Yemen’s investment up from same period in 2002 [Archives:2003/689/Business & Economy]

November 27 2003

The total number of projects licensed by the State Authority of Investment from June to September 2003 amounted to about 92 projects, at an investment cost of YR 66.9 billion, with fixed assets of YR 56.3 billion, providing 2,914 job opportunities.
According to the authority, the cost of investment projects increased during the period from July-September 2003 compared to the same period of last year by around YR 40.4 billion.
Sources at the authority attributed the rise in projects cost to the kind of strategic projects, especially the license granted to establishment of two cement factories in the governorates of Hadramout and Lahj.
The industrial sector has occupied the first place in investment as the cost of such projects amounted to YR 60.1 billion, including 39 projects, rating 95% of the total projects during the period July-September 2003.
The sector of services occupied the second place with 26 projects at a cost of YR 3.6 billion, while the agricultural sector came the third with 16 projects worth YR 1.9 billion and the tourist sector gained 11 projects worth YR 1.2 billion.
The main center of the authority in Sana'a is still having the lion's share of total projects licensed, reaching 52 projects worth YR 63 billion and providing 2,040 job opportunities for the same above period.
Branches of the investment authority in governorates have granted licenses for projects totaling 40 projects worth YR 3.9 billion, and providing about 874 job opportunities.
Statistics of the authority indicate that the total number of projects licensed in the period March 1992-September 2003 reached 4,540 projects worth YR 893.5 billion with fixed assets of YR 82.8 billion, providing 146,800 job opportunities.
Despite the fact that the investment movement and influx of capitals into Yemen has been hurt by terror incidents and the war in Iraq, the Yemeni government has taken some speedy treatments to attract capitals of Yemeni expatriates in the GCC and Islamic states, especially in Malaysia and Indonesia.
Sources of the State Authority of Investment confirm that hope was renewed in influx of capitals into the Free Zone in Aden after the government had ended the contract of running it by Yeminvest, and that the delay that overshadowed the investment process would be changed into a development during the coming period under the state of stability Yemen is now entertaining.
The Yemeni government had introduced some amendments to the law of investment granting local and Arab investors more facilities and guarantees and taxation and customs exemptions