1 July 2010


Chatham House


This paper summarizes the discussion at a workshop held in Doha in May 2010 which examined Yemen's combined economic challenges, including fiscal stability, aid disbursement, inward investment and labour market access for Yemeni workers. The participants examined whether a regional response, on top of existing efforts, would be beneficial in meeting these challenges, and if so, what form it would take.

Key themes that emerged from the workshop:

  • Yemen faces a deteriorating fiscal situation and current management techniques are unsustainable. Currency devaluation is contributing to high food prices
  • There are no legal barriers to Yemeni employment in the GCC - GCC labour markets rely on private sector supply-and-demand mechanisms
  • GCC donors are signalling a willingness to consider new spending priorities for their aid pledges, and considering the option of establishing a country co-ordination office in Yemen

Yemen Forum