History of Luiren, Land of the Halflings
The halflings of Luiren claim that it is the original homeland of halflings in the Realms. Although other halflings may disagree with this, it is true that Luiren was settled hundreds, perhaps thousands, of years ago. Luiren's history is one of conquerors and subjugation. Throughout the centuries the halflings have been conquered by the barbarians who used to inhabit Dambrath, by the kingdom of Estagund, and even once by the monsters of Beldorn.
In every case, the invaders were eventually defeated because they made the mistake of underestimating the halflings due to their small stature. A good bit of mischief, mayhem, and general trouble making by the halflings also helped end the occupations. Currently, Luiren is enjoying unprecedented prosperity. The halflings are currently taking advantage of their relationship with the nation of Durpar; their biggest customer, and their biggest competitor.
Also, through these close ties with Durpar, Luiren has protected itself against another Dambraii invasion. The rulers of Dambrath must know that if they begin to expand to the east, they will arouse the ire of Durpar, as well as Var and Esagund. The threat of a trade embargo and/or military consequences have kept this aggressive nation away from the Luireners.