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Yemen & Saudi Arabia Yemeni Agricultural exports to Saudi Markets have marked a sharp increase during the first half of this year amounting to 22845,8 tons of fruits, 18854,8 tons of vegetables and 617,7 tons of Yemeni coffee. Sources at the Supreme Exports Council maintained that Yemen and Saudi Arabia agreed on building three installations in Saudi Markets to help store and distribute Yemeni agricultural exports. Exporting to Saudi Arabia is considered to be the second major source of income for Yemen, second to oil, contributing 17% of the gross domestic product. Economic and investment reports indicate that the borders treaty signed in Jeddah on 12 June, 2000 has enhanced ties between Yemeni-Saudi businessmen and merchants. During the past few months, many Saudi businessmen, merchants came to Yemen to explore investment opportunities in tourism contracting and industrial fields in the country especially in the free Zone of Aden. One of the Saudi businessmen Mr. Abdulrahman Fakih has invested SR 100 million in terms of establishing 10 centers for “al-Tazej” meaning fresh restaurants in Sana’a. This will create about 1000 jobs for Yemenis according to an agreement with the international Group represented by Nabil al-Khamri, a Yemeni businessman. It is expected that the Yemeni-Saudi Coordination Council will draw up plans so as to enhance bilateral cooperation between the two countries in investment and economy. Businessmen in Yemen highly count on establishing investment partnership with their Yemeni emigrants, businessmen, in Saudi Arabia. Many industrial projects are expected to be established in the Free zone of Aden. A care in point is the Saudi-German Hospitals Group which started setting up two hospitals: one in Sana’a and the other in Aden costing $ 100 million. The hospital in Sana’a consists of 400 beds and includes all specializations while the hospital in Aden consists of 200 beds. The objective of this project is to treat incurable diseases as official reports indicate that Yemen loses more than $ 300 million for treating Yemenis abroad. On 22 August, 2000, a draft agreement on cooperation was reached by Al-Madinah Company of International Standards representing the Saudi side and the Yemeni Economic Establishment representing the Yemeni side in the tourist and investment fields. Al-Ru’yah Trade and contracting Company, Saudi, has allocated about $35 million for investment in Yemen which goes to prove the development of investment in the country and the inflow of capitals from the kingdom to Yemen. This has been remarkably observed due to the flexible and good facilities and guarantees ensured to investors by the investment law including taxes exemptions. Economic sources state that al-Ru’yah, Saudi company, is conducting negotiations with some Yemeni officials to finish the building of the TV establishment in Aden at a cost of $200 million. The company is also setting up a township for the National Investment and trade Bank costing $ 40 million. Many Saudi businessmen expressed their readiness to invest in Yemen after signing the borders treaty between the two countries. However, they are still waiting for necessary studies to erect projects in the Free Zone in Aden. Trade sources expect that the trade exchange between the two countries will boost the balance of trade which is now in favor of Saudi Arabia by $ 200 million. All in all, after signing the borders treaty Yemeni-Saudi relations have changed from neighbors to partners which will help the two countries to make use of oil and mineral investment opportunities, specially in areas near to the border line. It is deniable that population growth problem is not only confined to increased female population compared to male population. Rather it is attributed to the imbalance of social, economic and educational conditions of Yemeni women in the town and rural areas and to the unequal health, employment and qualification and social care chances that they get when compared to those enjoyed by men. The hazardous state of women in rural areas becomes more distinct when comparing their current living conditions to conditions of women living in towns. Reports reveal the limited income of women in rural areas and the fact that they receive megre wages in comparison with their arduous work done. This is because rural development projects do not focus on integrating women’s work in the labor market. Despite the fact that women in rural areas spend long hours working in fields, carrying water, gathering wood, grazing, bringing up children, preparing food, etc, the necessity factor is, as a matter of fact, the main motive for their work. It has positive economic impact on the family life. However, it is also a waste of national labor potential which, if made well use of, in accordance with comprehensive development plans, would improve the performance of national economy. There are actually a very few rural women who have had the opportunity to have access to education and employment. So it is necessary that projects such as electricity, water and gas are to be instituted by the government. The private sector has to be encouraged to establish projects and invest in agricultural areas in terms of establishing dispensaries that meet the needs of people in these areas. Owing to deteriorated health conditions women in these areas suffer a lot. According to population census of 1994 about 81 infants die out of every 1000. This number increases when talking about dystopia death cases in women living in rural areas. Although there is an increased cadre strength working in the health field, there are clear deteriorated health conditions in rural areas. Demographic surveys reveal that the rate of incidence of diseases, specially of malaria and malnutrition, dyspenea in the respiratory system and hepatitis affecting rural women is 75% more than their counterparts in towns. Therefore, integrating rural women in the labor market remains a far cry for the fragile development projects focusing on this aspect. And if the participation of women in economic and social life is very limited, their role in rural areas is almost not there due to high illiteracy rate among women who are prevented from education and training. One the funny inconsistencies is that women either in rural areas or in cities are seriously reckoned when there are elections. However, this care is never visible when elections are over. Even those who claim setting up of programs to eradicate illiteracy among women, do not bother whether these are translated into action so to make women play their legitimate role in development. It is to be stressed here that in order for rural women to get out of this deteriorating situation, a comprehensive development strategy ensuring basic services for the people, setting up productive