- TEA, Middle East Oil n ~ Gas, d Paris, OECD/IEA, 1995, pp. 155-160.<br />

33. Energy Informa tion Agency (EIA), Interr-.m tioior?nlt E~t~rgy Oz~tlook, 1994,<br />

DOE /EXA 0484(94), July, 3.994, pp. 1 4-26; EXA, X?z temn timzal Petmleunz Stn t ~s<br />

ReporI", Z>OE/EIA 0520(%)2), Nc~vernber, 1994, pp, 6-7, and International Petrofeunt<br />

Encyclopedia, 1 993, p. 280. These estirna tes have become increasing1 y more political<br />

in recent years as each major prcYducer in <strong>the</strong> Gulf has tried to exaggerates its<br />

reselves and relative importance.<br />

34, This discussion of <strong>Kuwait</strong> energy developments is adapted from material<br />

provided in <strong>the</strong> DOE/EIA Intei-net data base, EIA, analysis section, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and IEA, Middle East Oil and<br />

Gas, Paris, OECD/IEA, 1995.<br />

35. This discussian of <strong>Kuwait</strong> energy developments is adapted fram material<br />

provided in <strong>the</strong> I>OE/ETA Tnternet data base, ETA, analysis sedion, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and XEA, Middle East Oil and<br />

Gas, Paris, BECDI XEA, 1 995.<br />

36. "Special Repc~rt <strong>Kuwait</strong>,"%iddl'e Ensf Econufnic Digest, February 24, 4995,<br />

pp. 12-1 6.<br />

37. This discussion of <strong>Kuwait</strong> energy developments is adapted from material<br />

provided in <strong>the</strong> DOE/EXA Internet data base, EXA, analysis section, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and IEA, Middle East Oil arzd<br />

Gas, Paris, OECDIXEA, 1995.<br />

38. Middle EnsE Economic Digest, Februa~ 24,1995, p. 14.<br />

39. Wall Street foz-lrrzal, June 27,1995, p. A-10,<br />

40. This discussion of <strong>Kuwait</strong> energy developments is adapted from material<br />

provided in <strong>the</strong> DOE/EIA Intei-net data base, EIA, analysis section, country chapters,<br />

as accessed on July 15,1995 and Ma~h 9,1996; and TEA, Middle East 01'1 and<br />

Gm, Paris, OECD/ IEA, 1995.<br />

41. This discussion of <strong>Kuwait</strong> energy developments is adapted fram material<br />

provided in <strong>the</strong> DOE/EIA Intei-net data base, EM, analysis section, country chapters,<br />

as accessed on July 15,1995 and March 9,1994; and IEA, Middle East Oil and<br />

Gas, Paris, BECDI XEA, 1 995.<br />

42. "Special Report <strong>Kuwait</strong>,'" Middle East Ecmo~rtic Digest, Fdruary 24, 1995,<br />

pp. 12-1 6.


138 Motes<br />

43. This discussion of <strong>Kuwait</strong> energy developments is adapted from material<br />

provided in <strong>the</strong> DOEJEIA Internet data base, EIA, analysis section, country chapters,<br />

as accessed on july 15,1995 and March 9,1996; and IEA, Middle East Oil and<br />

Gas, Paris, OECU/IEA, 1995,<br />

44. "Special Report <strong>Kuwait</strong>," Middle Ensf Eco~zomic Diges".Sf February 23,1996, p.<br />

15; New York Ti"r.rzes, July 17,1995, p. D-4,<br />

45. This discussion of <strong>Kuwait</strong> energy developments is adapted frorn material<br />

provided in <strong>the</strong> DOE/EXA Internet data base, EXA, analysis section, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and TEA, Middle Easl Qil and<br />

Gns, Paris, OECD/ IEA, 1995, Annexes IC and 21.<br />

46. This discussion of <strong>Kuwait</strong> energy developments is adapted frorn material<br />

provided in <strong>the</strong> DOEJEIA Intei-net data base, EIA, analysis section, country chapters,<br />

as accessed on July 15, 1995 and March 9,1996; and IEA, Middle East Oil and<br />

Gas, Paris, OECD/IEA, 1995, Annexes IC and 21.<br />

47- Middts East Eeono~rtic Digest, February 23,1996, p, 14.<br />

48. EIA, Monllzly E~lergy Reokw, August, 1995, p. 130; ""Special Report <strong>Kuwait</strong>,''<br />

Middle East Economic Digest, February 24, 1995, pp. 9-22; CIA, World Factbook;<br />

1994, pp. 220--21.<br />

49. "Special Repc~rt Krawait,"%iddle Ensf Ecunufnic Digest, February 24, 4995,<br />

pp. 9-22; CIA, World Factbook, 1994, pp. 22&221; Wall Street journal, June 4,1996,<br />

p. A-44,<br />

50. Wall Street foz-lrrzal, June 4, 1996, p- A-14.<br />

51. This discussion of <strong>Kuwait</strong> energy developments is adapted from material<br />

provided in <strong>the</strong> DOE/EXA Internet data base, EXA, analysis section, country chapters,<br />

as accessed on July 15,1995 and March 9,1996; and TEA, Middle Easl Qil and<br />

Gas, Paris, OEGDIIEA, 1995, Annexes 1C and 21.<br />

52. Yousef H. Al-Ebraheern, ""Te Gulf Economic Situation in <strong>the</strong> Next Decade:<br />

The Case of <strong>Kuwait</strong>," Natit2nal Defense University Workshop on Gulf Scurity,<br />

April, 1996, g. 10.<br />

53. It is typical of <strong>the</strong> serious conflicts in data on <strong>the</strong> Gulf that <strong>the</strong>re are very<br />

different figures in o<strong>the</strong>r Ministry af Finance documents. Ano<strong>the</strong>r estimate of <strong>the</strong><br />

public budget in millions of <strong>Kuwait</strong>i Dinars is as hllows:<br />

Rez~en ues Expetzdr'Ezr ms Surylus/DeJieit<br />

54. "SpeciaX Repc,E"c <strong>Kuwait</strong>," Middle East Economic Iligcsf, Februa~<br />

24, 1995,<br />

pp. 9-22; CIA, World hctbaok, 2995# '<strong>Kuwait</strong>,"


55. Armed Frrrce Journal, August 4995, p. 22;<br />

56. ""Jlilne? Defense Weekly, July 29, 1995, pp. 17-36; "Special Report <strong>Kuwait</strong>,"<br />

Middle East Economic Digest, February 24, 1995, pp. 9-22; Special Report<br />

<strong>Kuwait</strong>," Fdbruary 24, 1995, pp. 9-22; June 164, 1995; June 23, 1995, July 21,<br />

4995, p. 41, August 41, 1995, pp. 40-11, August 25, 1995, p, 23, September 4,<br />

1995, pp. 6-7.<br />

57. Middle Enst Econontic Digcsf, July 21, 1995, p. 11; lane$ Dcfense Weekly, July<br />

29, 1995, pp. 17-36; ""Special Report <strong>Kuwait</strong>," Middle East Econo~rtic Digest, February<br />

24,1995, pp. 9-22.<br />

58. Uousef I..{. Al-Ebraheem, ""The Culf Ecctnnmic Situation in <strong>the</strong> Next Decade:<br />

The Case of <strong>Kuwait</strong>," NNional Defense University Wc~rkshop on Gulf Securit~<br />

April, 4996, p. 12.<br />

59, US State Department, Internet data base, economic report on Kuwai"c,<br />

accesxd June 20, 4995; Middle East Ecorzumic Digest, July 21, 4995, p. 44; IatzcS<br />

