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How to resolve the conflicts?
Arab League
What did Iraq want from Kuwait?
• Rumaila Oilfield compensation• Bubiyan and Warbah islands• Oil production pegged to OPEC quota• Rebuild Iraq after Iran-Iraq war• Clear the war debt
Kuwait’s actions
• Rumaila Oilfield’s compensation– Denied theft accusation– Refused to pay compensation of US$2.4billion
• Angered Iraq– Relationship soured and tension rose
Kuwait’s actions
• Bubiyan and Warbah islands– Claimed ownership – Refused to lease islands– Talks failed
• Iraq deemed Kuwait as a threat – Block off Iraq’s access to the gulf– Affect oil export– Affect revenue
Kuwait’s actions
• Oil production pegged at OPEC quota– Refused to abide to quota– Oil price fell from US$18 to US$7 per barrel
• Iraq deemed Kuwait as waging economic war– Revenue fell– Lost US$1 billion when price fall by a dollar
Reactions
• America’s stand– Fear
Reasons for Invasion
• Clear war debt/ rebuild economy– Needs to clear debt of US$80 billion– Require US$230 billion for reconstruction works
• Not enough resources in war torn Iraq• People were unhappy with post-war situations– Shi’a Muslims– Iraqi soldiers
On-lookers and their actions
• Arab League– Mediator– Pressured other countries to write off debts eg.
Saudi– Pressured Kuwait and UAE to lower production– Organized dialogue between Iraq and Kuwait • Kuwait to raise oil prices to US$21 per barrel• Kuwait to write off war debt• Kuwait to provide US$500 million loan
Outcome of negotiations
• Failed– Due to islands disputes– Fielded troops at border
• 2 Aug 1990– Invasion of Kuwait– Kuwait fell within 12 hrs– Moved towards Saudi
Reasons for Invasion
• Free Kuwaitis – revolutionaries• To calm/ improve situations in Iraq (Shi’a
Muslims + Iraq soldiers)• US sympathy
What it means if Iraq takes over Kuwait?
• Control 20% of world’s oil production– Set high prices – Affect world’s economy
• Bold– Look towards Saudi’s riches
Reactions from Arab
• Say “NO” to western intervention• Kuwait requested Arab League to condemn
Iraq’s actions/withdrawal– Divided outcome– ineffective
Reactions from US
• Intervened and deployed soldiers to defend Saudi – Operation Desert Shield
• Joined in by Britain, France and members of Arab League – coalition forces
Reactions from International community
• UN security council passed resolution– Immediate withdrawal from Kuwait
• Set up for negotiations between Iraq and Kuwait
• Kuwait and Iraq’s assets frozen• Military and economic sanctions (useful??)
Iraq’s reactions
• Before Arab League’s act to condemn Iraq– Withdraw from Kuwait– Kuwait’s ruling power ousted
• After Arab League’s act to condemn Iraq with coalition forces– Declared annexation– Took westerners as hostages in Iraq and Kuwait
Iraq’s reactions
• Pressured to withdraw from Kuwait (with conditions– End sanctions– Full control of Rumaila oilfield– Access to the gulf
• Conditions not accepted by US• Last meeting before deadline for war– failed
Operation Desert Storm
• 15 January 1991• Force Iraq out of Kuwait• Destroyed Iraq’s command and control
capability through air raids• Destroyed communication centers• Iraq crippled
Impact
• Kuwait– More than 1000 civilians killed, thousands
tortured– Fled their country– Looting– Set fire to 600 out of 950 oil wells– Damages over US$25 billion
Impact
• Iraq– Military crippled• Destroyed almost 1/3 war machines• Destroyed air defence• Loss of morale among troops• Iraqi soldiers surrendered• Thousands of troops killed along the Highway of Death
Impact
• Kurds rise against Saddam– No military support from coaltion– Massacred one million Kurdish refugees– Coalition abandoned the Kurds– Peacekeepers sent in
• Iraqi’s sufferings– Widespread destruction– Spread of diseases - contamination
Regional/ International Impacts
• Environmental catastrophe– Oil wells fires– Dumping of oil (11 million barrels) in Persian Gulf– Marine life threatened– $$ to put out fire– $$ to clean up oil slick
Regional/ International Impact
• Displaced foreigners– 2 million foreigners fled the country– Sufferings for their family