Within this hierarchy there are enormous gaps between the vastly rich, the middle class, and the extraordinarily poor migrants. Kuwaiti government is nominally a constitutional monarchy, headed by the Amir. The constitution was approved and implemented on 11 November Upon the development of this Kuwaiti men in traditional robes attend a meeting in Kuwait.
This form of democracy was short-lived, however. In August , Sheikh Sabah dissolved the assembly under the premise that legislation was being manipulated to increase private gain for officials. As a political system built on a hierarchy of clans, nepotism is rampant in the Kuwaiti government. Therefore, it is in the Amir's power to dissolve the parliament, and within two months it must be re-elected, or the previous parliament will be instituted again.
Leadership and Political Officials. There are not any national political parties or leaders, yet several political groups act as de facto parties; these include the Bedouins, merchants, nationalists, Sunni and Shi'a activists, and secular leftists. These de facto parties are divided along the lines of class and religion.
Social Problems and Control. Social problems stem predominantly from the various systemic hierarchies. Within these structures, groups and individuals are constantly struggling to either improve or maintain their position. As of late, the position of women within these structures has been a subject of great debate. Similarly, the degree to which Islam should influence political structures is also a source of debate and contention.
Presently, political and social controls are influenced by a combination of Islam and tradition, but this is being questioned in the increasingly multicultural environment of Kuwait. Military Activity. Kuwait has an army, navy, and air force. The national police force, national guard, and coast guard are also part of the military.
Social service programs have long been an important agenda item for Kuwait's government, with education and health being two of the country's major expenditures. In the past there have been many programs providing housing and subsidizing services such as water, electricity, and gasoline. Recently, however, these programs have been cut back and are being re-evaluated, as they have lead to an extreme amount of reliance on the state for basic services.
In the past the Kuwait Fund for Arabic Economic Development was one of the largest and most Kuwaiti women demonstrate for suffrage. These women reflect the emerging prominence of women in Kuwaiti political and social life.
Founded in , the organization made massive loans and provided technical expertise to assist Arab and other developing nations develop their economies. In the aftermath of the war with Iraq, Kuwait has been the recipient of assistance from neighboring countries. Division of Labor by Gender. Both Kuwaiti custom and law enforce a division of labor by gender.
Unlike other Arabic countries, women are involved various aspects of the labor force, but the percentage of women involved in labor outside of the home is small. Those women who are gainfully employed often work in the social services, in clerical positions, and as teachers. Few women are owners or managers of small businesses.
The Relative Status of Women and Men. The tension between traditional Kuwaiti Islamic values and Western values is evidenced in the roles and status afforded to men and women within Kuwaiti society. Many women still go veiled and wear the traditional black, but many girls in the younger generation follow the dictates of western fashion. Female students are a majority at Kuwait University, and women are prominent in the country's commercial life and in the civil service.
Women are openly agitating for the relaxation of social restrictions on females, more women's rights, and an increase in job opportunities. Most marriages in Kuwait are arranged, in accordance with tradition. Intermarriage occurs within clans, but not between social classes. Women, regardless of their age, need their father's permission to marry. Also, a woman cannot marry a non-Muslim, although a man is afforded this privilege. In addition, a woman can only marry one spouse, while a man has the legal right to four wives.
Domestic Unit. Family forms the basis of Kuwaiti society. Extended families live together, both out of necessity caused by limited housing space, and so that all family members can be involved in the socialization of future generations and maintain familial and cultural traditions.
In accordance with Islam, both men and women have equal property rights. Child Rearing and Education. All schooling for Kuwaitis is free, and between the ages of six and fourteen, attendance is compulsory. While the government stresses the importance of education regardless of gender, most schools are segregated on the basis of gender after kindergarten. The definition of literacy used by the government is that one must be over the age of fifteen and capable of reading and writing. With this in mind, 79 percent of the population is literate, with 82 percent of men and 75 percent of women meeting these criteria.
