Saudi Arabia is supporting Yemen's budget to pay employee salaries and fuel
The Saudi Ambassador to Yemen, Mohammed Al Jaber, announced that the Kingdom will provide a new and direct financial support package to the Yemeni government's general budget, in accordance with the directives of the Saudi leadership. This strategic step aims to cover the payment of salaries for Yemeni civil servants across various sectors, a move intended to bolster economic and social stability in the country.
Ambassador Al Jaber explained that the new support is not limited to the civilian sector, but also includes the disbursement of salaries for military and security forces under the umbrella of the Supreme Military Committee. The Saudi-led coalition supporting the legitimate government will begin disbursing these salaries starting next Sunday. This step aims to ensure the timely payment of salaries to members of the security and military forces, thereby contributing to increased readiness and strengthening security in the liberated governorates.
In a related context, the ambassador affirmed that this financial support coincides with a package of vital development projects and initiatives, most notably the continued flow of the Saudi oil derivatives grant allocated to operate power plants in Yemeni governorates. This grant is considered a lifeline for the energy sector, as it directly contributes to ensuring a continuous electricity supply to hospitals, schools, and homes, which positively impacts the living standards of Yemeni citizens and alleviates the burden on the Yemeni government.
This announcement is of paramount importance given the difficult economic context Yemen is experiencing, where the national economy has suffered in recent years from high inflation and fluctuations in the exchange rate of the local currency against foreign currencies. The Saudi intervention at this time serves as a financial safety net, assisting the Central Bank of Yemen and the government in implementing a comprehensive economic reform program and controlling the budget deficit.
Historically, Saudi Arabia has been the largest supporter of Yemen, providing billions in deposits to the Central Bank of Yemen over the years, which helped curb the collapse of the Yemeni rial. This support is in addition to projects under the Saudi Development and Reconstruction Program for Yemen, which have impacted the health, education, roads, and water sectors. Observers affirm that the continued payment of salaries and fuel subsidies will strengthen the ability of government institutions to perform their duties and revitalize the economy, sending reassuring messages to the Yemeni public and the international community about the Kingdom's continued commitment to supporting Yemen's development and economic stability.
