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Yemen has been embroiled in conflict since early For years the poorest country in MENA, it is now also suffering the worst humanitarian crisis in the world. Fighting has devastated its economy—leading to food insecurity verging on famine—and destroyed critical infrastructure.

Embroiled in conflict since early , fighting has devastated its economy—leading to serious food insecurity—and destroyed critical infrastructure. The UN has estimated that The value of the Yemeni riyal continues to depreciate to new historic lows, driving large increases in food prices and pushing more people into extreme poverty. Socio-economic conditions are deteriorating rapidly, affected by declining remittances, trade disruptions, severe fuel supply shortages, and reduced humanitarian operations.

Growing violence and fragmented macroeconomic policies have added additional strain to already fragile economic conditions. An unprecedented humanitarian crisis persists, aggravated by COVID, leaving many Yemenis dependent on relief and remittances. Distortions created by fragmented institutional capacity and diverging policy decisions across areas of control have compounded a crisis created by protracted conflict, the interruption of essential services, and acute shortages of basic inputs, including fuel.

On top of this, some As a result, Yemen has been grappling in recent years with mass outbreaks of preventable diseases, such as cholera, diphtheria, measles, and Dengue Fever. Waves of currency depreciations in and have created lasting inflationary pressure on the Yemeni riyal that has exacerbated the humanitarian crisis.

The disruption of infrastructure and financial services has severely affected private sector activity. Women are more severely affected than men. Improved monetary supervision and policy controls could reduce currency exchange volatility and temporarily limit speculative activities, with possible moderate gains in the relative value of the US dollar in the south. A more durable stabilization of the exchange regime will require solutions to tackle the root causes of volatility.

In the absence of stable sources of foreign currency, expansionary monetary policy risks accelerating the depreciation of the Yemeni riyal.

It should also enhance the provision of public services and the operational environment for humanitarian operations. Its priorities are institutional capacity, improving the resilience of service delivery, and providing support to conflict-affected poor and vulnerable Yemenis. The strategy also aims to encourage immediate economic growth by creating temporary jobs and supporting the private sector.

The American invasion of Iraq in deeply radicalized the Houthi movement, like it did many other Arabs. It was a pivotal moment. The group also officially called itself Ansar Allah, or supporters of God.

Hezbollah, the Shiite movement in Lebanon which successfully expelled the Israeli army from the country, became a role model and mentor for the Houthis. Although different kinds of Shiites, the two groups have a natural attraction. Hezbollah provided inspiration and expertise for the Houthis.

Iran was a secondary source of support, especially since the Houthis and Iranians share a common enemy in Saudi Arabia. After , Saleh launched a series of military campaigns to destroy the Houthis. The Yemeni army and air force was used to suppress the rebellion in the far north of Yemen, especially in Saada province. The Saudis joined with Saleh in these campaigns. The Houthis won against both Saleh and the Saudi army, besting them both again and again. For the Saudis, who have spent tens of billions of dollars on their military, it was deeply humiliating.

The Arab Spring came to Yemen in The Houthi movement was one part of the wide national uprising against Saleh. It was primarily concerned with advancing the narrow interests of the Zaydi community, not surprisingly. They were critical of the process and of Hadi. A national dialogue was instituted to address the future of Yemen after Saleh, with regional and international assistance. It proposed a federal solution with six provinces with some autonomy.

The Zaydi-dominated north got two landlocked entities, which the Houthis argued was gerrymandered against them. In , they began colluding with Saleh against Hadi secretly. Even by the standards of Middle East politics, it was a remarkable and hypocritical reversal of alliances by both the Houthis and Saleh.

Much of the army remained loyal to Saleh and his family, so together with the Houthis the two had a preponderance of force in the country. Hadi was deeply unpopular and seen as a Saudi stooge. After months of gradually moving into the capital Sanaa, it fell to the rebel alliance in January , just as King Salman ascended to the throne in Riyadh.

The Houthis opened direct civilian air traffic between Sanaa and Tehran, Iran promised cheap oil for Yemen, and rumors of more Iran-Houthi cooperation spread quickly. The main port at Hodeidah fell to the Houthi forces and they began marching to take Aden, the capital of the south and the largest port on the Indian Ocean.

A traditional enemy with ties to their regional foe was taking over the country on their southern belly. It was a very difficult challenge for an untried team in the royal palace. For the Obama administration, the picture was more complicated.

American intelligence officials said that Iran was actually trying to discourage the Houthis from seizing Sanaa and openly toppling Hadi. Iran preferred a less radical course, but the Houthi leadership was drunk with success.

Moreover, Undersecretary of Defense Michael Vickers said on the record in January that Washington had a productive informal intelligence relationship with the Houthis against al-Qaida. He suggested that the cooperation could continue. That left authorities struggling to deal with the largest cholera outbreak ever recorded, which has resulted in 2.

The healthcare system was further strained by the Covid pandemic. The government had registered 9, confirmed cases and 1, deaths by the end of October But the actual figures are thought to be much higher due to limited testing, delays in seeking treatment, and the failure of the Houthis to report cases and deaths in areas under their control since May What happens in Yemen can greatly exacerbate regional tensions.

It also worries the West because of the threat of attacks - such as from al-Qaeda or IS affiliates - emanating from the country as it becomes more unstable. The conflict is also seen as part of a regional power struggle between Shia-ruled Iran and Sunni-ruled Saudi Arabia. Gulf Arab states - backers of President Hadi - have accused Iran of bolstering the Houthis financially and militarily, though Iran has denied this. Yemen is also strategically important because it sits on a strait linking the Red Sea with the Gulf of Aden, through which much of the world's oil shipments pass.

Image source, EPA. Thousands of civilian deaths have reportedly been the result of Saudi-led coalition air strikes. How did the war start? Image source, AFP. Houthi rebel fighters entered Sanaa in September and took full control in January A Saudi-led multinational coalition intervened in the conflict in Yemen in March What's happened since then?

This video can not be played To play this video you need to enable JavaScript in your browser. March Nine-year-old Ahmed, blind since birth, stands in for teachers who don't make it in to their ruined school. Image source, Reuters. Twenty million people in Yemen rely on some form of humanitarian aid for their survival. November Three Yemeni teens share how their lives have changed. The Houthis have intensified their missile and drone attacks on government-held areas and Saudi Arabia.

Southern separatists have fought allied forces loyal to President Hadi. Four million people have been forced to flee their homes. What's been the human cost?



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