Deje~zse Weekly, July 29, 1995, pp. 17-36.<br />

60. US State Department, Internet data base, economic repcrrt c~n Kuw-ait,<br />

accessed Jme 20, 1995; M2dEe East Economic Digest, July 21, 1995, p. 11; lane3<br />

Dfense Weekly, July 29, 2 995, pp, 1 7-36.<br />

61. "Special Report <strong>Kuwait</strong>," Middle Enst Eco~zomic Diges".Sf February 23,1996, p.<br />

8; Middle E~sl Economic Digest, July 21,1995, p. 11; ""Special Report <strong>Kuwait</strong>l" Middle<br />

Ensf Econufnic Digest, February 24, 1995, pp. 9-22; ""Secial Report <strong>Kuwait</strong>,""<br />

Middle East Eco~romic Digest, February 24, 1995, pp. 9-22; CIA, frdorld Factb~ok~<br />

1994, pp. 220-221; Middk Enst Eco~zomic Digest, June 16,1995, August 25,1995, p.<br />

23, September 1, 2 995, p. 6.<br />

62. EEA, Monthly Energy REZI~~U), August, 1995, p. 130; ""Special Report <strong>Kuwait</strong>/''<br />

Middle East Economic Digest, February 24, 1995, pp. 9-22; CIA, World Factbook,<br />

1994, pp. 220--21.<br />

63. Middle East Eco~zumic Digest, July 21, 4995, p, 11; lane% Defettse Weekly, July<br />

29, 1995, pp, 17-36; "'Special Report <strong>Kuwait</strong>," Middle Easl Economic Digest, February<br />

24,1995, pp. 9-22; CIA, World Faetbook, 1994, pp. 220-221.<br />

64, VVOrld Bank, World Pol~nln tion Project ions, 2 9962 995, Washington, VVorld<br />

Bank, 1994; Middle Ensf Eco~zoitnic Digmt, July 28,1995, p. 11, February 23, 4996, p.<br />

10; CIA IIVQdd Factbook, 1995, "Iran.'"<br />

65, CIA, World hetbook, 1994, pp. 220--21; Middle Easl Econontzt: Digest, July 21,<br />

1995, p. 11; JatzeS Befiilnse Wcekfy, July 29, 1995, pp. 17-36; &neS Defense Weekly,<br />

July 29,1995, p. 18.<br />

66. Ecctnnmist Intelligence Unit, Countty Profile: <strong>Kuwait</strong>, London, 1996, pp.<br />

33-14; Yc~uwf H. AI-Ebraheem, "The Gulf Economic Situation in <strong>the</strong> Next Decade:<br />

The Case of <strong>Kuwait</strong>," National Defeme University Workshop an Culf Siecurity;<br />

April, 1996, p. 12.<br />

67. CIA, WorI~i! Faclbook, 2995; Economist Intelligence Unit, Countly I"ruj!e:<br />

Kuzuait, London, 2996, pp. 13-14. Fur<strong>the</strong>r statistical and analytic backpound is<br />

taken from material provided by <strong>the</strong> Wrld Bank, including "Will Arab TNclrkers<br />

Prosper or Be Left Out in <strong>the</strong> Twenty-First Century?" August, 1995; ""Fbrgng a<br />

Partnershi p for Envircjnmentai Action," December, 1 994; and '% Population Perspective<br />

on Development: The Middle East and North Africa," August, 1994.


140 Motes<br />

613, Economist Intelligence Unit, Colartlq Profile: Kuzonil, London, lli396, p. 10,<br />

69. Economist Intelligence Unit, Count~y Profile: Kzazunil", Z,ondon, 1996, pp,<br />

40-14; CIA, World Factbook, 1995; Economist Intelligence Unit, Countq Profile:<br />

Kuzuait, London, 1996, pp. 13-14. Fur<strong>the</strong>r statistical and analytic background is<br />

taken from material provided by <strong>the</strong> World Bank, including "Will Arab Workers<br />

Prosper or Be Left Qut in <strong>the</strong> Twenty-First Century?" Aupst, 1995; ""Fr@ng a<br />

Part.nershxp for Envirc3nmentat Action," December, 1994; and ''A Population Perspective<br />

on Development: The Middle East and North Africa," August, 1994.<br />

'70. See Peter Carison, "'Castles in <strong>the</strong> Sand," Wastzizzgton Post Mngaziuze, Janua~<br />

44, 4996; Mary Tetrault, "Gulf Winds," C~larre~tt Hislufy, 1996; E Gregory Cause,<br />

01'1 Monnrcltis: Dor7testic and Security Ghallerzgcs in <strong>the</strong> Arnb Cztlf States, New York,<br />

Council on Foreign Relations, 1994,<br />

71. CIA, World Factbook, 299.5. Fur<strong>the</strong>r statistical and analytic background is<br />

taken from material provided by <strong>the</strong> Wrld Bank, including "Will Arab Workers<br />

Prosper or Be Left Out in <strong>the</strong> "fwenty-First Century?'Wugust, 1995; "Forging<br />

a Partnership for Environmental Action," December, 1994; and "A Aopu-<br />

Xation Perspectirfe on Development: The Middle East and North Africarrf<br />

August, 1994.<br />

72. Middle East Eco~zomic Digest, February 24, 1995, pp. 9-22; Special Repad<br />

<strong>Kuwait</strong>," kbruary 24, 1995, pp. 9-22; June 16, 1995, p. 8; June 23, 1995, July 21,<br />

4995, p. 14, August 14,1995, pp. 10-44, August 25,1995, p, 23, September 1,4995,<br />

pp. 6-7; Los Angel& Tin@$, June 27, 1 995, p. C-3.<br />

73. Ncztr York I"i?rtes, July 17,4995, p. D-4; Wall SZreef Jotin-tal, June 27,4995, p. A-40.<br />

74. CIA, Wodd Factbook, 1995, "Muwait"; World Bank, ""A Population Perspective<br />

on DeveXopment: The Middle East and North Africa," August, 1994, p. 24.<br />

75. "Special Report <strong>Kuwait</strong>,'" Middle East Eccmo~rtic Digest, February 24, 1995,<br />

pp. 9-22.<br />

76. Los Ar~geles Tiwimes, January 28,1992, p, C-4.<br />

77. CIA, Wo~lcd Flilctbook, 154, N<strong>Kuwait</strong>."<br />

Chapter 4<br />

78. CIA, World Ft~ctbook~ 2995, "<strong>Kuwait</strong>"'; Based on <strong>the</strong> Internet version of <strong>the</strong><br />

US State Department repc~rt on Hurnan Rights for 1994, <strong>Kuwait</strong> country chapter,<br />

as accessed July 15, 1995 and March 9, 1 996; and IEA, Middle East Oil a ~ Gas, d<br />

Paris, BECD/XEA, 1995, Annwes 1C and 21.<br />

79.. Based on <strong>the</strong> Intermt version of <strong>the</strong> US State Department report on Human<br />

Rights far 1994, <strong>Kuwait</strong> country chapter, as acceswd July 15, 1995 and March 9,<br />

4996; and IEA, Middle East Oil and Gas, Paris, BECD/IEA, 4995, Annexes IC and 21.<br />

80, Based on <strong>the</strong> Internet version of <strong>the</strong> US Skate Depadment report on Hurnan<br />

Kghts for 494, <strong>Kuwait</strong> colxrntry chapter, as accesxd July 15, 4995 and March 9,<br />

1996; and TEA, Middle East Oil and Gas, Paris, OECB/IEA, 1995, Annexes 1 C and 21.<br />

81. Based on <strong>the</strong> Internet .\rerslc>n of <strong>the</strong> US State Department report. on Hurnan<br />

Rights far 1994, <strong>Kuwait</strong> comt~ chapteu; as accesxd July 15, 1995 and March 9,<br />

1996; and IEA, Middle East O-il and Gas, Paris, OECD/IEA, 1995, Annexes 1 C and 21.