Higher Education. There is only one university in the country, but because of the great value placed on education, the government awards scholarships for many Kuwaitis to pursue higher education. There are also several post-secondary technical institutes where one may pursue knowledge of electronics, air-conditioning, and diesel and petrol engines, all necessary to the major industries of Kuwait.
Kuwaitis, like other Arab populations, have different personal boundaries than Westerners. In general, they sit, talk, and stand closer to one another. It is common for members of the same sex to touch one another during their interactions as an expression of their friendship, and men often shake hands upon greeting and departure. Socially, physical contact between men and women is not acceptable. To Kuwaitis, honor, reputation, and respect are primary concerns. Religious Beliefs.
The main religion in Kuwait is Islam: approximately 85 percent of the population is Muslim. There are two main sub-sects of Islam in Kuwait, 45 percent of the population is Sunni Muslim, while 40 percent of the population is Shi'a Muslim. The remaining 15 percent of the population practices Christianity, Hinduism, Parsi, and other religions. Rituals and Holy Places. For practitioners, the most essential tenet of Islam is the purification of the soul through prayers, known as salat, five times each day.
The purpose of this activity is to strengthen one's commitment to god. Cleanliness and proper hygiene are prerequisites for the ritual prayers—in Islam good physical health and good spiritual health are intertwined. In Islam the importance of good health cannot be overemphasized. With this in mind every Kuwaiti citizen is provided both care in sickness and preventative medicine.
Graphic Arts. In Kuwait, as in many Islamic countries, the art of calligraphy is one of the most longstanding and thriving forms of expression.
Arabic calligraphy is considered to be the ultimate expression of god's words. Because in traditional Islam sculptural and figurative forms of art were perceived as idolatry, calligraphy was considered an acceptable, alternative form of art and expression.
Al-Rabie, Ahmad. Crystal, Jill. Kuwait: The Transformation of an Oil State, Devine, E. Braganti, eds. Hasan, Alia F. Ismael, Jacqueline. Kuwait: Social Change in Historical Perspective, Amnesty International Human Rights Reports. Available at www. CIA Fact Book. Toggle navigation. Culture Name Kuwaiti. History and Ethnic Relations Emergence of the Nation.
Dominant Kuwaiti culture is homogeneous, and adheres to traditional values Kuwait. Urbanism, Architecture, and the Use of Space Over the span of just two hundred years, Kuwait shifted from a nomadic population to an urban population. Food and Economy Food in Daily Life.
Social Stratification Classes and Castes. Political Life Government. Social Welfare and Change Programs Social service programs have long been an important agenda item for Kuwait's government, with education and health being two of the country's major expenditures.
Marriage, Family, and Kinship Marriage. Socialization Child Rearing and Education. Etiquette Kuwaitis, like other Arab populations, have different personal boundaries than Westerners. Religion Religious Beliefs. Medicine and Health Care In Islam the importance of good health cannot be overemphasized. The Arts and Humanities Graphic Arts. Bibliography Al-Rabie, Ahmad. It has changed dramatically from its days as a mud-walled fishing village and center of the pearling trade.
Graceful sailing ships called dhows once dotted its waters. Today Kuwait city has broad avenues and high-rise buildings. It is the commercial, financial, and industrial heart of the country. Many Kuwaitis fled the city when the country was invaded. Those who remained suffered under the Iraqi occupation. Other important urban areas include Mena al Ahmadi, an oil port; the port of Shuwaykh; and the new city of Ahmadi, built by the Kuwait Oil Company.
Kuwait is a constitutional monarchy. Its ruler is the emir, who belongs to the Sabah family that has ruled Kuwait since The emir is chosen for life by other members of the family. He exercises power through a prime minister and a council of ministers. Traditionally, the office of prime minister has gone to the crown prince, the intended successor of the emir. In , Kuwait adopted its first constitution. It provides for an elected legislature, the National Assembly.
Its members serve 4-year terms. Only male citizens over the age of 21 who are able to read and write and whose parents have lived in Kuwait since are allowed to vote and take part in political life. This includes only a small fraction of the total population. But all people living in the country may benefit from the wide range of social services offered by the government.
