STC Economic Commission Discusses with UN Envoy Economic Advisor Repercussions of Economic Collapse and Potential Solutions

The Economic and Service Commission (ESC), assisting the Presidium of the Southern Transitional Council (STC), held today, Tuesday, a meeting in the capital, Aden, with Mr. Dirk-Jan Omtzigt—the special economic adviser in the office of the UN Special Envoy to Yemen—to focus on the country’s accelerating economic and public-service collapse and explore potential solutions to mitigate its impact on citizens.

During the meeting, the ESC submitted a comprehensive presentation on the STC’s vision for addressing the economic crisis, emphasized that the ongoing suspension of oil and gas exports is a primary reason for the economic collapse, and asserted that resuming these exports has become an urgent necessity to revitalize the economy and improve living conditions as well as basic services.

The ESC pointed out that the decrease in the flow of international aid had exacerbated the worsening economic and service conditions, indicating that the current economic crisis is the result of entangled internal and external factors, holding the government responsible for weak control over public spending, the absence of a clear budget, and the ongoing corruption, affirming that the STC has a clear vision to tackle these challenges.

Regarding the Houthi terrorist militia's recent escalation, the commission stressed that issuing the new coin is not their first foray into currency manipulation; the militia had previously introduced a 100-rial coin and underscored that the Central Bank in the capital, Aden, remains the only internationally recognized entity authorized to mint and print currency.

The commission has called on the international community to take decisive action on these violations, warning that international leniency against the Houthi terrorist militia's practices and activities encourages them to persist and move forward in jeopardizing the efforts of the UN-led peace envoy and the chances of a political solution.

Furthermore, the meeting touched on the issue of IDPs and undocumented immigrants, with the commission noting that their influx from North Yemen and the Horn of Africa constitutes an additional burden on the economy and infrastructure in the southern governorates of the South.

For his part, Mr. Omtzigt expressed his pleasure at the meeting, highlighting his commitment to listen to all opinions and perspectives that would ease economic and public service burdens, restoring confidence in the peace process, and underlining the importance of maintaining ongoing communication and coordination in this regard.