82, See Peter Carlson, ""Castles in <strong>the</strong> Sand," Was/ritzgtn~~ Post Magazine, January<br />

14, 1996; Mar)r Tetrault, "Gulf Winds," Cumnl. HisCofy, 1996; E Gregc~ry Gause,<br />

Oil Mor?nrc!ties: hmcstic and Sec~rriZcy Glmtletzges itz ttw Arab Gulf Stares, New York,<br />

Council on Foreip Relatians, 1994.<br />

83. Based an <strong>the</strong> Inketnet version af <strong>the</strong> US State Department report on Human<br />

Rights for 1994, <strong>Kuwait</strong> country chapteu; as accessed July 15, 1995 and March 9,<br />

1996; and IEA, Middle East Oil and Gas, Paris, OECRIIEA, 1995.<br />

84. Based on <strong>the</strong> Internet version of <strong>the</strong> US State Depadment report on Human<br />

Rights far 1994, <strong>Kuwait</strong> country chapter, as acceswd JuXy 15, 1995 and March 9,<br />

4996; and IEA, Middle East Oil and (;as, Paris, BECD/IEA, 1995, Annexes 1C and 21.<br />

85. London ifiuznncial E~nes, February 26 19132, pp. 111-1 to 111-3, The Sunday Times,<br />

January 49, 1392, p. 1; Time, August 5, 1994, p. 32; Washington Times, May 27,<br />

1992, p. A-7,<br />

86. Londo~z FE'rzn~lc.inl Tiwimcs, February 26, 1992, pp. 111-1 to 111-3, The Sur?d~y Elnes,<br />

January 3.9, 1992, p. I; Ti"jrte, August 5, 1991, p. 32; Washington Times, May 27,<br />

1992, p. A-7.<br />

87. Harry Brown, ""Population Issues in <strong>the</strong> Middle East and North Africa,'"<br />

RWI Jozarnnl, February 1995, pp. 32-43.<br />

88. Middlc East Economic Digest, February 23,1996, p. 11; Harry Brown, ""Ppulation<br />

Issues in <strong>the</strong> Middle East and North Africa," RRUSI Journal, Februa~~ 1995,<br />

pp. 32-43; ""CIA, World Factbook, 2995, f'""K-ttwai"E"<br />

89. CIA, World Factbook, 1995, "<strong>Kuwait</strong>,'"<br />

90. Middle East Economic Digesf, February 23,1996, pp. 40-12,<br />

91. Based on <strong>the</strong> Internet version of <strong>the</strong> US State Department report on<br />

Human Rights for 1994, <strong>Kuwait</strong> country chapter, as accessed July 15,1995 and<br />

March 9, 1996; and IEA, Middle Enst 01'1 a d Gas, Paris, OECDIXEA, 1995,<br />

Annexes 1 C and 21.<br />

92. GJzicagu Tribzcrje, November 3, 1991, p. 1-44; Wnshingtorz Post, November 7,<br />

1991, p. 1, June 5,1992, g. A-l, June 6, 192, p. A-17, October 3,1W2? pp. A-1,3-14,<br />

October 6,1992, p. A-18, October 7, p. A-2X; Wall Street jo~r~laf, Oct~)ber 24, 4699ZI<br />

p. A-2; Joseph I? We, "<strong>Kuwait</strong>i Oil Well Fires Updated,'" Congressional Rexarch<br />

Se~vice, 94-313, June 26,1994; WasFzington Tifzes, May 28,1992, p. A-7.<br />

93. Middle East Emlrom-ic Digest, F&rua~ 24, 1995, pp. 9-22; $pedal Report<br />

<strong>Kuwait</strong>," Februa~y 24,1995, pp. 9-B; June 16,1995, g. 8; June 23, 195, July 21,1995,<br />

p. 11, Augmt 11,1995, pp. 1&12, Aupst 22,1995, p. 23, Sptember 1,1995, pp. 6-7;<br />

Los Angeles Ernes, June 27; 1995, p. C-3; Jnvle's I)@cjzse Weekly, July 29,1995, pp. 17-18;<br />

Wasfzirtgtotz Etnes, August 2, 1W5, p. A-IQ Boston Glober Augmt 20, 1995, p. 2.<br />

94. Based on <strong>the</strong> Internet ~~erslon of <strong>the</strong> US State Department repod on Human<br />

Kghts for 4994, <strong>Kuwait</strong> cowtry chapter, as accessed July 15, 4995 and March 9,<br />

1996; and TEA, Middle East 01'1 and Gas, Paris, OECB/IEA, 1995, Annexes 1 C and 21.<br />

95. Based an <strong>the</strong> Internet version of <strong>the</strong> US State Department report on<br />

Human Rights for 1994, <strong>Kuwait</strong> country chapteu; as accessed July 15, 1995 and<br />

March 9, 1996; and SEA, Middle Enst Oil and Gas, Paris, BECDIIEA, 1995,<br />

Annexes 1 C and 21,<br />

96. Los Angeles Et~reii, June 27, 1995, p. C-3.


142 Notes<br />

97'. Amnesty International, Report 199dt NW York, Amnesty International Pub-<br />

lications, pp. 189-1 91.<br />

Chapter 5<br />

98, Reutess, August 5,1995: 0353,<br />

99. Dqense News, April 18,1945, p. 10; Wall Street Jozrmnl, June 27,1995, p. A-1 Q.<br />

1 00, Defense News, March 2, 1 992, p. 'i; July, 199% p. 29; Armed Forces foarrzal,<br />

July 1992, p. 29.<br />

Chapter 6<br />

1 01. Arms Control and Disarmament Agency (ACDA), World Military Exyendi-<br />

I~ires alzd Arms Transfers, 1991-2992, Washington, GPO, 1994, Table I, and ACDA<br />

computer print out, April, 14, 1 996,<br />

102. f~ne$ Dq~nse Weekly, July 29,1995, p. 18; Wasltir-zgton Times, August 2, 1995,<br />

p. A-16; TXSS, Milifiary Bnla~zce, 2995-1996, "<strong>Kuwait</strong>.'"<br />

103. J@ners D4ense Weekly, July 29,1995, p. 18; Wasltir-zgton Times, August 2, 1995,<br />

p. A-46.<br />

104. Arrns Control and Disarmament Agency (ACDA), World Milifnfy Ex;?indi-<br />

I~ires alzd Arms Tra~zsfcrs, 1992-1992, Washington, GPO, 1994, Table I, and ACDA<br />

computer print out, April, 14, 1996.<br />

105, Armed Forces jou?-rzal, July, 11995, p. 25; Jnr~eS Defcnse Weekly, July 29, 4995,<br />

p. 18; Wasfji~fgton Ernes, August 2, 1995, p. A-16.<br />

106.. Dqc~zse Mews, February 15, 1993, p. 1, April 18, 1994, p. 1, May 9, 1994, p.<br />

12, December 13, 1993; lane2 BeJclzse Weekly, October 29, 1994, p- 21; Maneyclips,<br />

July 4 and 8,1993, Reuters European Business Report, February 24,1993, July 8,<br />

4993, August 21,1993; Associated Press, January 29,1993,<br />

10'7. Armed Forces International, August, 1995, p. 22.<br />

108, Arms Control and Disarmament, Agency (ACDA), World Milita~y Expenditrlres<br />

and Arrrrs Tra~sfirs, 2990, Wshingtan, 660, 1993, Table 111; Arms Control<br />

and Disarmament Agency (ACDA), VdclrM Milifafy Expenditure and Arms Trnnsfirs,<br />

