Nation at a Glance - Yemen

History

North Yemen became independent from the Ottoman Empire in 1918. The British, who had set up a protectorate area around the southern port of Aden in the 19th century, withdrew in 1967 from what became South Yemen. Three years later, the southern government adopted a Marxist orientation. The massive exodus of hundreds of thousands of Yemenis from the south to the north contributed to two decades of hostility between the states. The two countries were formally unified as the Republic of Yemen in 1990. A southern secessionist movement and brief civil war in 1994 was quickly subdued. In 2000, Saudi Arabia and Yemen agreed to delineate their border. Fighting in the northwest between the government and the Huthis, a Zaydi Shia Muslim minority, began in 2004 and has since resulted in six rounds of fighting that ended in early 2010 with a cease-fire. The southern secessionist movement was revitalized in 2008. Public rallies in Sana'a against then President SALIH - inspired by similar demonstrations in Tunisia and Egypt - slowly built momentum starting in late January 2011 fueled by complaints over high unemployment, poor economic conditions, and corruption. By the following month, some protests had resulted in violence, and the demonstrations had spread to other major cities. By March the opposition had hardened its demands and was unifying behind calls for SALIH's immediate ouster. In April 2011, the Gulf Cooperation Council (GCC), in an attempt to mediate the crisis in Yemen, proposed the GGC Initiative, an agreement in which the president would step down in exchange for immunity from prosecution. SALIH's refusal to sign an agreement led to further violence. The UN Security Council passed Resolution 2014 in October 2011 calling for an end to the violence and completing a power transfer deal. In November 2011, SALIH signed the GCC Initiative to step down and to transfer some of his powers to Vice President Abd Rabuh Mansur HADI. Following HADI's election victory in February 2012, SALIH formally transferred his powers. In accordance with the GCC initiative, Yemen launched a National Dialogue Conference (NDC) in March 2013 to discuss key constitutional, political, and social issues. HADI concluded the NDC in January 2014. Subsequent steps in the transition process include constitutional drafting, a constitutional referendum, and national elections. Since the Arab Awakening in 2011, the Huthis have expanded their influence, culminating in a major offensive against military units and tribes affiliated with their Yemeni rivals and enabling their forces to overrun the capital, Sana'a, in September 2014. In January 2015, the Huthis attacked the presidential palace and President HADI's residence and surrounded key government facilities, prompting HADI and the cabinet to submit their resignations. HADI fled to Aden, and in February 2015 rescinded his resignation. He subsequently escaped to Saudi Arabia and asked the GCC to intervene militarily in Yemen to protect the legitimate government from the Huthis. In March, the Kingdom of Saudi Arabia launched Operation Decisive Storm, a series of airstrikes against Huthi and Huthi-affiliated forces. In April 2015, the Saudi Government announced completion of the operation and initiated Operation Restoring Hope, which focuses on humanitarian aid and a return to political dialogue. However, fighting continued through the remainder of 2015 and into early 2016. In April, the UN brokered a "cessation of hostilities" among the warring parties and initiated peace talks in Kuwait.

Location: Middle East, bordering the Arabian Sea, Gulf of Aden, and Red Sea, between Oman and Saudi Arabia

Border Countries: Oman 294 km, Saudi Arabia 1,307 km

Total Area: 527,968 sq km Land: 527,968 sq km Water: 0 sq km

Climate: Mostly desert; hot and humid along west coast; temperate in western mountains affected by seasonal monsoon; extraordinarily hot, dry, harsh desert in east

Terrain: Narrow coastal plain backed by flat-topped hills and rugged mountains; dissected upland desert plains in center slope into the desert interior of the Arabian Peninsula

Natural resources: Petroleum, fish, rock salt, marble; small deposits of coal, gold, lead, nickel, and copper; fertile soil in west

Land use: Agricultural land: 44.5% arable land 2.2%; permanent crops 0.6%; permanent pasture 41.7% Forest: 1% Other: 54.5% (2011 est.)

Ethnic groups: Predominantly Arab; but also Afro-Arab, South Asians, Europeans

Languages: Arabic (official)

Religions: Muslim 99.1% (official; virtually all are citizens, an estimated 65% are Sunni and 35% are Shia), Other 0.9% (includes Jewish, Baha'i, Hindu, and Christian; many are refugees or temporary foreign residents) (2010 est.)

Population: 27,392,779 (July 2016 est.)

Literacy: 70.1%; Male: 85.1%; Female: 55% (2015 est.)

Administrative divisions: 22 governorates (muhafazat, singular - muhafazah); Abyan, 'Adan (Aden), Ad Dali', Al Bayda', Al Hudaydah, Al Jawf, Al Mahrah, Al Mahwit, Amanat al 'Asimah (Sanaa City), 'Amran, Arkhabil Suqutra (Socotra Archipelago), Dhamar, Hadramawt, Hajjah, Ibb, Lahij, Ma'rib, Raymah, Sa'dah, San'a' (Sanaa), Shabwah, Ta'izz

Economy: Yemen is a low-income country that faces difficult long-term challenges to stabilizing and growing its economy, and the current conflict has only exacerbated those issues. The ongoing war has halted Yemen’s exports, pressured the currency’s exchange rate, accelerated inflation, severely limited food and fuel imports, and caused widespread damage to infrastructure. The conflict has also created a severe humanitarian crisis - the world’s largest cholera outbreak currently at nearly 1 million cases, more than 7 million people at risk of famine, and more than 80% of the population in need of humanitarian assistance. Prior to the start of the conflict in 2014, Yemen was highly dependent on declining oil and gas resources for revenue. Oil and gas earnings accounted for roughly 25% of GDP and 65% of government revenue. The Yemeni Government regularly faced annual budget shortfalls and tried to diversify the Yemeni economy through a reform program designed to bolster non-oil sectors of the economy and foreign investment. In July 2014, the government continued reform efforts by eliminating some fuel subsidies and in August 2014, the IMF approved a three-year, $570 million Extended Credit Facility for Yemen. However, the conflict that began in 2014 stalled these reform efforts and ongoing fighting continues to accelerate the country’s economic decline. In September 2016, President HADI announced the move of the main branch of Central Bank of Yemen from Sanaa to Aden where his government could exert greater control over the central bank’s dwindling resources. Regardless of which group controls the main branch, the central bank system is struggling to function. Yemen’s Central Bank’s foreign reserves, which stood at roughly $5.2 billion prior to the conflict, have declined to negligible amounts. The Central Bank can no longer fully support imports of critical goods or the country’s exchange rate. The country also is facing a growing liquidity crisis and rising inflation. The private sector is hemorrhaging, with almost all businesses making substantial layoffs. Access to food and other critical commodities such as medical equipment is limited across the country due to security issues on the ground. The Social Welfare Fund, a cash transfer program for Yemen’s neediest, is no longer operational and has not made any disbursements since late 2014. Yemen will require significant international assistance during and after the protracted conflict to stabilize its economy. Long-term challenges include a high population growth rate, high unemployment, declining water resources, and severe food scarcity.

Agriculture - products: Grain, fruits, vegetables, pulses, qat, coffee, cotton; dairy products, livestock (sheep, goats, cattle, camels), poultry; fish

Industries: Crude oil production and petroleum refining; small-scale production of cotton textiles, leather goods; food processing; handicrafts; aluminum products; cement; commercial ship repair; natural gas production