projects, allowing women’s work for daily wages and giving them access to education should be ensured by the government. Such a trend in this world, which has turned to a global village, is very pertinent specially in a country where women constitute more than half of its population and most of them live in rural areas. Moreover, Yemeni returnees from the gulf countries during the 2nd gulf war have also increased the unemployment problem specially among rural women and increased the family problems due to the increased number of people living below the poverty line. To sum it up, wasting the potentials and labor force that women in rural areas constitute, will certainly increase obstacles and challenges before human resources development. That necessitates practical economic, social, educational and training development plans for rural women. Moreover, it should be borne in mind that partial solutions to these problems introduced by the Social Security Fund or setting up small workshops have all come to nothing. Women in rural areas are in need of comprehensive development plans. Mahyoub Al-Kamali Yemeni-European relations are developing good cooperation positively reflected in the EU member states’ attitude in support of the Yemen’s ongoing economic and financial reforms. Yemen, as a developing country needs, at this phase of transformation towards the market economy , support of donor countries mainly Germany, Holland, Belgium and France. European Investment Bank has signed with Yemen a memorandum to contribute to projects financing. This agreement will be implemented with funds amounting to $ 62,000,000 to be spent on modernizing Sana’a International Airport and to improve its facilities to meet the big increase movement in passenger traffic. In appreciation by European countries of Yemen’s government financial and economic reforms being carried out since 1995, the European Union decided that from 2001 to have Yemen included in a European Financial Basket allocated for the Mediterranean countries. According to the European program, called the Financial Basket, Yemen will obtain large financial funds for development projects, not available before. The European Union decided to open an embassy in Sana’a in 2001 to supervise carrying out the new projects and to support coordination with the Yemeni government to consolidate development, political, cultural, and economic cooperation. With European aids, Yemen would find opportunities for funding projects in infrastructure, health, education, developing job opportunities and reducing unemployment rates. The latest visit to Yemen by Mr. James Moran, the European Union Regional Representative, has helped consolidate ties relating to the of Yemeni-European cooperation. It has contributed to EU member states understanding of reforming Yemeni economic situations and envisaging of future support. In the light of globalization data and development, as well as the free transfer of trade and capitals, Yemen ua in great need of European assistance especially in implementing projects related to fighting poverty. Germany is one of the most important EU countries in this field. It has been contributing to updating human and economic development process in Yemen. According to official figures, Germany has in the field of technical and financial cooperation offered Yemen with 2,23 billion marks in assistance. Germany is also offering other aid to Yemen via the EU, World Bank and the UN with the purpose of funding development projects in Yemeni governorate. In Yemen, there are six German technical and consultative firms for supporting German-financed projects, particularly in developing agriculture, vocational training, health, water and sanitation, education plus supporting women’s participation in decision-making. European donor countries aided Yemen in re-scheduling its foreign debts by exempting it from a large portion of the outstanding loans. this decision was taken in meetings of EU members in Paris Club. Holland, too, offers Yemen substantial aids. It is the second biggest EU donor state supporting economic reforms and developing the civil society of Yemen. Its aids earmarked for the current activities in Yemen are to the tune of 60 million guilders in the field of water and public health, 14 million guilders for environment protection, 60 million guilders for health and housing, 25 million guilders for education and training, 10 million guilders for women’s projects, 23 million guilders for agriculture, 10 million guilders for culture and more than 10 million guilders for supporting other projects. These figures and other French, Spanish, Italian and British assistance and aid reflect that the Yemeni-European relationships are progressing steadily from strength to strength. 22 Development Projects The World Bank is currently supporting and financing 22 development programs in Yemen at a cost of about US$ 660 million, said Mr. Jean Louis Sarbib, the bank’s Vice President for Mideast and North Africa in a press conference in Sana’a. He added that US$ 200 million had been allocated to finance a number of development programs in Yemen next year. Tourism Revenues Tourism sector sources expect revenues to rise to US$ 2.5 billion by 2002. They also expect investment in this sector to provide more than 25 thousand job opportunities indicating a plan for tourist promotion, improving tourist products and propagating it globally and training cadres in the sector. Last year revenues amounted to only US$ 250 million. Warns Against Privatization A recent economic study has warned against taking hasty steps in privatizing the public and mixed sectors. The study came to the fact that about 11% of the budget revenues derive from those 140 public and mixed institutions adding that they do not add any burden on the national economy. N. Mukalla to be Drilled Soon A Norwegian oil company is to begin drilling a first oil well in north Mukalla the beginning of next year. The company has already finished studies and surveys on blocks 48-49. In addition, good results have been achieved in block 32 in Al-Masilah with 10 thousand barrels per day. Official production is scheduled for next Thursday. Exhibited in Africa Preparations are in full swing to organize the first exhibition for Yemeni industries in Kenya and North Africa in the beginning of next year. The exhibition will take place in Nairobi where 80% of the Yemeni emigrants concentrate. A big number of Yemeni companies will participate in the fair to show their products. for Grain Imports Yemen’s last year imports amounted to US$ 2,441 billion. Despite the fact that Yemen is an agricultural country US$ 810 million i.e. 37% of the aforementioned amount is spent on grain. Yemen can increase production of grain if it properly organizes its water resources. |
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