3993-1994, Washington, GPO, 1995, Table 111, and ACDA computer print out,<br />

April, 14,1996.<br />

109, Arms Control and Disarmament Agency (ACDA), World Military Exyendi-<br />

Cures and Arms Pansfers, 2991-1992, Washington, GPO, 1994, Table 11; Arrns Control<br />

and Disarmament Agency (ACDA), World Military Expe~zdilures alzd Arms<br />

Pansfers, 1993-1994, Washlngto>n, GPO, 1995, Table IX and ACDA computer print<br />

out, April, 44, 1996.<br />

110. Arms Control and Disarmament Agency (ACDA), World Milifa~y Expendi-<br />

I~ires and Arms Trar~sfers, 1991-1992, Washingtan, GPO, 1994, Table 11; Arms Control<br />

and Disarmament Agency QACDA), World Military Expenditures n~d Arms<br />

Pansfers, 1993-1994, Washjngto>n, GPO, 1995, Tabte 11 and ACDA computer print<br />

out, April, 14,1996.<br />

111. Arms Cc)ntroi and Disarmament Agency (ACDA), World Militny Ex;?indi-<br />

I~ires and Arms Tra~zsfers, 199&2995, Washingtcm, GPO, 1996, Table III,


142. Richard F. Grimmett Corzverttiorzd Arms Traplsfers l.0 <strong>the</strong> T!jilia World,<br />

1986-3993, CRS 94-612E July 29,1994, pp. 57-59; Conventional Ar~ns Pansfers ko kJze<br />

TI2il.d World, 1987-1994? C B 95-862Ft August 4,1994, pp. 5-3.<br />

113. JaneS Defizrtse Weekly, February 28, 1996, p. 3.<br />

144. Richard F. Grimmetc Corzverttiorzal Arms Traplsfers l.0 <strong>the</strong> T!jilia World,<br />

2986-199 CRS 94-612F, July 29,1994, pp. 57-59; Cont~entionnl Arlrzs En~sfers to <strong>the</strong><br />

Tlzircl World, 1987-1 994, CRS 95-862E August 4, 1 994, pp, 5M9.<br />

135. Richard E Grirnmett; C"nnztentiot~af Arlrzs Transfers to tlte Thid World,<br />

1986-1993, CRS 94-612& July 29,1994, pp, 57-59; ConvenCional Ar~ns Pansfers ko kll~<br />

TI2il.d World, 1987-1994 CRS 95-862Ft August 4,1994, pp. 5-3.<br />

11 6. US Defense Security Assistance Agency (DSAA), 'Toreign Military Sates,<br />

Fctreign Military C]snstrudion Sales and Military Assistance Facts as of Sqtember<br />

30,1994," Department of Defense, Wil.shin@pt"n, 1995.<br />

Chapter 7<br />

1 17. CIA, World Factbook, 3991, pp. 173-2 74,<br />

118. <strong>Kuwait</strong> is cc>nsiclering up-engining <strong>the</strong> tanks with new British or German<br />

engines. lane3 Dejetzse WedEy, February 28, 4987, p. 323.<br />

11 9. WasZzi~zgfon Enzes, July 14, 15388, p. 2.<br />

120, lane's Deje~se Weekly, January 30, 1987, p. 454<br />

121. Jn~e's Defense Weekly, February 28,1987, p- 314 and March 7, 1987, p. 359.<br />

122, 1 am indebted tcr Lt. Commander Jerry Fergusc~n, one of my students at<br />

Georgetown University, for much of <strong>the</strong> research, and many of <strong>the</strong> insights, on<br />

Gulf naval and air forces presented in this chapter.<br />

1 23. The 76 mm and 40 mm gms can provide some air defense, but with little<br />

lethality The TNG-45s have very complicated electronics, virtually all of which<br />

are maintained by fc3reign tcltehicians. The uclice ne<strong>war</strong>k system used by <strong>the</strong><br />

TNC-45 is so slow that it is virtually hopeless far air defense operations and generally<br />

creates cmfusictn and increases delay and vulnerability if any attempt is<br />

made to use it,<br />

124, Aircraft actually in storage included 12 Lightnings, 4 Hunters, and 9 BAC-<br />

167 Stri kernasters.<br />

125. The A-4s Iack an air intercept radar, and can only engage in visual combat<br />

using guns or Sidewinder missiles, There are 12 Lightnings and 9 Hunters in<br />

storage,<br />

126. Dcfctzse Mews, August 8, 1988, p. 7; lane3 Defclase Weekly, August 13, 49815,<br />

g. 246; Wlirstzirzgton Rmm, July 25,1988, p. 1; Newsweek, August- 25, 1988, p. 47.<br />

127. Sources differ. T11e JCSS is shawn. The IlSS says 2 DC-9,4 L-1QO-320.<br />

Chapter 8<br />

128. Majctr sources include Anthony FT. Cordesman, Affcr fhe Slaum: Tke 611cl;rzgiz~g<br />

Milit~z~y Balance irz trlte Middle East, Boulder, Wstrriew, 3.993; The IISS, Military<br />

Balatance, 1995-1996, London, TISS, 1995; Tim Ripley, "Rebuilding <strong>the</strong> <strong>Kuwait</strong>i Militaq"<br />

Interr-.mtioiar?al Defcrzse Rcztiew, 2/1993, pp. 457-159; Forecast International,


144 Motes<br />

DMS Market Intelligence Repc~rt, Kuwaik June, 11994; James Bruce, "<strong>Kuwait</strong>: Castle<br />

in <strong>the</strong> Sand," "JlaneS Dqense Weekly? October 29, 1994, p, 21, July 8,1995, p. 15,<br />

July 23,1995, pp. 17-36.<br />

129. jl2~e's Defense Weekly, March 28,1992, p. 531, July 29, 1995, pp- 17-36.<br />

130. Estimates of <strong>Kuwait</strong>" restruduwd forces are based on material provided<br />

by <strong>the</strong> <strong>Kuwait</strong>i Embassy, <strong>the</strong> Jaffee Center, <strong>the</strong> Congressianal Research Service,<br />

and <strong>the</strong> ItS5, Milihry &lnnc~., 1992-1992, pp. 110-111 and Miliftrry Bnhnc~.,<br />

2995-1996, "<strong>Kuwait</strong>'"; New York Tirilvges, January 14, 1992, p. 4; London Fz'nnnei~l<br />

E~nes, February 26, 19132, p. TIT-1; D~efzse News, May 6, 1996, p. 29.<br />

131, NPW York Times, May 24,1991, p. 8; Lurjdo~t Flnn~zcial Ernes, June 24, 4992,<br />

g. 18.<br />

132, New York Elnes, January 14,11992, p, 4; Lorzdarz FE'rznt~cial Times, July 8, 4991,<br />

p. 3, February 26,1992, p. 111-1; JnneS B~ferrse Weekly, December 14, 1991, p. 11 74,<br />

July 29,1995, pp. 17-36; Armed Forms Inferrzalio~zal, August, 1993.<br />

233, j127.zefs Defense Weekly, March 28,19192, p. 531, July 29, 2 995, pp. 17-36.<br />

134. Major xlurces include Anthony H. Csrdesman, After. <strong>the</strong> Stemz: flte Gfangin8<br />

Milifat7j Balazce in tlte Middle East, Boulder, WesLview, 1993; "fhe IllSS Milita~y Bnlnnce,<br />

1995-2996, London, ITSS? 1995; Tim Ripley, ""Rebuilding <strong>the</strong> <strong>Kuwait</strong>i Militar~''<br />

Inferr-znticlrznl Dqctzse Rcvviczo, 214993, pp. 157-159; Forecast Internatic?nal, DMS Market<br />