Early History. In they chose the Sabahs to be the ruling family of what is now the nation of Kuwait. The region was nominally part of the Turkish Ottoman Empire, but the Sabah family was allowed much self-government in local matters.
But attacks on the town of Kuwait by raiding Arab tribes and by Persian Gulf pirates led to its economic decline. British Influence. Britain became especially interested in Kuwait because the Persian Gulf was a vital waterway on the route to British-controlled India.
In he signed a treaty with Britain, in return for British protection. After the war—under the pro-British rule of Sheikh Ahmad, a nephew of Salem—the country began to flourish. Concessions were signed with the oil companies, and immigrant workers swelled the population. The oil boom and its accompanying prosperity began in , when oil operations, halted during World War II , were resumed.
Under Abdullah the country made great economic progress. Kuwait gained full independence from Britain on June 19, Abdullah died in and was succeeded as emir by Sheikh Sabah al-Salim al-Sabah. To protect Kuwaiti oil shipments during the Iran-Iraq war of , the U. The Persian Gulf War. In spite of its support of Iraq during the war, Kuwait was invaded by its much larger neighbor in Iraq had claimed Kuwait as part of its territory under Turkish rule. Using the pretext of disputed oil fields and disagreements over oil production quotas, Iraq quickly overran Kuwait, as the emir fled to Saudi Arabia.
The aggression was condemned by the United Nations Security Council and by many governments. When Iraq refused to withdraw from Kuwait, the United Nations authorized the use of military force by a coalition alliance of nations led by the United States. The coalition included troops from several Arab countries. Massive air attacks against Iraq began in January In February allied armies launched a ground offensive.
After some hours of combat, Iraq was driven from Kuwait. The Aftermath. During its occupation, Iraq had looted hospital equipment, libraries, government records, museums, industrial machinery, private automobiles, and other property from Kuwait.
Hundreds of civilians had been killed, tortured, and imprisoned. Thousands of Kuwaitis had been taken prisoner to Iraq. Others fled to neighboring countries, returning after the fighting ended. Many non-Kuwaiti citizens also fled. Meanwhile, in February , the parliament embraced a commercial agencies law, which allows for more than one agent or dealer for commodities in Kuwait, which officially broke the monopoly of agents over imports.
Yet, decisions by the administration related to market activities can be arbitrary and sometimes involve corruption. The business community is further able to influence political decision-making through connections to the government and parliament, as well as lobbying of the Chamber of Commerce.
Therefore, it has tools to shape economic policies in a way that protects its privileged, monopolistic position in the market. Restrictive agreements and practices are regulated by the Commercial Law.
In , the government issued a Competition Protection Law Law no. The competition law aims to ensure the freedom to practice economic activities in a way that does not curb, prevent or harm free competition in any way. Any contract or agreement that tries to create a monopoly or curbs or restricts free trade or competition in Kuwait is forbidden. However, the ranking shows that anti-monopoly regulation in Kuwait is still very weak. Kuwait depends heavily on foreign trade.
The country exports oil and to a lesser extend petroleum-related gases. At the same time, the country heavily depends on the import of food, consumer goods and semi-finished products which are then assembled by local companies. Foreign investments have been restricted in the past. However, a ministerial resolution no.
The list includes the energy, manufacturing, real estate, public administration and security sectors. However, many foreign companies working in Kuwait continue to rely on foreign expatriate workers rather than the national labor force.
According to the IMF, Kuwaiti banks are amply capitalized and liquid, with stable profits. There are several commercial banks, largely private, that are generally well-managed and stable. The bank capital to asset ratio was reported to be In the period under review, the banking sector experienced a positive effect due to the higher levels of state spending as the government began implementing its development plan, while global oil prices finally rebounded.
