Later in 1990 Iraq invaded neighboring Kuwait. Most Iraqi citizens viewed Kuwait as historically part of Iraq. They argued that under the old Ottoman Empire Kuwait had been part of Iraq's Basra province. Iraqi forces had made brief incursions into Kuwaiti territory in 1961 and 1973. The Baath leadership considered the existing borders as unacceptable remnants of European imperialism, and as socialists, they strongly disapproved of the aristocratic nature of Kuwaiti society. In addition to wanting Kuwait's abundant oil resources, Saddam wanted control over Kuwait's natural harbor, along with its 120 miles of coastline, on the Persian Gulf.
In July, 1990, Iraq complained to the Arab League that excessive oil production by Kuwait was harming the Iraqi economy. For compensation, Iraq demanded that Kuwait should write off its US$12 billion in loans to Iraq from the latter's recent war against Iran. Iraq also wanted Kuwait to give up some of its territory along their common border.
On July 31, representatives of Iraq and Kuwait met in Jiddah, Saudi Arabia, but failed to resolve their differences. As 100,000 Iraqi troops massed along the Kuwait border, the American ambassador to Iraq told Saddam that the United States had no opinion on the Kuwaiti border issue.
On August 2, 1990, Iraqi forces invaded Kuwait. That same day, the United Nations Security Council passed Resolution 600, condemning the invasion and calling on Iraq to withdraw immediately. Kuwait's ruler, Sheikh Jabir as-Sabah, and other members of the Kuwaiti royal family fled to Saudi Arabia. On August 3, the foreign ministers of the Arab League voted 14-1 to condemn Iraqi actions.
On August 6, the U. N. Security Council passed Resolution 661, which imposed economic sanctions against Iraq. The United States and most European countries froze Iraqi assets. Iraq responded by declaring that Kuwait had become its nineteenth province.