Why is Kuwait not considered a `developed` country?

Running Head : Kuwait

Kuwait

[Name of Writer]

[Name of Institution]

Kuwait

Introduction

The prominence and significance of urbanized , developing and under-developed countries is a subjective notation which is established on the basis of economical , political , social and cultural status of a country . Although , Kuwait is rich for its mineral oil resources , its political , social and cultural status is not influential . Hence , Kuwait is not considered to be a developed country . Kuwait does not rank competitively for various reasons . Political deadlock has slowed down economic restructuring and development

, while long-drawn-out bureaucratic measures limit non-oil sector growth for both overseas and local businesses . Other issues include instability in oil prices and escalating global trade linkages as well foreign businesses cannot compete in the local market of Kuwait

Why Kuwait is not considered to be a Developed Country

Economical Issues

Kuwait 's economy has been geared towards the development of a local market . The country 's ruling elite have also made little attempts to upgrade the education system . The economy has not welcomed foreign investment while closing its markets . During the 1970s , high oil prices led to a phenomenal increase in macroeconomic indicators but by the 1980s dropping oil prices had forced the government to cut back on expenditure and budget deficits . Its economy is immensely reliant on imported overseas workforce . Over 81 percent of foreign immigrants make up the labor force in Kuwait (Crystal , 1992 . In other words expatriates play a major role in contributing towards Kuwait 's economy The flaws and...