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Kuwait Politics
KHOA

Challenges For The Coming Decade

➢ Kuwait shares many of its structural political features and sources of risk with its Gulf neighbors: Kuwait will remain one of the most stable
countries in the Middle East on a day-to-day basis, with little to disturb a generally high quality of life for most people. However, it does have
several possible sources of risk, and its progress along the democratic path –easily the furthest of any Gulf state – looks irreversible. Over the

long term, this will boost stability, as citizens feel their grievances can be aired through peaceful, legal challenges. We believe that political
representation and a developed civil society are essential to long-term stability.

➢ However, Kuwait is still far from free, and the transition will be long and difficult. Moreover, stability at the moment depends on oil revenues,

which are not assured over the long term.

➢ Kuwait is broadly stable: Islamism is present but represented within the legal, democratic framework, which stands Kuwait in good stead vis-
à-vis public levels of satisfaction. In general, dissent is expressed legally at the ballot box, reducing the risk of militancy or armed rebellion.

Indeed, Kuwait's democratic credentials support its relatively elevated long-term political risk score, but have caused some instability in the
short term, with 11 cabinets and seven parliament dissolutions since 2006, and a number of key fiscal and political reform plans derailed by
the legislature.

➢ We expect the succession of the current emir to bring about a period of heightened political tensions, as royal factions contest for the
position of crown prince.

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