1990 oil price shock and prices began to fall. On August 2, 1990, The Republic of Iraq invaded the State of Kuwait, leading to a 7-month occupation of Kuwait and an eventual U.S.-led military intervention. While Iraq officially claimed Kuwait was stealing its oil via slant drilling, its true motives were more complicated and less clear. At the time of the invasion, Iraq owed Kuwait $14 billion of outstanding debt that Kuwait had loaned it during the 1980–1988 Iran–Iraq War. In addition, Iraq felt Kuwait was overproducing oil, lowering prices and hurting Iraqi oil profits in a time of financial stress. In the buildup
Palestinians in Iraq had been forcibly drafted by the invading Iraqi army, and they and their families were allowed to resettle in Iraq. Following the 1967 war with Israel, a second larger wave of Palestinians sought refuge in Iraq. The third and final wave occurred in 1991 after the Iraqi invasion of Kuwait, when those Palestinians living in Kuwait fled. Over the years, there were also many Palestinians who came to Iraq in search of work. Prior to 2003, there were approximately 25,000 registered Palestinian refugees living in Iraq. In December 2010, approximately 10,000 Palestinians remained in Iraq, the majority of whom were