ANALYSIS-Kuwait in crisis as ruling family splits, MPs rebel

Tue Jun 7, 2011 11:41am GMT

* Parliamentary demands reflect ruling family split

* Investors fear ambitious development plan may be delayed

* Inward investment far behind Kuwait's neighbours

By Ulf Laessing

KUWAIT, June 7 (Reuters) - Kuwait, a major OPEC producer, is heading for a deep political crisis as a rebellious parliament steps up its pressure on the government and divisions appear in the ruling family.

The Gulf Arab state has avoided an 'Arab spring' uprising but is locked in a long-running battle between a government dominated by the ruling al-Sabah family, and a parliament which likes to challenge it -- unusual in a region largely controlled by powerful families.

Last month, Prime Minister Sheikh Nasser al-Mohammad al-Sabah unveiled his seventh cabinet -- the previous one had quit to avoid questioning by lawmakers alleging misuse of public funds.

Within days several MPs returned to the attack, saying they wanted to question Nasser and deputy prime minister Sheikh Ahmed al-Fahd al-Sabah about allegations of mismanagement of public funds, corruption and inefficiency. Both deny the charges.   Continued...

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