Intelligence Report, Kuw-ajt, June, 1994; James Bruce, "<strong>Kuwait</strong>: Castle in <strong>the</strong><br />

Sand," jazze's D#i2nse Weekly, Qctcjber 29,1994, p. 21, July 29,1995, pp. 17-36.<br />

135, Waslzirzgton Posf, January 11, 1995, p. A-12.<br />

136. Defeplse Neros, February 40,1992, p. 38.<br />

1 37, The E3M12s cost $m0 million. IISS, Mill'tlzry Balalzw, 399S1996, p. 138; JaneS<br />

D~efzse Weekly, July 29,1995, g. 26.<br />

138, Bcfense Nezos, F&ruary 24, 1992, p. 1 & 82.<br />

139. Iraq also retains a number of items that have gc>tent.ial military value,<br />

including 27 Hungarian busesf 100 Mercedes trucks, and 60 forkfifs. Wraslzingturz<br />

Post, January 11,1995, p. A-12; Mew York Tifzm, Janua~ 11,1995, p. A-8.<br />

140. Armed Forces Jout-rzal, July, 1995, p. 23.<br />

Chapter 9<br />

1 41. Major murrres include Anthony H. Cordesman, APer <strong>the</strong> Slor~rz: The Clazging<br />

Militnr;! BQ!Q~FZL.IC in <strong>the</strong> MiddCe East, Boraldel; Westview 1993; The IISS MiIit.a~y Bnlnlzce,<br />

2995-4996, London, IXSS, 1995; Tim RipXey *%&uiXding <strong>the</strong> <strong>Kuwait</strong>i Military,'"<br />

Tntetrzntional Deense Reai~zu, 211993, pp. 157-159; Fc~recast International, DMS Market<br />

Intelligence Report, <strong>Kuwait</strong>, Jmr?, 1994; James Bmce, "<strong>Kuwait</strong>: Castle in <strong>the</strong><br />

Sand," "fnne3 Dqense Wekfy, October 29,1994, g. 21, July 2% 1995, pp, 37-36.<br />

142. I lSS, MiEifafy Bnlnncc, 199S1996, pp. 438-439; Jnnefs Deferrse Weekly,<br />

December 14, 1991, p. 1174; hndon Finafzeial Tirr~es, N~~vember 18, 1991, g. 4;<br />

Armed Forces jourrlal In tenzalicl~tnl, April, 1994, p. 14.<br />

143. Definse Nezus, April 25, 194; fane's Defense Weekly, July 29, 1 995, pp. 1 7-36.<br />

144, Dcfirzse News, January 11,1993, p. 3, Ferbruary 217, p. 8; Itr~e's Defense Weekly,<br />

April 16, 1993, p- 8, Aupst 20, 2994, p, 21, July 8, 1995, p. 15, July 29, 1995, pp.<br />

17-36; Kzlrrvnit i~z BrieJ November, 1995, p. 6.


145.JnncS Defettse Weekly, March 28,1992, p. 531, May 23,1992, p. 878# May 30,<br />

1992, p. 911, August 15,1992, p. 5, Sptember 5,1992, p. 5, July 29,1995, pp. 17-36;<br />

Londt.1~2 Firzarlcial Ti~r~es., July 8,1994, p, 3; Dgetzse Week, August 24,4992, p. 1; Dcfense<br />

News, Sptember 28,2992, p. 48; Anrted Forces four~ckl, Novernbeu; 1992, p. 25.<br />

146, The Wrriors are being provided under a $794 millictrt cmtract signed in<br />

August, 2993 with GKN Uefense' a divisian of Telford, Xnc. They will be specially<br />

mc>dified to imprcjved <strong>the</strong>ir performance in desert <strong>war</strong>fare, raising <strong>the</strong> cost to<br />

$918 million. Dcfense Nezos, F&ruary 27, 2995, p. 8; July 8, 1995, p. 2 5, fane's<br />

D~efzse Weekly, July 29,1995, pp. 37-36.<br />

147. Jntze's D~fe~rstr We&ly, July 213,1995, pp. 17-36.,<br />

148. <strong>Kuwait</strong>i Xaw- requires that contracts over one milfio>n dinars result in onethird<br />

of <strong>the</strong> value being reinvested in <strong>the</strong> Arab world, preferably in <strong>Kuwait</strong>. Executive<br />

News %mice, Jut y 25,2995,0941; August 30,1995,0809,<br />

149. Defcnse News, January 41,1993, p. 3, February 27, p. 8; lane's Defcnse Weekly,<br />

April 16,1993, p. 8, August 20,1994, p. 21, July 8,1995, p. 15, July 22,1995, p. 17,<br />

July 29,1995, pp. 17-36.<br />

150. jalze's Defense Weekly, February 8, 1992, p. 187, February 2% 2 992, p. 274,<br />

Juty 29,1995, pp. 17-36; D~efzse News, Nc>vember 18,1991, g. 37 London Financial<br />

Times, February 16,1992, p. 4.<br />

151. J~ne's Dqense Weekly, March 28,1992, pp. 530-531.<br />

152, Defense Nm, May 6, 4996, p. 1.<br />

253, j127.zeJs Defease Wcekly, July 22,1995, p. 2 7.<br />

154, The 12 round 300 mm Smel-ch was available at only $1.8 million per<br />

launcher and $140,000 per rocket and had twice <strong>the</strong> range of <strong>the</strong> MLR$. It did,<br />

hc>wevex; have twice <strong>the</strong> reload time and required 25% more manpower, and only<br />

had one <strong>war</strong>head with 72 conventional HE submunitions versus a choice of a<br />

<strong>war</strong>head with 644 armor piercing submunitions or 28 anti-tank mines for <strong>the</strong><br />

MLR$, Reuters European Business Repc~rt, January 6,11i393; Defettse Mews, January<br />

31,1993, p. 3; Jnrzers Defetzse Weekly, April 16,1993, p. 8, August 20,1994, p. 21, July<br />

29,4995, pp. 17-36,<br />

155, lane% Deferzse Weekly, July 1, 1995, p. 27, July 29, 1995, pp. 17-36; Arlrwd<br />

Forces In terjrnliotzal, August, 1995, p. 22.<br />

156, Defense Nezus, January 11,1993, p. 3, February 27, p. 8; j127.zeJs Defense Weekly,<br />

April 16, 1993, p. 8, August 28, 1994, p. 21, July 8, 1995, g. 15, July 29, 1995, pp.<br />

17-36,<br />

157. Dejense Nem, No~vernber 18,1991, p. 37, November 25,1991, p. 22.<br />

158. Associated Press, January 23,1993; New Uol-k Ti~~tes~ October 11,1994, Octnber<br />

30,1994, p. 12; Financial E~res, OctcYber 11,1994, p. 5; Anrzy Times, February 15,<br />

4993, p. 24; ln~e's Defettse We&ly, March 28, 4992, p. 531,<br />

Chapter 10<br />

2 59, Major sources include Anthony H. Cordesman, Affer trlte Stonrz: The Clza~gin8<br />

Militarp B~ul~~ce in Gtw Middle East, Boulder, Wesb~iew, 1993; The llSS Military<br />

Balnnce, 4995-1996, London, IISS, 2995; Ern XGpley, "Rebuilding <strong>the</strong> <strong>Kuwait</strong>i Military;"<br />

h~nl-ernational Defcnse Reviecu, 2/1993, pp. 157-359; Forecast International,


DMS Market Intelligence Repc~rt, Kuwaik June, 11994; James Bruee, "<strong>Kuwait</strong>: Castle<br />

in <strong>the</strong> Sand," "no3 Defense Weekly, October 29, 1994, p. 21.<br />

