Rapid currency depreciation and the decimation of Yemeni purchasing power

Rapid currency depreciation and the decimation of Yemeni purchasing power

International financial intervention is urgently needed to protect the value of the Yemen’s domestic currency. If this support is not forthcoming in the immediate near-term the Yemeni rial faces rapid depreciation; in a country that imports nearly 90 percent of its nutritional needs this depreciation would decimate the ability of most Yemenis to purchase food and other basic necessities.
The two-year-old civil war and regional military intervention in Yemen has already helped create the world’s largest food security emergency, with millions of people currently facing starvation; a steep decline in remaining per capita purchasing power would significantly accelerate the spread of famine.

The Limits of US Military Power in Yemen: Why Al Qaeda in the Arabian Peninsula continues to thrive

The Limits of US Military Power in Yemen: Why Al Qaeda in the Arabian Peninsula continues to thrive

Similar to US counterterrorism efforts in Yemen under President Barack Obama, the newly minted White House administration of Donald Trump has shown little appetite to explore non-military policy options to supplement the use of American firepower in Yemen. Indeed, shortly after taking office President Trump authorized the escalation of drone strikes and special forces operations in Yemen. The Trump administration’s 2017 budget proposal to congress also outlines massive cuts in US diplomatic and humanitarian spending, even as the UN declared last month that Yemen faces the largest food security emergency in the world. Such a myopic focus on the military option in the battle against Al Qaeda in the Arabian Peninsula (AQAP) indicates a failure to grasp why AQAP has expanded so successfully in Yemen despite well more than a decade of US counterterrorism efforts in the country.

Trump and the Yemen war

Trump and the Yemen war

Under the Obama administration, United States policy toward Yemen was largely driven by regional concerns and counter-terrorism initiatives, with the drone campaign targeting Al Qaeda leaders in Yemen today remaining among America’s most intense.

The Arab Spring uprisings, which reached Yemen in early 2011, complicated America’s regional relationships and seemed to sour Obama’s appetite for democratization. This became apparent in Yemen when the White House helped install a US-friendly administration in Sana’a after long-time ally President Ali Abdullah Saleh was ousted. Saleh was replaced with his own vice president, Abd Rabbu Mansour Hadi, who promptly announced plans to rout Al Qaeda’s Yemen franchise.

Beware of the failure of Yemen’s central bank

Beware of the failure of Yemen’s central bank

For the past 18 months, Yemen has been going through one of the most chaotic times of its modern history. Since the Houthi takeover of the capital, Sanaa, on Sept. 21, 2014, the country has been witnessing a gradual collapse of the state, which was accelerated when President Abed Rabbo Mansour Hadi left Sanaa for Aden and then for Riyadh. By March 2015, the Houthi rebel group was the de facto power running the country.

Geography of War and Agriculture in Yemen

Geography of War and Agriculture in Yemen

Why is war a more common occurrence in some parts of Yemen than in others? Why do cities like Aden recover quickly from wars? And why do their youth rush to clean up streets and restore normalcy? Why do wars quickly cease in cities like Taiz and Ibb, but are quick to flare up over and over around Sanaa? It is basically a matter of the economy.
In the tribal North, where a war economy prevails, tribes thrive on conflicts. This contrasts sharply with the peasant tribes of central and southern Yemen that rely on an agriculture-based economy. In other words, war in Taiz hampers the agricultural economy and brings the lives of farmers to a grinding halt, while the war’s end in Amran results in unemployment and the demise of what has come to embody ‘normalcy.’