Foreign banks have been allowed to set up operations in Kuwait since , which has resulted in the current mix of local, Islamic and foreign banks. Since , foreign banks are allowed to open more than one branch in the country. Yet, their activities remain largely confined to investment banking. Contrary to predictions, inflation in Kuwait eased in , with an annual average of 2. It was expected that, during the period under review, there would be a rise in inflation following the long-awaited introduction of a value-added tax.
Hence, annual inflation for remained low, around 0. Though the current parliament given its relative power was able to successfully oppose these austerity measures during the period under review. In , the Kuwaiti dinar was un-pegged from the U. The Kuwaiti dinar is fully convertible and profits can be repatriated.
Owing to high oil income, as well as a tendency to spend below budget, Kuwait posted successive budget surpluses for nearly two decades. As a result of the strong recovery in global oil prices, Kuwait returned to a surplus of 0.
Currently, public debt in Kuwait is moderate, with public debt standing at Property rights and basic commercial laws are reasonably clear. Kuwait ranked 54 out of countries in the — Global Competitiveness Index for property rights. In terms of days and procedures necessary to register property, Kuwait has improved substantially in recent years. Previously, only Kuwaitis had the right to freely own real estate. Citizens of Arab countries could acquire ownership of only one estate with permission from the Council of Ministers.
Foreign countries were permitted to possess real estate for the purpose of housing their diplomatic missions. In April , however, Kuwaiti media reported that the cabinet had granted expatriates permission to own property in Kuwait including apartments, houses and land , but with little specification regarding how, when and who.
Hence, the common mode for foreign investors remains a build-operate-transfer BOT arrangement Law no. Kuwait protects intellectual property rights through a number of different laws.
In November , the U. For this purpose, several new bodies and reforms have been announced in recent years. So far, the SME fund does not appear to be functioning effectively. Many international business reports describe Kuwait, during the period under review, as being in the midst of a construction and infrastructure boom. In order to encourage the private sector to invest in infrastructure projects, the government issued a new public-private partnership PPP law in Law no.
Since , a raft of contract awards and new tenders have been granted to Kuwaiti and international firms, after several years of delays in infrastructure projects.
Partnerships and joint ventures with international companies include projects in oil and gas e. Schlumberger , housing, roads and sewage, and the new international terminal at Kuwait airport contracted to Turkish Limak. A second contract package relating to Kuwait international airport including passenger services, buildings and roads was tendered in January However, there is major popular opposition to the privatization of crucial sectors, especially oil, as it can lead to mass layoffs of national employees and will increase the cost of services.
Kuwait is an oil-funded welfare state. The state assumes primary responsibility for the welfare of its citizens, who are provided with free medical care, government-supported housing, interest-free loans, free primary, secondary and tertiary education and until recently guaranteed public sector employment.
In addition, various services, including fuel, electricity, water and telecommunications, are heavily subsidized. Given the recent fall in the global oil price, the government has attempted to introduce austerity measures e.
Despite the extensive state welfare system, housing in particular has been a contentious issue for several years. The Public Authority for Housing Welfare, charged with providing free homes for citizens, had , nationals on its waiting list for housing in , which rose to , in To meet housing demand, new suburbs are under construction with further suburbs planned for the future.
Still, there are very few cases of poverty among Kuwaiti citizens. This does not however apply to the Bidoons, who do not carry Kuwaiti citizenship. Also, foreign blue-collar workers and housekeepers, especially women, are often exploited, and live and work under unacceptable conditions. However, migrant workers have seen a few improvements, such as the introduction of a minimum wage in For some time now, the government has considered abolishing the controversial, traditional sponsorship kafala system, which human rights groups have criticized as a form of bonded labor.
In January , local media reported that the Minister of State for Economic Development, Mariam Al-Aqeel, will soon head a ministerial meeting to discuss cancelling the kafala. The constitution declares men and women to have equal rights.
And although Kuwait is essentially a patrimonial society, women are increasingly enjoying more rights and freedoms. Since Kuwaiti women have been allowed to become public prosecutors and some of those subsequently supervised election committees in However, out of approximately candidates to run for office in the last parliamentary election, only 15 candidates were women and only one female candidate Safaa al-Hashem was elected to the National Assembly.
