Yemen: Increased Political Violence and Decreased Fuel Imports for the Houthis

Arab Sea Newspaper - Follow-ups

Arabian Sea - Yemen - Follow-ups: A recent UN report confirmed an 8 percent increase in political violence incidents inside Yemen during the second quarter of this year, compared to the previous quarter, and a 60 percent increase on an annual basis, warning of dire consequences due to food shortages and economic difficulties. The report explained that fuel imports through ports controlled by the Houthis decreased in the middle of this year, recording their lowest level since the UN-sponsored truce came into effect 4 years ago. The report, issued by the "World Food Program," attributed to the "Armed Conflict Location & Event Data Project" website, that the number of deaths related to political violence has more than doubled compared to the same period last year. The most affected governorates were Hodeidah, Taiz, Sana'a, Sana'a city, and Saada, most of which are under Houthi control. The website, which monitors armed conflict data around the world, recorded 279 US airstrikes on Yemen during last April, and said that this is the highest monthly figure for US forces in any country in the Middle East since 2017. In addition, the "International Organization for Migration" estimated the displacement of about 6,391 new internally displaced persons in the second quarter of this year, an increase of 80 percent compared to the previous quarter, and 25 percent on an annual basis. The UN report stated that the Houthis' halting of the Yemeni government's export of crude oil since late 2022 has led to a sharp decline in foreign exchange revenues and currency reserves, accompanied by a decrease in financial remittances, foreign investments, and aid, and that this has caused the collapse of the Yemeni riyal against the dollar and pushed the economy into recession. A bleak picture A report by the "World Food Program" painted a bleak picture of the economic conditions in Houthi-controlled areas, pointing to factors that it said are putting severe pressure on the economy, including Washington's sanctions as a result of classifying the group as a "foreign terrorist organization," in addition to the severe shortage of dollars, liquidity restrictions, disruption of supply chains, limited financial remittances, disruptions in the banking system, and the destruction of Red Sea ports. The "World Food Program" report said that the economic difficulties at the level of Yemen have dire consequences, as the World Bank predicts that at least 74 percent of the population of Yemen live in "extreme poverty," based on the "national poverty line." Fuel imports through Red Sea ports controlled by the Houthis in June were about 47 percent lower than their 12-month moving average, reaching the lowest monthly level recorded since the UN-sponsored truce came into effect in April 2022. According to the report, the accumulated quantities of fuel in the Houthi areas during the first half of this year decreased by 18 percent, compared to the same period last year. It suggested that this may be related to the decrease in storage capacity and the damage to port infrastructure due to US and Israeli airstrikes, and confirmed that the recent escalation in the Red Sea has led to an increase in shipping insurance costs to more than double the previous rate of about 0.3 percent. Worrying expectations Data from the UN program showed that fuel imports through the ports of Aden and Mukalla, which are under the control of the legitimate government, remained during the first six months of this year at levels close to the same period last year, an increase of only two percent. However, the data warned that expectations remain worrying at the national level, as the deterioration of the infrastructure of the Red Sea ports in the Houthi areas, and the depreciation of the currency in the government-controlled areas, increase the risks of rising fuel prices or shortages. The report suggested that current food reserves in Yemen will cover needs for only about two months. It said that food imports through Red Sea ports controlled by the Houthis recorded a 19 percent decrease on an annual basis. It pointed out that food availability will remain below normal until February 2026. It identified the main factors for this decrease as damage to port infrastructure, reduced cargo unloading capacity resulting from the recent escalation in the Red Sea, and low rainfall. The "World Food Program" indicated that the ports under the control of the Yemeni government witnessed an increase in fuel imports by 84 percent compared to the same period last year, but nevertheless, the risk of rising food prices remains high in the Houthi areas, driven by import disruptions, potential fuel shortages, and restrictions related to their classification as a "foreign terrorist organization," according to the report. Source: Al-Sharq Al-Awsat