Yemen faces an imminent food crisis stemming from the Russian invasion of Ukraine, according to the UN, international organizations, Yemen’s largest wheat importer and others. Yemen, which imports up to 90 percent of its basic food needs, is highly vulnerable to exchange rate volatility, price shocks in international markets and disruptions in glob…

The official economic outcomes from the inter-Yemeni consultations in Riyadh in April were flawed, unfinished and of questionable utility from a policy or governance standpoint. What they were useful for, however, was as a bellwether for gauging the intentions of the internationally recognized Yemeni government moving forward, pointing toward a des…

On April 7, Saudi Arabia and the UAE announced US$1 billion each in new financial support for the Central Bank of Yemen in Aden, with Riyadh pledging a further US$1 billion to support development projects and fund fuel imports in government-held areas. The announcement was among the outcomes of the Riyadh consultations, and reaction in the Yemeni c…

The value of Yemeni rials increased dramatically today, April 7, following the announcement of US$3 billion in new Saudi and Emirati support for the internationally recognized Yemeni government. However, there are strong signs already from the money market that the rebound will be temporary. Consultations in Riyadh between Yemeni parties to the an…

The fuel crises that erupted in both government- and Houthi-controlled areas in January continued throughout March. By mid-March, the authorities in Sana’a had increased the commercial price of gasoline by 43 percent to YR16,000 for a 20-liter tank, while the same quantity on the black market sold for YR26,000 (both priced in old rials, issued pr…