Kuwait Swot Analysis

Introduction

Kuwait is the symbol of an oil country. Nearly one-tenth of the world's known oil reserves are in the country, and they are expected to last at least another 100 years.

Since World War II, Kuwait has undergone a dramatic evolution from a poor desert country with pearl fishing as their main source of income for one of the world's richest countries. The economy is totally dominated by the oil; its accounted for the entire 95 percent of revenues to the treasury.

Facts – Economy of the industry

GDP per person - USD 39 735 (2013)

Total GDP - million U.S. dollars 183,243 (2012)

GDP growth - 5.1 percent (2012)

Agriculture's share of GDP - 0.5 percent (2003)

The industry's share of GDP - 51.0 percent (2003)

Service sector's share of GDP - 48.5 percent (2003)

Inflation - 3.1 percent (2013)

Budget deficit (or of the surplus) to GDP - 18.7 percent (2009)

Reserve assets - millions of U.S. dollars 23 028 (2009)

Foreign trade

Kuwait has a relatively open economic system with low tariffs and free movement of goods, capital and labor. As mentioned above the country's single most important commodity is oil and oil products, which account for about 95 percent of export earnings. These vary greatly with the price of oil on world markets. Meanwhile, Kuwait import virtually everything else that the

For example, could a Yemeni in the late 1970s, earning six to seven times higher in Saudi Arabia/Kuwait than in Yemen. Moving to Kuwait for higher wages is a very attractive option for the people of the oil poor countries, which is also encouraged by the governments of these countries, cause even the government benefits from guest workers' bonuses. In Yemen, the country in the region that is most dependent on labor migration, were bonuses in the 1980s, 30% of the country's GDP, and were worth several times more than the country's