The Central Bank in Sana'a directs the suspension of dealings with Al-Kuraimi Bank.

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Sanaa_Special The Central Bank of Yemen in Sana'a, which is under the control of the Houthi group, issued an official circular on Saturday, June 22, 2025, stipulating the cessation of dealings with Al-Kuraimi Islamic Bank for Financing, starting from Dhu al-Hijjah 26, 1446 AH, corresponding to June 26, 2025 AD. In its circular, issued by the Financial Institutions Supervision Sector - General Directorate of Bank Supervision - the bank directed all financial institutions operating in the Republic of Yemen to liquidate their balances with Al-Kuraimi Bank within a period not exceeding 15 days from the date the decision takes effect. The bank indicated that this circular is out of what it described as "concern for customers' funds," calling for the closure of all transactions with Al-Kuraimi Bank and the termination of any banking obligations within the specified period. The circular was signed by the Undersecretary of the Financial Institutions Supervision Sector, Fouad Qassem Al-Bunyan, and was directed to the general managers and regional managers of banks and financial companies operating in the areas controlled by the Houthi group. The circular did not include any official clarifications regarding the reasons behind this sudden decision, but observers believe that the move may have political and economic dimensions, especially in light of the escalating tension between the Houthi group and some financial institutions with national reach. This decision comes at a time when the country is witnessing a sharp division in monetary and financial institutions, between the Central Bank in the interim capital, Aden, and the Central Bank in Sana'a, amid warnings of serious repercussions for banking and financial stability in Yemen.