August 3, 2010IMF approves $ 370m aid package to Yemen
Emirates Business 24/7 - 03 August, 2010
The International Monetary Fund on Monday announced it would provide Yemen with a three-year loan package of 369.8 million dollars aimed at supporting the impoverished nation's economic reforms.
"An initial disbursement equivalent to $ 52.8 million is available to the Yemeni authorities immediately, with subsequent disbursements subject to semi-annual reviews," the IMF said in a statement.
"The goal of the authorities' economic program is to achieve high and sustained growth and reduce poverty," it added.
The country on the southern tip of the Arabian Peninsula is among the poorest in the world, and its government is struggling to maintain security and political stability as it cracks down on extremist networks.
Militants are known to be regrouping in Yemen, the ancestral homeland of Al Qaeda leader Osama bin Laden, and the country has witnessed repeated attacks claimed by the jihadists on foreign missions, tourist sites and oil facilities.
The IMF cautioned that Yemen faces significant challenges in overcoming "recent unfavorable economic and security developments," and said authorities need to wean the economy off of oil revenues - which constitute 70 per cent of state revenues - as it embarks on a three-year economic programme.
"Yemen is confronted with a range of difficult economic challenges related to its heavy dependence on declining oil revenues, widespread poverty, and water shortages," acting IMF chair Naoyuki Shinohara said in the statement.
"The global financial crisis has aggravated these challenges through a reduction in world oil prices, resulting in mounting macroeconomic imbalances."
An international donors forum named the Friends of Yemen held a March meeting to raise funding to help Yemen combat a resurgent Al Qaeda.
Donors have pledged $ 5.7 billion in international aid, and in announcing the Washington-based IMF's extended credit facility arrangement Shinohara stressed the importance of donors fulfilling their commitments.
"The role of the donors is crucial for meeting the government's objectives," he said.
"Yemen's developmental and social needs are considerable."
In addition to its economic crisis and a resurgence of Al-Qaeda, Yemen is in the grip of a secessionist movement in the south, and the aftermath of a long-running Zaidi Shiite rebellion in the north.
US President Barack Obama spoke by phone last month with his counterpart Ali Abullah Saleh to praise Yemen's "determination to address the terrorist threat," and to discuss US and international support to address Yemen's economic challenges.
Links ~ Yemen ~ Now you Know ...
Emirates Business 24/7 - 03 August, 2010
The International Monetary Fund on Monday announced it would provide Yemen with a three-year loan package of 369.8 million dollars aimed at supporting the impoverished nation's economic reforms.
"An initial disbursement equivalent to $ 52.8 million is available to the Yemeni authorities immediately, with subsequent disbursements subject to semi-annual reviews," the IMF said in a statement.
"The goal of the authorities' economic program is to achieve high and sustained growth and reduce poverty," it added.
The country on the southern tip of the Arabian Peninsula is among the poorest in the world, and its government is struggling to maintain security and political stability as it cracks down on extremist networks.
Militants are known to be regrouping in Yemen, the ancestral homeland of Al Qaeda leader Osama bin Laden, and the country has witnessed repeated attacks claimed by the jihadists on foreign missions, tourist sites and oil facilities.
The IMF cautioned that Yemen faces significant challenges in overcoming "recent unfavorable economic and security developments," and said authorities need to wean the economy off of oil revenues - which constitute 70 per cent of state revenues - as it embarks on a three-year economic programme.
"Yemen is confronted with a range of difficult economic challenges related to its heavy dependence on declining oil revenues, widespread poverty, and water shortages," acting IMF chair Naoyuki Shinohara said in the statement.
"The global financial crisis has aggravated these challenges through a reduction in world oil prices, resulting in mounting macroeconomic imbalances."
An international donors forum named the Friends of Yemen held a March meeting to raise funding to help Yemen combat a resurgent Al Qaeda.
Donors have pledged $ 5.7 billion in international aid, and in announcing the Washington-based IMF's extended credit facility arrangement Shinohara stressed the importance of donors fulfilling their commitments.
"The role of the donors is crucial for meeting the government's objectives," he said.
"Yemen's developmental and social needs are considerable."
In addition to its economic crisis and a resurgence of Al-Qaeda, Yemen is in the grip of a secessionist movement in the south, and the aftermath of a long-running Zaidi Shiite rebellion in the north.
US President Barack Obama spoke by phone last month with his counterpart Ali Abullah Saleh to praise Yemen's "determination to address the terrorist threat," and to discuss US and international support to address Yemen's economic challenges.
Links ~ Yemen ~ Now you Know ...
