SANA’A, Jan. 10 (Saba)-The year 2009 witnessed many changes and challenges on the economic scenery of Yemen, like the global financial crisis and the decline of oil prices that have affected the state’s resources, as well as the financing capacity of many countries, organizations and the big regional and international funds that support Yemen.
However, the international cooperation between Yemen and the donor countries in 2009 was activated and enhanced; it witnessed a remarkable development represented by the donor’s initiative that aimed at raising their aid to Yemen.
The beginning of the year recorded a push up in the bilateral cooperation which connects Yemen, Kuwait, after years of inactive cooperative relations.
The two countries signed an agreement for financing the 3rd phase of the Social Development Fund in the amount US $50 million of the total commitment of Kuwait made during the London Donors Conference held in 2006.
Also the British government announced the raising of its development aid provided to Yemen up to 400% during the visit of the British International Development Minister Michael Foster to Yemen.
While South Korea announced a similar initiative by raising its support to Yemen to US $ 100 million to support Taiz livestock development at a total cost of up to US $ 15 million and 300 thousand dollars, the World Food Program announced to raise the level of support to Yemen in 2009 for up to US $ 55 million. The program also provided assistance estimated at 30 thousand tons of food worth US $ 24 million.
The World Bank announced an initiative to lift the ceiling of annual support to Yemen to US $ 120 million and the adoption of all aid to Yemen in donations rather than loans starting from 2010, along with grant funding to Yemen valued at US $ 35 million.
Moreover, the total foreign aid and grants from donors to finance the 3rd phase of the Social Fund for Development projects in Yemen reached more than US $ 578 million.
In March 2009 a remarkable development is also recorded in the bilateral cooperation which connects Yemen, Lebanon, where it hosted the capital Sana’a in the early meetings of the same month the Higher Ministerial Committee of Yemen – the Lebanese, which concluded that the two countries signed a number of conventions and protocols of bilateral cooperation.
EU countries also issued a statement which the European Commission praised the reforms achieved in Yemen during the last period of 2009, which got the traditional donors for Yemen issued a similar statement on 21 March confirmed their commitment to cooperate with the Yemeni government and their support for the efforts of Yemen that address the economic and security challenges it faces.
On April 2009 the 3rd consultative meeting between the Yemeni government and donors with the participation of more than 250 senior government and parliamentary representatives of states, organizations and development funds, donor and civil society representatives was held. The conference concluded to renew the donor commitment to continue their support for the reforms and development in Yemen and backing-up the steps of conjunction between Yemen and the Gulf countries as a preliminary step for Yemen’s integration in the Gulf Cooperation Council by the year 2015.
Japan also announced the raise of its annual support to Yemen to more than US $ 20 million to the initiative on the same day to provide US $ 12 million to finance rural water project.
On 15 May 2009 German government announced to raise the ceiling of its support to Yemen to € 73 million in addition to providing additional support in the amount of € 6 million for the preservation of historic sites and archaeological and biological diversity in the Yemeni islands as well as the amount of €16 million to support the food security programs in Yemen.
The Arab Fund for Economic and Social Development announced the allocation of US $ 53 million to help in implementing the 3rd phase of the program of rural roads, which include the establishment, development and rehabilitation of a number of rural roads.
For its part, the United Nations organizations working in Yemen announced to raise the ceiling assistance provided to Yemen to reach US $ 90 million until the year 2011 as well as a pledge to mobilize financing of up to $ 160 million to finance various development projects in Yemen has also initiated the United Nations Development Program in the 20 of the same month to provide $ 14 million to support promising economic sectors in Yemen.
In same year, China also announced to begin implementing a number of development projects in Yemen during the 2010 to honor the agreements signed with the Yemeni government during a visit made by the Chinese Vice President to Yemen in 2007. It also provided funding support to Yemen valued by 105 million Yuan dedicated to strengthening economic and technical cooperation between the two countries and to contribute to relief efforts for people displaced by the war of Saada.
