History of Saudi Arabia - Fahd's Reign: 1982-2005

Fahd's Reign: 1982-2005

Khalid was succeeded by his brother King Fahd in 1982, who maintained Saudi Arabia’s foreign policy of close cooperation with the United States and increased purchases of sophisticated military equipment from the United States and Britain. In the 1970s and ’80s, the country had become the largest oil producer in the world. Oil revenues were crucial to Saudi society as its economy was changed by the extraordinary wealth it generated and which was channeled through the government. Urbanization, mass public education, the presence of numerous foreign workers, and access to new media all affected Saudi values. While society changed profoundly, political processes did not. Real power continued to be held almost exclusively by the royal family, leading to disaffection with many Saudis who began to look for wider participation in government.

Following the Iraqi invasion of Kuwait in 1990 Saudi Arabia joined the anti-Iraq Coalition and King Fahd, fearing an attack from Iraq, invited American and Coalition soldiers to be stationed in Saudi Arabia. Saudi troops and aircraft took part in the subsequent military operations. However, allowing Coalition forces to be based in the country proved to be one of the issues that has led to an increase in Islamic terrorism in Saudi Arabia, as well as Islamic terrorist attacks in Western countries by Saudi nationals – the 9/11 attacks in New York being the most prominent example.

Islamism was not the only source of hostility to the regime. Although now extremely wealthy, the country's economy was near stagnant, which, combined with a growth in unemployment, contributed to disquiet in the country, and was reflected in a subsequent rise in civil unrest, and discontent with the royal family. In response, a number of limited 'reforms' were initiated (such as the Basic Law). However, the royal family's dilemma was to respond to dissent while making as few actual changes in the status quo as possible. Fahd made it clear that he did not have democracy in mind: “A system based on elections is not consistent with our Islamic creed, which government by consultation .”

In 1995, Fahd suffered a debilitating stroke and the Crown Prince, Prince Abdullah assumed day-to-day responsibility for the government, albeit his authority was hindered by conflict with Fahd's full brothers, the Sudairi 'clan'. Abdullah continued the policy of mild reform and greater openness, but in addition, adopted a foreign policy distancing the kingdom from the US. In 2003, Saudi Arabia refused to support the US and its allies in the invasion of Iraq. However, terrorist activity increased dramatically in 2003, with the Riyadh compound bombings and other attacks, which prompted the government to take much more stringent action against terrorism.