1I;CI. lane's D@e?tse Weekly, July 29,1995, pp. 17-36..<br />

161. JaneS Defense Weekly, February 22, 1992, p. 274; Dejense Nezos, November<br />

48, 4991, p. 37; November 25, 1991, p, 22; Ia~zeS Fighting Slzips, 1994, London,<br />

Jane's, pp. 399-400.<br />

162. J~ne's Fighting Sltips, 1994, London, Janefss, pp. 399400.<br />

163. IXSS, Xblilifajy Balalzce, 2995-1996, pp- 13&239; Xntematim.zal Befi~se Revr'ei-u,<br />

10/1991, g. 1152; Arvrled Forces Jozirnnl, April, 1994, p. 21; lane's Defense Weeklyf July<br />

25, 4992; Dqfcnse Ner~rs, August 24,1994, pp. 3/36.<br />

1-64. J~ne's Dqense Weekly, July 29, 1995, p. 30.<br />

165. ZISS, MiliIny Batlance, 1995-1 996, pp. 13&139; Inle~~rzatiorzal Lfefettse Rezriezo,<br />

1011992, p. 1152, Spternber 9, 1992, p. 802; Ar~rzed Forces fournaf, April, 1994, p.<br />

21; Defetirse NPZUS, April 4&24,1994, p. 1, May 9,11994, February 2K 1995, p. 6; )atzcS<br />

Dejense Weekly, January 1 5,1994, p. 20, October 29, 1 994, p. 21.<br />

166. ji;tners Dgense Weekly, July 29,1995, p. 30.<br />

Chapter I1<br />

16'7. Majctr sources include Anthony FT. Cordesman, Affer fhe Storm: Tke 61.acl;rzging<br />

Military Balance in ttw MWle East, Boulder, Wesh~iew, 1993; The llSS Milifary<br />

B~lnnce, 4995-1996, London, IISS, 1995; Tim XGpley, "Rebuilding <strong>the</strong> <strong>Kuwait</strong>i Militayt""nkcrr-zatioior?alt<br />

Definsc Reztiew, 2/1993, pp. 457-1553; Frrrecast Znternatiortal,<br />

BMS Market Intelligence Report, <strong>Kuwait</strong>, June, 1994; Jarnes Bruce, "<strong>Kuwait</strong>: Gastle<br />

in <strong>the</strong> Sand," @no% Defetzse Weekly, October 29, 1994, p. 21.<br />

168, Full repairs were largely comgXc3ted by <strong>the</strong> end of 1994. Defense News,<br />

November 18,1991, p. 37.<br />

169. <strong>Kuwait</strong> retains a stock of Matra 530 and 550 missiles, Jnl.refs Defer?se Weekly,<br />

December 14,1991, p. 1174; Defel-rse Nezus, November 18,1991, p. 37; Avi~tion Week,<br />

November 44,11994, p. 20.<br />

1 70, Avl'ation We&, November 1 4,1994, p. 20; Befi~se News, August 22,1994, p.<br />

8; lnr~eS Exercise c?? Eainitzg Mo~~it~r~ Ilanzm y-March 4 996, pp. 8-10, Ja.zzeS Defcnse<br />

Weekly, April 24,1996, pp. 18-23.<br />

171. The F/A-18s are <strong>the</strong> first delivered with <strong>the</strong> new F-404-GE-402 17,754<br />

lb. thrust engines, giving it a 10-20% boost in power, IISS, Military Bnlnnce,<br />

1995-2996, pp. 138-139; St. Louis-Post Displafetf, October 9, 1991, p. B-1; Avh-<br />

Iion Week, February 3, 4992, p, 63, November 14, 1994, p., 20; Jar$efs D~.f-etzse<br />

Weckly, October 26, 1991, p. 753, February 22, '11992, p. 274, March 28, 1992, p.<br />

534, May 23, 1992, p, 879, April 24, 1996, pp. 18-22; Washingtuu Times, March<br />

29, 1993, p. A-2.<br />

172, Auia"afiun Wek, November 14, 1994, p. 20; Iat~e's Exercise c?? Raining Monitor?<br />

Ja~ranry-Marc-2 2996, pp, 8-10, Jnne's Defelzse Weekly, April 24, 1996, pp.<br />

1 8-23.<br />

173. j127.zeJs Defe~se Wekly, July 29,1995, pp. 17-36, April 24, 1996, pp. 1 8-22.<br />

1%. The FiA-28s are <strong>the</strong> first delivered with <strong>the</strong> new F-404CE-402 1'1",'754 lb.<br />

thrust engines. IISS, Military Balanci~~ 2995-1996, pp. 13&139; );St. Lozais-Post Dispatch,<br />

Octc3ber 9,1991, g. B-l ; Azl;iation Week, Fdruary 3,1992, g. 63, November 1 4,


4994, p, 20; lane% Dqelase Weekly, October 26, 1991, p. 753, February 22, 1992, p.<br />

274, March 28,15392, p. 531, May 23,1992, p. 879, July 29,1995, pp, 17-36, April 24,<br />

4996, pp. 18-22; Waslrit?gforz Ernes, March 29, 4993, p. A-2; lar1e3 Exercise 6 Tr~itzi~~g<br />

Illnnitor; fatzua~y-Marcfz 1996, pp, 8-10.<br />

175. St. Louis-Post Dispntch, October 9,1991, p, 13-1; Ruiafiotz Week, February<br />

3, 1992, p, 63, November 14, 1994, p. 20; Jnne's Dqense Weekly, October 26,<br />

1991, p. 753, April 24, 1996, pp. 18-22, February 22, 1992, g. 274, March 28,<br />

1992, p. 531, May 23, 1992, p. 879, July 29, 1995, pp. 17-36; WQS~~E'IZ~~OU Times,<br />

March 29, 1993, p. A-2; Jg~ane" Exercise & Training MoniCe;tr, jarzuary-Marcfz 1996,<br />

pp. 8-10.<br />

376, lane's D~efzse Weekly, March 28, 1992, p. 530, July 29, pp. 17-36; Reuters,<br />

July 14,1995,1623.<br />

1 77, Defclzse News, November 27-December 3, 1995, p. 4; JaneS Defi~se Weeklyt<br />

July 29, pp. 4, and 17-36; Reuters, July 14, 1995, 1623; Executive News Service,<br />

July 14,1995,1623.<br />

2 78. Defel-tse Ncm, Nc~vernber 27-December 3,1995, g. 4.<br />

179. Aviation Week, November 14, 1994, p. 20.<br />

180. Jane'ss, Nafional and Itztemational Air Defeszse, 1994, London, Jane", p. 14.<br />

181. FIig/zt. Infel-nniionnl, January 26, 1993, p. 5; Wall Street jarat-rznl, January 43,<br />

1993, p. A-6; lnlernlrfional Defefzse Rrvieruf 211993, p. 98; 3;nne's Dqensp Weekly, April<br />

29,1995, July 29,1995, pp. 47-36.<br />

182. Kuzuait 2.r~ Rrieh March, 1996, p. 3.<br />

183. FIiglzt. Infe~*rzntiorznl, January 26, 1993, p. 5; Wal1 Street jarat-rznl, January 43,<br />

1993, p, A-6; 11p.r terrzafio?tnl Defense Reviewt 21 1993, p. 98; lane2 Defense Weekly, April<br />

29,1995, July 29,1995, pp. 17-36.<br />

1 84, Fligkl ltzter~ntional, January 26, 1993, p. 5; Wall Street jclumnl, January 13,<br />

1993, p. A-6; llnletnlrfional Dcfefzse Revkruf 211993, p. 98; Jnne's Dqense Weekly, April<br />

