JEDDAH: King Salman of Saudi Arabia issued a directive on Wednesday to transfer $2 billion to Yemen’s central bank to “alleviate the suffering” of the Yemeni people.
“To address the deteriorating economic situation faced by the Yemeni people as a result of the actions of the Iranian-backed Houthi militias, King Salman bin Abdulaziz has issued a directive to transfer a $2 billion deposit to the central bank of Yemen,” the Saudi Interior Ministry said.
The bailout is expected to boost Yemen’s financial and economic situation while bolstering the Yemeni riyal. As the value of the riyal goes up, the living conditions of Yemeni citizens will change for the better.
The transfer aims to help the conflict-torn country to “cope with the economic burdens resulting from the crimes and violations committed by Iranian-backed Houthi militias,” the Saudi Press Agency (SPA) reported.
The Houthis have been accused of looting the state, seizing government revenues, including those generated from oil and its derivatives. They acquire this revenue in Yemeni riyal as they manipulate its exchange rate, the statement said.
“They are doing all this to pursue their own destructive objectives at the expense of the Yemeni people,” SPA cited, adding that their actions have resulted in a “steady devaluation of the currency, which has significantly damaged the lives of Yemenis for several years.”
This brings the total that Saudi Arabia has sent to Yemen’s central bank to $3 billion.
Yusuf Al-Othaimeen, secretary-general of the Organization of Islamic Cooperation (OIC), said such a move would alleviate suffering of the Yemeni people.
“It’s not a loan, it’s a deposit and the legitimate Yemeni government will not have to pay it back,” a source close to the Saudi government said, according to Reuters.
Aid workers on the ground told Reuters they expected the riyal to rebound due to the Saudi cash injection.
“Saving the riyal means saving Yemenis from inevitable hunger,” Prime Minister Ahmed bin Daghr said on Wednesday.
The riyal currently trades at 500 to the dollar, down from around 215 before the war, a serious depreciation for a country that relies heavily on imports of basic foodstuffs.
In 2016, the Yemeni government moved the central bank to second city Aden from the capital where the Houthis operate their own rival central bank.
Penny Mordaunt, British secretary of state for international development, stressed London’s support for Saudi efforts to stop illegal arms smuggling into Yemen. Mordaunt strongly condemned continued firing of ballistic missiles by the Houthis toward the Kingdom, the SPA said.
$2bn Saudi cash injection to ease Yemenis’ suffering
$2bn Saudi cash injection to ease Yemenis’ suffering
Saudi House kicks off Davos with push on Vision 2030, AI platform and ‘humanizing’ tourism
- Saudi ministers dominate pre-summit spotlight at Saudi pavilion, touting Vision 2030’s next phase and human capital as key to global edge
- Ministry of Economy and Planning announced the SUSTAIN Platform which aims to accelerate AI-enabled, cross-sector collaboration for sustainable development
DAVOS: For regulars at the World Economic Forum, Monday in Davos is usually a chance to ease into the week, a time to reconnect, plan meetings and prepare for the intense schedule ahead.
This year, Saudi Arabia moved quickly to fill that lull, taking center stage with a packed program of panels ahead of Tuesday’s official opening.
At the Saudi House — the Kingdom’s official pavilion on the Promenade, returning after its debut as a standalone venue at the 2025 WEF Annual Meeting — Saudi ministers and global executives set out how the Kingdom sees the next phase of its transformation.
Established by the Ministry of Economy and Planning, the venue is pitched as a platform for international thought leaders to tackle the challenges, opportunities and solutions shaping the global economy.
Opening a session on the Kingdom’s role at this year’s Forum and the next phase of Vision 2030 — now in its 10th year and roughly two-thirds complete — Princess Reema bint Bandar, Saudi Arabia’s ambassador to the US, said human capital “is the actual driver if you want a competitive, modern economy.”
She described one of the biggest achievements of the past decade as the emergence of a highly qualified cohort of young Saudis who could work anywhere in the world but “choose to come home, choose to build at home and choose to deliver at home,” calling this “the biggest symbol of the success of Vision 2030.”
Who can give you optimum access to opportunities while addressing risks? I contend that Saudi Arabia has been able to provide that formula.
Khalid Al-Falih, Saudi minister of investment
On the same panel, Minister of Finance Mohammed Aljadaan said this success is rooted in a “behavioral change” that has strengthened the Kingdom’s credibility with both international partners and its own citizens.
“Credibility comes from being very pragmatic, making sure that you maintain your fiscal policy discipline, but at the same time refocus your resources where it matters,” he said, warning that “markets will call your bluff if you’re not serious.”
The Saudi House, a cross-ministerial initiative led by the Ministry of Economy and Planning, is intended to underscore the Kingdom’s “commitment to global cooperation” by offering “a platform where visionary ideas are shared and shaped,” while showcasing opportunities and lessons from its “unprecedented national transformation.”
Echoing earlier comments to Arab News, Economy and Planning Minister Faisal Alibrahim said the Kingdom’s role as an anchor of stability has helped unlock its potential, stressing that while the objective is to decouple from reliance on a single commodity, “2030 is not the finishing line.”
Khalid Al-Falih, Saudi minister of investment, said Saudi Arabia has been able to enable access to opportunities while addressing major risks, arguing that few countries can match the Kingdom’s overall mix.
“No country has all of those to 100 percent,” he said. “But who can give you the mix that gives you optimum access to opportunities while addressing all of those risks?
“I contend that Saudi Arabia has been able to provide that formula and the proof is in the pudding,” noting that local investment has doubled in recent years to reach levels comparable with India and China.
While societal transformation dominated the morning discussions, the afternoon turned to technology, tourism, sport and culture, four strategic sectors expected to spearhead Vision 2030’s next phase.
The Ministry of Economy and Planning used the day to announce the SUSTAIN Platform, due to launch in 2026, which aims to accelerate AI-enabled, cross-sector collaboration for sustainable development.
The ministry said SUSTAIN will translate the Kingdom’s public and private-sector coordination mandate into a practical national tool to help government entities, businesses, investors, academia and civil society identify credible partners, form trusted coalitions and move initiatives “from planning to implementation more efficiently,” addressing a global challenge where fragmented partnerships often slow delivery and blunt impact.
“We are in a moment in time where technology may well impact the face of humanity,” said Dina Powell McCormick, recently appointed president and vice chairman of Meta, welcoming the Kingdom’s “desire” to partner with technology companies and its embrace of innovation.
Minister of Tourism Ahmed Alkhateeb, discussing how technology is being deployed in his sector, underlined that “in travel and tourism, people are very important. We learn about other people’s culture through interacting with people. We digitalize the unnecessary and humanize the necessary.”
He added that while technological transformation is a priority, “we don’t want to replace this big workforce with technology. I think we need to protect them in Saudi Arabia, where we’re being a model. I’m an advocate of keeping the people.”
Throughout the week, Saudi House will host more than 20 sessions, including over 10 accredited by the WEF, across six themes: Bold Vision, Insights for Impact, People and Human Capability, Quality of Life, Investment and Collaboration, and Welcoming the World.
The pavilion will also launch “NextOn,” a new series of influential and educational talks featuring leading global voices.