Women face legal discrimination in different areas. Kuwaiti women married to foreign men cannot pass on their nationality to their children. Despite high literacy rates and good education levels — topping male enrollment in secondary and tertiary education — women are underrepresented in the Kuwaiti labor market, with Furthermore, opportunities are much more restricted for non-citizens, such as Bidoons and low-waged foreign workers.
Many observers noted that xenophobic sentiments are rising. In , Al Jaber Hospital, the first hospital exclusively for Kuwaiti citizens, was built. Therefore, revenues are volatile and affected by oil price fluctuations.
The drastic fall in the value of crude oil from mid to impacted GDP performance considerably. The country had a relatively low and stable inflation rate of 2.
Unemployment data varies according to the source, with figures for ranging from 2. Foreign direct investment FDI has traditionally been low in Kuwait, accounting for only 0. Tax obligations remain low. In , a parliamentary committee approved the draft of a remittance tax law. Kuwait also postponed the introduction of VAT to In recent years, environmental issues and goals have increasingly been taken into consideration and talked about by the Kuwaiti government and the media.
In October , a new environment law took effect, establishing a new environmental police division, as well as introducing very strict penalties for violators. The new environmental police appear to have had an effect in the field of fishing to the disadvantage of hobby fishers and the protection of hunting grounds. Various Kuwaitis have complained on social media, however, that the police show more concern about smoking in buildings than about real environmental issues, such as littering and the illegal dumping of garbage.
Air quality suffers from the burning fossil fuels in power plants, oil activities and petroleum refineries. Kuwait was one of the countries that signed the Paris agreement to combat climate change in For instance, the Council of Ministers commissioned a consultancy to prepare a plan for transforming the Boubyan and Warba Islands, largely uninhabited marshlands with unique maritime and wildlife, into a center for manufacturing, IT, renewable energy, eco-tourism, fish farming and logistics based around the Mubarak Al Kabeer port.
A similar fate is expected for Failaka Island, which has remained largely uninhabited since the invasion by Iraqi forces, which the government plans to develop into a tourism, education, historical and cultural center. Public education is free for Kuwaiti citizens. Public educational facilities are gender-segregated starting from primary education. In addition, Kuwait counts various private foreign schools that do not necessarily follow national Kuwaiti curricula, but international models e.
Non-Kuwaitis are in general not allowed to join public education. However, several groups have been granted special permission, such as the children of diplomats, and the children of Kuwaiti mothers married to non-Kuwaiti men. This number was criticized by the Islamist opposition member of parliament Osama al-Shaheen, who called for a reduction in the number of foreign students in public educational facilities. However, stateless children are regularly denied access to schools due to accusations that their parents destroyed their real identification documents to allow them to pass as Bidoon and benefit from state subsidies.
The construction of the new campus started in , but has been subject to constant delays. Furthermore, Kuwait has nine private universities.
However, whereas primary and secondary school enrollment rates are very high Kuwait has a high literacy rate of The education system is generally criticized for not preparing students for the labor market. Although there exist various research institutions, like the Kuwait Foundation for Advancement of Sciences and the Kuwait Institute for Scientific Research, the Global Competitiveness Report rated the quality of scientific research institutions low, ranking Kuwait 81 out of countries.
As in the previous years, a major structural constraint on governance in Kuwait is the adversarial relationship between the government and parliament, with every project threatened by potential political blockage.
The looming conflict between Saudi Arabia and Iran has led to fears of a closure of the Persian Gulf, which would cut-off Kuwait from its sea-born trade. The scenario of state collapse in Iraq bears unforeseeable risks for Kuwait. Civil society activity further experienced a boost during the spread of the Arab Nationalist Movement in Kuwait in the s and upon the establishment of the Kuwaiti branch of the Muslim Brotherhood in Many of these civil society organizations work informally.
