Yemen is set to sign an agreement with the Arab Monetary Fund to reschedule its debt, including loan repayments and instalments, as part of efforts to stabilise its financial position and support ongoing economic reforms, Finance Minister Salem bin Breik said during the Arab Fiscal Forum at the World Government Summit.
Bin Breik outlined Yemen’s dual economic challenges, including internal disruptions from over a decade of conflict and external shocks from the pandemic and Red Sea tensions. The country faces additional fiscal strain due to the suspension of oil exports, which previously contributed 65% of state revenues, and security issues impacting key economic sectors.
Since August 2023, Yemen has introduced financial and monetary reforms to boost tax efficiency, diversify non-oil revenues, and restructure government spending. Bin Breik confirmed that Yemen is coordinating closely with the Arab Monetary Fund on implementing these measures, with quarterly assessments to track progress.