29,1995, July 29,1995, pp. 47-36.<br />

1 85. IIISS, Mr'lita~y Bnli;r~jce, 1995-1 996, pp. 1 38-1 39; lane$ Defense Weekly, January<br />

45, lli394, p. 20, October 29, 4994, p. 24, July 4, 1995, p. 27; Defense Nezvs, April<br />

18-24, 1 994, p. 1, May 9,1994; Reuters, july 14,1995,1623,<br />

1 86. The follwing Bscription of human rights is based on <strong>the</strong> Internet version<br />

of <strong>the</strong> US State Department report on Human Rights far 1994, <strong>Kuwait</strong><br />

country chapter, and additional material from Middle East Watch and Amnesty<br />

International.<br />

187, Based on <strong>the</strong> Internet version of <strong>the</strong> US State Department repc~rt on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> country chapter, as accessed July 15,<br />

4995 and March 9,1996.<br />

188, Based on <strong>the</strong> Internet version of <strong>the</strong> US Skate Department report on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> count^ chaptex; as accessed July 15,<br />

1995 and Ma~h 9,1996,<br />

189. Based on <strong>the</strong> internet version of <strong>the</strong> US State Department repc~l"c on<br />

Human Rights for 4994 and 1995, <strong>Kuwait</strong> counti-y chapter, as accessed July 45,<br />

1995 and March 9,1996


1%. Based on <strong>the</strong> Internet version of <strong>the</strong> US Stake Department repc~rt on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> cuunt~ chaptez; as accessed July 15,<br />

4995 and March 9,1996,<br />

291, Based on <strong>the</strong> Xnternek version of <strong>the</strong> US Skate Department report on<br />

Human Rights for 4994 and 1995, <strong>Kuwait</strong> countiy chapter; as accessed July 45,<br />

1995 and March 9,2996.<br />

192. Based on <strong>the</strong> internet version of <strong>the</strong> US State Department repc~l"c on<br />

Human Rights for 1994 and 1"35t <strong>Kuwait</strong> county chapter, as accessed July 15,<br />

1995 and March 9,1996.<br />

193. Based on <strong>the</strong> Internet version of <strong>the</strong> US Stake Department repc~rt on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> cuunt~ chaptez; as accessed July 15,<br />

4995 and March 9,1996,<br />

294. Based on <strong>the</strong> Xnternek version of <strong>the</strong> US Skate Department report on<br />

Human Rights for 4994 and 1995, <strong>Kuwait</strong> countiy chapter; as accessed July 45,<br />

1995 and March 9,2996.<br />

195. Based on <strong>the</strong> internet version of <strong>the</strong> US State Department repc~l"c on<br />

Human Rights for 1994 and 1"35t <strong>Kuwait</strong> county chapter, as accessed July 15,<br />

1995 and March 9,1996.<br />

196. Based on <strong>the</strong> Internet version of <strong>the</strong> US Stake Department repc~rt on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> cuunt~ chaptez; as accessed July 15,<br />

4995 and March 9,1996,<br />

297. Based on <strong>the</strong> Xnternek version of <strong>the</strong> US Skate Department report on<br />

Human Rights for 4994 and 1995, <strong>Kuwait</strong> countiy chapter; as accessed July 45,<br />

1995 and March 9,2996.<br />

198. Based on <strong>the</strong> internet version of <strong>the</strong> US State Department repc~l"c on<br />

Human Rights for 1994 and 1"35t <strong>Kuwait</strong> county chapter, as accessed July 15,<br />

1995 and March 9,1996.<br />

199, Based on <strong>the</strong> Internet version of <strong>the</strong> US Stake Department repc~rt on<br />

Human Rights for 1994 and 1995, <strong>Kuwait</strong> cuunt~ chaptez; as accessed July 15,<br />

4995 and March 9,1996,<br />

200. Based on <strong>the</strong> Xnternek version of <strong>the</strong> US Skate Department report on<br />

Human Rights for 4994 and 1995, <strong>Kuwait</strong> countiy chapter; as accessed July 45,<br />

1995 and March 9,2996.<br />

Chapter 23<br />

203. New Yol'kr Tintes, October 28,1994, p. A-3.<br />

202, Beutsche 13ress-Agentur, November 21, 1994; November 30, 1994; faneS<br />

D~efzse Wc~ekly, July 9, 19%; J~ne's Exercise 6. Trail~ing Mon itsr, Janua ~y-Ma rch<br />

4996, pp. 8-9.<br />

203. Jane's Defense Weekly, February 22, 1992, g. 274, March '7, 1992, p. 375,<br />

August 1, 4992, p, A-40, August 4, 1992, p. A-14, August 8, 4992, p. 6, August<br />

15,1992, p, A-2 5; Befense News, September 9,Z 991, p. 1, November 18, 1991, p.<br />

3, February 47, 1992, p. 3, June 15, 1992, p. 26; Stnrs aarzd Stripes, March 3, 1942,<br />

p. 8; tondorz Fit-zn~cinl Times, July 8,1991, p. 3; Washington Posf, August 28,1991,<br />

g. A-'7, September 6, 1993, p. A-24, August 15, 1992, p. A-35; Wnshif?gl"on Ti~nes,


December 6, 1991, p. A-2, August 5, 1992, p, A-4; Ruinfiun Week, September 9,<br />

1991, p. 21.<br />

204. Chalupa-BC R's SQRG S Brief; Nero York Ernes, October 44, 1994, p. A-l;<br />

Washington Past, October 14, 1994, p. A-33; Department of Defense backpound<br />

briefing, Octctber 20,1994 (Federal News Srvice); Department of Defense handouts<br />

of (Ilctober 11,1994 and (nctober 12,1994; J;-ErreS Dtfense Weekly, October 22,<br />

1994, g. 4, December 17, 1994, g. 7; US Army briefing sheet (undated) Octc~ber;<br />

1994; Conpessionial Research Service, Iraq Crisis, October, 1994, A Chmnology, 94-<br />

80&F, October 24, 1994; JQ~P's Deftnse Weekly, July 29, 1995, pp. 22-24.<br />

205. Wgshingtun Titr~cs, Augwt 29, 1995; JnrzeS Defi~zse Weekly, August 26, 4995,<br />

g. 3.<br />

206, Executive News Seivice, August 253,1995,0329, Spternber 19,1995,4044,<br />

September 27, 1995,0324; Washington Post, Augutit 19,1995, p. A-17;<br />

207. Nt3ro York Tinres, January 30,19f)G, p. A-6.<br />

2013, Beutsche 13ress-Agentur, November 21, 1994; November 30, 1994; faneS<br />

D~efzse Weekly, July 9,1992<br />

269. New York Elrres, October 14,1994, p. A-l; Washington Post, Octcriber 14,1994,<br />

g. A-33; Department of Defense background briefing, Octcjber 20, 1994 (Federal<br />

News Service); Congressional Research Seivice, Imq Crisis, October, 299df A<br />

Clluonofogy, 94-8Q8Ff October 124, 1994; lane2 Dcfense Weekly, July 29, 1995, pp,<br />

22-24; jnrzeS Exercise ir;. Bainitzg Morzitul; January-March 1996, pp. 8-9.<br />

210. New York Ernes, October 14, 1994, p. A-2; Washirzgton Post, October 14,<br />

423911, p, A-33; Congressional Resarch Service, Imq Crisis, Octobec 1994, A<br />

Clzronology, 94-808F, October 24, 1994; fatzek Befi~se Weekly, Juf y 29, 1 925, pp.<br />

22-24; &neS Exe-feise 6 Trainl'zfg Monitor, January-March, 1996, pp. 8-9.