Civil society organizations face a challenging legal environment in Kuwait and are often dependent on the goodwill of the Ministry of Social Affairs and Labor. Under international pressure, the ministry has put fundraising for charity under scrutiny for fear of money-laundering and channeling support to Islamist terrorism. In the period under review, the Ministry of Social Affairs and Labor closed 34 charities, which it deemed illegal due to their lack of proper licensing.
The new social affairs minister, Saad al-Kharraz, who was sworn into office in December , was asked by members of parliament to take action against some further 85 allegedly illegal charities. Kuwaiti society consists of various groups, which can be distinguished along confessional, historical, political and national lines, though they are often intertwined. A major historical cleavage is between the badu Bedouins and hadhar i.
There is little violence, and a culture of debate and consultation generally prevails. In the period under review, there has been a noticeable rise in xenophobia toward expatriates not only in the rhetoric of government circles and members of parliament, but also in concrete policy proposals to deport migrant workers, limit incoming migration and tax remittances though all short-lived with no success.
Several recent legislation changes, mentioned earlier in this report, cement the growing gap between nationals and economic migrants.
The mounting contention against migrant workers reflects the rising problem of unemployment among nationals, particularly young Kuwaitis, who are not the first choice of many employers due to their lack of skills and work ethic. Yet, these visions, often developed by foreign consultants, largely remain rhetoric.
However, given the rising tensions in the Gulf due to the recent escalation of the Qatar crisis, Kuwait appears unattractive to the international business community. The versatility of the global oil price motivated some recent reform measures, concentrating on the empowerment of the private sector and national employers, as well as attracting foreign businesses to and investment in Kuwait.
The government faced difficulties implementing policies deemed unfavorable to native-born citizens. Though less contentious economic policies, aimed at boosting development projects and attracting foreign investment, progressed slowly in the period under review. Several economic reform measures e. Although lifting subsidies appears to have been a hot and much debated topic during the recent period of low global oil prices — , this hardly resonated in the local media, presumably due to its sensitive nature.
Cuts to electricity and water subsidies, which went into effect in September , ultimately excluded Kuwaiti households, and were confined to expatriates, and commercial and industrial sectors. So far, the authorities have only been able to reduce subsidies for petrol. However, opposition to this measure resulted in the dissolution of the parliament in Although the government sometimes tries to respond to mistakes and failed initiatives with new ideas, old patterns frequently repeat themselves due to the specificities of political system.
With several countries e. However, unlike its GCC peers, the Kuwaiti government is not completely autonomous in its decision-making and has to respond to and coordinate with parliament. Due to the peculiar political system, the parliament is often left playing a negative or delaying role.
The Kuwaiti government uses its available economic resources relatively efficiently, yet lags with regard to the use of human and organizational resources.
Large revenues from oil exports have financed the development of a generous welfare state, which provides a broad range of services such as health care, housing loans, free education as well as employment or financial assistance to all Kuwaiti citizens.
The sovereign wealth fund lacks transparency with regards to its total assets and investments. The sovereign wealth fund is required to present a report on its assets and performance to the cabinet, but is strictly forbidden from sharing this information with the general public. However, given the vast financial reserves of the country, this seems rather manageable.
Kuwait has benefited substantially from the recovery in global oil prices since and returned a budget surplus of 0. With oil prices further picking up in , more positive figures are expectable. Administratively, the government does not use its available resources efficiently. The — Global Competitiveness Index lists inefficient government bureaucracy and corruption as the most problematic factors for doing business in Kuwait.
Sensitive procedures are rarely transparent and regular corruption scandals highlight considerable exploitation in public procurement. There have been several reports of mismanagement of public funds, including by KIA.
In terms of using its human resources, the government is highly inefficient. The public sector is overstaffed with unneeded employees, which results in a huge burden on the budget and the creation of impenetrable bureaucratic red tape. The staff in the government sector is often employed with little regard to skills and education. Personal relations and favoritism play a more significantly role.
The government often has difficulties in forming coherent policy amid conflicting objectives. For this reason, policies often lead to conflicting results.
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