The State of Kuwait (Arabic: دولة الكويت) is a sovereign emirate on the coast of the Persian Gulf, enclose by Saudi Arabia to the south and Iraq to the north and west. The name is a diminutive of an Arabic word meaning "fortress built near water." It has a population of 3.1 million and an area of 17,818 km². Kuwait is a constitutional monarchy with a parliamentary system of government and Kuwait City serves as its political and economic capital.