On August 2, 1990, Iraq invaded and occupied Kuwait. Through U.S. efforts, a multinational coalition was assembled, and, under UN auspices, initiated military action against Iraq to liberate Kuwait. Arab states, especially the other five members of the Gulf Cooperation Council (Saudi Arabia, Bahrain, Qatar, Oman, and the United Arab Emirates), Egypt, and Syria, supported Kuwait by sending troops to fight with the coalition. Many European and East Asian states sent troops, equipment, and/or financial support.

After liberation, Kuwait concentrated its foreign policy efforts on development of ties to states which had participated in the multinational coalition. Notably, these states were given the lead role in Kuwait's reconstruction. Kuwait's relations with those nations that supported Iraq, among them Jordan, Sudan, Yemen, and Cuba, were slow to recover. Palestine Liberation Organization (PLO) Chairman Yasir Arafat's support for Saddam Hussein during the war also affected Kuwait's attitudes toward the PLO though Kuwait supports the Arab-Israeli peace process.

The Government of Kuwait has abandoned its previous policy of limiting the entry of workers from nations whose leaders had supported Iraq during the Gulf War. In August 2001, the Interior Minister announced that there were no longer any special restrictions or permits required for Palestinian workers wishing to return to the country. At the end of 2002, there were approximately 30,000 to 40,000 Palestinians, 30,000 to 40,000 Jordanians, and 5,000 Yemenis resident in Kuwait.

Since liberation from Iraq, Kuwait has made efforts to secure allies throughout the world, particularly UN Security Council members. In addition to the United States, defense arrangements have been concluded with the United Kingdom, Russia, and France. Ties to other key Arab members of the Gulf War coalition--Egypt and Syria--also have been sustained.

During the 2002-03 buildup to and execution of Operation Iraqi Freedom (OIF), Kuwait was a vital coalition partner, reserving a full 60% of its total land mass for use by coalition forces and donating significant assistance in kind to the effort. Kuwait continues to provide generous assistance in kind to ongoing coalition operations in Iraq. Kuwait has been consistently involved in reconstruction efforts in Iraq, pledging $1.5 billion at the October 2003 international donorsí conference in Madrid, and consulting closely with Iraqi officials, including Prime Minister Ibrahim Jaffari, who visited Kuwait most recently in late October 2005. Kuwait has been an active and vocal public supporter of the political process in Iraq, welcoming the January 2005 elections and praising Iraqís October 2005 successful constitutional referendum.

Kuwait is a member of the UN and some of its specialized and related agencies, including the World Bank (IBRD), International Monetary Fund (IMF), World Trade Organization (WTO), General Agreement on Tariffs and Trade (GATT); African Development Bank (AFDB), Arab Fund for Economic and Social Development (AFESD), Arab League, Arab Monetary Fund (AMF), Council of Arab Economic Unity (CAEU), Economic and Social Commission for Western Asia (ESCWA), Group of 77 (G-77), Gulf Cooperation Council (GCC), INMARSAT, International Development Association (IDA), International Finance Corporation, International Fund for Agricultural Development, International Labor Organization (ILO), International Maritime Organization, Interpol, IOC, Islamic Development Bank (IDB), International Federation of Red Cross and Red Crescent Societies, Non-Aligned Movement, Organization of Arab Petroleum Exporting Countries (OAPEC), Organization of the Islamic Conference (OIC), Organization of Petroleum Exporting Countries (OPEC), and the International Atomic Energy Agency (IAEA).