Saudi Arabia Maintains Key Support For Yemen's Development And Economic Recovery

Saudi Arabia has remained Yemen’s main long-term partner in relief, development, and economic support, with assistance aimed at stabilising institutions and daily life. Between 2012 and 2025, support exceeded $12 billion, targeting both national indicators and local services, and linking emergency needs with longer-term recovery and growth.

Financial backing has included $3.2 billion in deposits and grants to the Central Bank of Yemen, helping maintain macroeconomic stability and support the currency. These funds have eased fiscal pressure, helped preserve basic services, and supported the wider Yemeni economy during a prolonged period of conflict and disruption.

The Saudi Development and Reconstruction Program for Yemen has implemented 268 development projects and initiatives in eight key sectors, at a cost above $1 billion. These interventions have upgraded infrastructure, strengthened basic services, encouraged food security, and supported institutions, while also creating employment opportunities that contribute to sustainable and inclusive development.

Projects under the Saudi Development and Reconstruction Program for Yemen have focused on health, water, transport, education, livelihoods, and cultural protection. The program has also worked to build Yemeni human capital, combining service delivery with capacity-building to improve institutional performance and help communities manage and maintain the new facilities.

Health sector projects have expanded access to quality care by building, equipping, and operating hospitals and medical centres. The program has also trained healthcare workers, helping raise service standards and improving coverage in several governorates, so that more Yemenis can receive treatment closer to their homes.

In the water sector, Saudi Arabia support for Yemen has targeted scarcity by improving water resource management and distribution systems. Projects have introduced renewable energy solutions for pumping and supply, which has reduced operating costs and improved reliability, thereby strengthening water security for households, farms, and local businesses.

The transport portfolio has included rehabilitation of airports, expansion of port capacity, and restoration of 150 kilometres of roads. According to program data, these interventions have benefited nearly 14 million people, improving connectivity between cities and rural areas and supporting trade flows, humanitarian deliveries, and everyday mobility.

Saudi Arabia support for Yemen in education, livelihoods, and heritage

Education projects have supported universities, medical colleges, and technical and vocational institutes, giving thousands of Yemeni students better access to higher and professional education. By improving facilities and training opportunities, the Saudi Development and Reconstruction Program for Yemen has helped graduates enhance their skills and increase their chances of finding employment.

Beyond core services, Saudi Arabia support for Yemen has included initiatives to improve livelihoods and empower women and youth. Cultural heritage has also been a focus, with restoration of Seiyun Palace in Hadhramaut as a major historic and cultural site, reflecting efforts to protect identity while supporting local tourism-related income.

The Saudi Development and Reconstruction Program for Yemen works in coordination with the Yemeni government, local authorities, civil society organisations, international and UN agencies, and the private sector. Five executive offices across Yemen oversee implementation, helping ensure projects align with local needs and national priorities, and that support reaches communities across different regions.

With inputs from SPA