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نحن لا نرسل البريد العشوائي! اقرأ سياسة الخصوصية الخاصة بنا لمزيد من المعلومات.

The burning of Kuwait’s oil wells continues to drain Iraq’s budget.

As the Iraqi forces were retreating to Baghdad after acknowledging defeat against the US-led coalition in Kuwait, they committed a final aggressive act by setting fire to approximately 789 Kuwaiti oil wells near the border.

Financial Impact on Kuwait

Kuwait was affected by the Iraqi aggression both financially and environmentally and has been paying reparations since then.

Financial Reparations

Kuwait lost export revenues significantly immediately after the Gulf War due to the damaged oil wells.

Recovery of Iraq and Kuwait

Analysts tell “Al Arabiya News” that Iraq and Kuwait are recovering from the incident nearly 25 years later.

Financial Challenges for Iraq

Iraq faces financial challenges due to the sharp decline in oil prices and security threats from the Islamic State in Iraq and Syria (ISIS).

Financial Pressures on Iraq

Under budgetary pressure, Iraq must allocate its funds to a number of other commitments, including fighting ISIS, contractual payments to oil companies, public employee salaries, and transfers to the Kurdistan regional government.

Request to Postpone Payments

Iraq has requested to postpone the final payment of reparations for the destruction of Kuwaiti oil facilities due to budget constraints. Although Kuwait has been reluctant to accept the postponement, it had no choice but to agree.

Environmental Damage

It took until November 6, 1991 – nearly eight months after the withdrawal of Iraqi forces from Kuwait – for the last burning oil well to be capped and extinguished. This led to the formation of hundreds of oil lakes.

Accountability for Past Mistakes

Opinions among analysts differ regarding current Iraqi responsibility for the mistakes of the Saddam Hussein era. However, Kuwait believes it is entitled to reparations and wishes to postpone payments to improve conditions in Iraq.

Source: https://english.alarabiya.net/business/economy/2015/08/13/Burning-Kuwaiti-oil-wells-still-drains-Iraqi-budget


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