Kuwait

Kuwait found oil in the 1930s and has ever since been one of the regions most developed countries. Its vast oil reserves have put a great deal of economic power at the hands of the ruling al-Sabah family, which first ruled the country in the 18thcentury.

Kuwait faced widespread destruction when Saddam Hussein and his Iraqi forces invaded in 1990.  Saddam was looking to annex Kuwait to Iraq, but the international community had little tolerance for his plans. In January 1991, a US-led operation forced the Iraqis out in less than two months. But Kuwait was left in a terrible state, with oilfields ruined and oil production at a temporary halt.

Politically, Kuwait is one of the most liberal countries in the Gulf. Despite disputes between various fractions and tribes, it was the first Arab country with an elected parliament. And in 2005, it allowed for the indiscriminate participation of women in parliamentary elections.

The economy is strong, and the population wealthy, but as much as 95% of government revenue comes from oil. This small country has done little to diversify its economy, even though the National Assembly recently passed a bill on privatization and briefly thereafter a development plan for diversification aimed at attracting more investment.