Ba'athist Iraq reducing international oil prices, further weakened the Iraqi economy. In response to this, Saddam threatened Kuwait that, unless it reduced its oil output, Iraq would invade. Negotiations broke down, and on 2 August 1990, Iraq launched an invasion of Kuwait. The resulting international response led to the Persian Gulf War, which Iraq lost. The United Nations (UN) initiated economic sanctions in the war's aftermath to weaken the Ba'athist Iraqi regime. The country's economic conditions worsened during the 1990s, and at the turn of the 21st century, Iraq's economy started to grow again as several states ignored the UN's sanctions. In
Ba'athist Iraq the Iraqi government to focus on Iraqi Kurdistan which had revolted. Saddam appointed his cousin Ali Hasan al-Majid as military chief in Kurdistan. al-Majid initiated the al-Anfal campaign; chemical weapons were used against civilians. In April 1988, after a series of Iraqi military victories, a ceasefire was agreed between Iraq and Iran; the war is commonly considered "status quo ante bellum". In the aftermath of the Iran–Iraq War, Kuwait intentionally increased the country's oil output; this led to an international price decrease in oil. Saddam reacted by threatening to invade Kuwait if it continued to increase its oil output (which