Economics and statistics

Yemen's economy has been under pressure from conflict and institutional bifurcation for years.

GDP contracted relative to pre-conflict levels; investments are minimal, the business environment is high-risk.

Budgets and monetary circulation are fragmented, there is a dual financial architecture (different issues and rial rates), which spurs inflation and price differences across regions.

Oil and gas exports remain volatile due to risks to infrastructure and logistics; humanitarian aid and diaspora transfers play a critical role.

The real sector is based on agriculture (including food crops and khat), fishing, small trade and transport; a significant proportion of employment is informal.

Cash payments are mainly cash, access to banks and digital payment services is limited; fuel and food imports are sensitive to exchange rate fluctuations and logistics costs via Aden/Hodeidah.

Key metrics for monitoring: dynamics of GDP and output by region, inflation and rial exchange rates (official/market), food and fuel imports, food security indicators, unemployment/employment and the level of the informal economy, migrant transfers, humanitarian aid, port logistics and transport prices.

These indicators determine the purchasing power of households and the sustainability of domestic demand.