Sources and Methods<br />

This volume is part of a series of volumes on each of <strong>the</strong> Gulf states which has<br />

been developed by <strong>the</strong> Cater for Strategic and Internatianal Studies as part of a<br />

dpamic net assessment cjf <strong>the</strong> Middle East. This prctject has had <strong>the</strong> sponsorship<br />

of each of <strong>the</strong> Sou<strong>the</strong>rn Gulf states as well as US sponsors of <strong>the</strong> CSXS, and each<br />

text has been widely distributed for comment to expe~s and officials in each<br />

Sou<strong>the</strong>rn Gulf country, to US experts and officials, and to several international<br />

agencies and institutions, and t~arious private experts.<br />

Sources<br />

The author has drawn heavily on <strong>the</strong> inputs of outside reviewers throughout <strong>the</strong><br />

text. It was agreed with each reviewer, however; that no individual or agency<br />

sht)uid be attributed at any point in <strong>the</strong> text except by specific request, and that<br />

all data used be attributed to sources that are openly available to <strong>the</strong> public. The<br />

reader should be a<strong>war</strong>e of this in reviewing <strong>the</strong> footnotes. Only open sources are<br />

normally referred to in <strong>the</strong> text, although <strong>the</strong> data contained in <strong>the</strong> analysis has<br />

often been extensively modified to reflect expert comment.<br />

There are o<strong>the</strong>r aspects of <strong>the</strong> sources used of which <strong>the</strong> reader should be<br />

a<strong>war</strong>e, It was possible to visit each Suu<strong>the</strong>rn Gulf states at variom tims during<br />

<strong>the</strong> preparation of this book and to talk to local officials and experts. %>me provided<br />

detailed comments on <strong>the</strong> text. Interviews also took place with experts in<br />

<strong>the</strong> United States, United Kingdom, France, Switzerland. and Germany brtions<br />

of <strong>the</strong> manuscript tzrer-e circulated for informal review by European officials and<br />

diplomats in same cases. Once again, no details regarding such visits or cornments<br />

are referenced in <strong>the</strong> text.<br />

Data fmm open sources are deliberately drawn fram a wide range of sources.<br />

Virtually all of <strong>the</strong>se sources are at least in partial ccmflict. There is no consensus<br />

over demographic data, budget data, military expenditures and arms transfers,<br />

force numbers, unit designations, or weapons types.<br />

While <strong>the</strong> use of computer data ba~s allowed same cross-correlatic~n and<br />

checking of such source, <strong>the</strong> reporting on factors like force strengths, unit types<br />

and identities, tactics often could not be reconciled and citing multiple sources for<br />

each case was not possible became it involved many detailed ju%rnents by <strong>the</strong><br />

author in recmcilirzg different reports and data.<br />

"The Internet and several on-line services were also used extensively, Since such<br />

<strong>the</strong> data bases are dynamic, and change or are deleted over time, <strong>the</strong>re is no clear


Sources nlzd Meflzods 151<br />

way to fc3otnate much of this material. Recent press sources are generally cited,<br />

but are often only part of <strong>the</strong> material cmsulted-.<br />

Methods<br />

A brc~ad effort has been rnade to standardize <strong>the</strong> analysis of each cormti"yI but it<br />

became clear early in <strong>the</strong> project that adopting a standard format did not suit <strong>the</strong><br />

differences that emerged between countries. The emphasis thrc>ughc>ut this phase<br />

of <strong>the</strong> CSIS net assessment has been on analyzing <strong>the</strong> detailed trends within iindividuat<br />

states and this aspects of <strong>the</strong> analysis has been given priority over country-to-country<br />

consistency.<br />

Tn many cases, <strong>the</strong> author adjusted <strong>the</strong> figures and data use in <strong>the</strong> analysis on<br />

a "best guess" basis drawing on some thirty years of experience in <strong>the</strong> field, In<br />

some o<strong>the</strong>r cases, <strong>the</strong> original data prcjvided by a given source were used without<br />

adjustment to emure camparability even though this leads to =me cmflicts<br />

in dates, place names, force strength, etc. within <strong>the</strong> material p~sented-particularly<br />

between summary tables surveying a number of countries and <strong>the</strong> best<br />

estimates for a specific country in <strong>the</strong> text. In such cases, it seemed best to provide<br />

contradictory estimates to give <strong>the</strong> reader some idea of <strong>the</strong> range of uncertainty<br />

involved.<br />

Extensive use is rnade of graphics to allow <strong>the</strong> reader to easily interpret cornplex<br />

statistical tables and see long-term trends. The graphic progam used was<br />

deliberately standardized, and kept refatlively simple, to allow <strong>the</strong> material portrayed<br />

to be as comparable as passible. Such graphics have <strong>the</strong> drawback, however,<br />

that <strong>the</strong>y often disguise differences in scale and exaggerate or minimize key<br />

trends. The reader should carefully examine <strong>the</strong> scale used in <strong>the</strong> left-hand axis of<br />

each gaphs.<br />

Most of <strong>the</strong> value judgments regarding military effectiveness are rnade on <strong>the</strong><br />

basis of America military experience and standards. Although <strong>the</strong> author has<br />

lived in <strong>the</strong> Middle East, and. worked as a US advisor to several Middle Eastern<br />

governments, he believes that any attempt tcr create some Middle Eastern standard<br />

of reference is likely to be far more arbitrary than basing such judgments on<br />

his own military background.<br />

Mapping and location names presented a major problem. The author used US<br />

Army and US Air Frrrce detailed maps, commercial maps, and in same cases commercial<br />

satelliite photos. In many cases, howeveu; <strong>the</strong> place names and terrain<br />

dewriptions used in <strong>the</strong> combat reporting by bcyth slides, and by independent<br />

obsemers, presented major contradictions that could not be resolved from available<br />

maps. No standardization emerged as to <strong>the</strong> spelling of place names. Sharp<br />

difkrences emerged in <strong>the</strong> geographic data published by variom governments,<br />

and in <strong>the</strong> conflicting methods of: transliterating Arabic and Farsi place names<br />

into English.<br />

The same problem applied in reconciling <strong>the</strong> names of organizations and individuals-particularly<br />

those being transliterated from Arabic and Farsi. It again<br />

became painfully obvious that no progress is being made in reconciling <strong>the</strong> con.flicting<br />

methcds of transliterating such names into Engiiisl~, A limited efhrt has


een made to standardize <strong>the</strong> spellings used in this text, but many diffewnt<br />

spellings are tied to <strong>the</strong> refationat data bases used in preparing <strong>the</strong> analysis and<br />

<strong>the</strong> prexrvation of <strong>the</strong> cjriginal spelling is necessary to identify <strong>the</strong> source md tie<br />

it to <strong>the</strong> transcript of related intesviews,


About <strong>the</strong> Book and Author<br />

With <strong>the</strong> thoroughness that this recently spotlighted nation requires, this volume<br />

examines <strong>Kuwait</strong>" internal and external ~curity situation <strong>after</strong> <strong>the</strong> turbulent<br />

days of <strong>the</strong> Gulf War and investigates continued Western involvemnt in its<br />

safekeeping. It also examines Kuw-sit" changing role as an energy exporter.<br />

Arrthany H. Cardesrnan has served in senior positions in <strong>the</strong> office for <strong>the</strong><br />

secretary of defense, NATO, and <strong>the</strong> U.S. Senate. He is currently a senior fet-<br />

low and Go-Director of <strong>the</strong> Middle East Program at <strong>the</strong> Center for Strategic<br />

and International Studies, an adjunct professor of national security studies at<br />

Georgetcswn University and a special consultant on military affairs for ABC<br />

News, He lives in Washington, D,C,

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