Emir Sheikh Sabah Al-Ahmad Al-Sabah, ruler of Kuwait, on Wednesday announced the dissolution of parliament, and said that new elections would be held within 60 days. The announcement follows an emergency meeting called today between government officials.

The reason for calling the meeting is speculated to be the delay of key economic reforms caused by present political unrest, and analysts are speculating to no end about the possible implications of the decision, though nothing is confirmed. At stake, analysts say, is amongst other things the $5 billion economic aid package to be provided in order to stabilize Kuwait, announced by the central bank governor on February 8th.

Many other initiatives have been hampered by the lack of cohesion in the government, and according to estimates by Egyptian bank EFG-H ermes, only 14 percent of state plans for expansion have been accomplished, most notable amongst them the proposal to explore northern Kuwait for oil.

Kuwait still relies heavily on oil exports for its economic health, and some have said that such a reliance is subject to perpetual fluctuations and provides no stability. Other OPEC countries, an organization of which Kuwait was a founding nation, have already begun to diversify their exports in order to better prepare for changes in crude oil prices, which have experienced drastic decreases this year.

There is much speculation about the outcome and subsequent ramifications of the new election, but nothing has been confirmed as of yet.

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