Yemen Monitor – Newsroom:
The United Nations Special Envoy for Yemen, Hans Grundberg, has expressed deep concern over the Houthi group’s issuance of new 50-riyal coins and 200-riyal banknotes, calling the move a clear violation of the economic de-escalation understandings signed by Yemeni parties on July 23, 2024.
In a statement, Grundberg said the Houthis’ unilateral actions undermine Yemen’s fragile economy, further fragment the monetary system, and erode trust in the country’s financial institutions. He urged all parties to refrain from taking unilateral steps that harm the economic situation and instead focus on dialogue and joint coordination that serve the interests of all Yemenis.
The Houthi group recently announced the circulation of new coins and banknotes in areas under its control, sparking widespread concerns over the deepening monetary and banking divide between Houthi-held territories and those controlled by the internationally recognized government.
The Central Bank of Yemen in Aden condemned the move as a “destructive and reckless act,” warning of its negative impact on the national economy. It stressed that dealing with these currencies is illegal, as they are issued by an unrecognized entity classified on international terrorism lists.
In its statement, the bank said these escalations undermine the economic de-escalation agreement, which the legitimate government had initiated in good faith. It accused the Houthi group of continuing to violate the agreement’s terms and imposing unilateral financial policies that exacerbate the crisis and harm the well-being of the Yemeni people.
