Fall of the Yemeni Rial: Yemen Economic Indicators Report

Prices of basic commodities in Yemen continued to rise during the month of October, despite the slight upward trend of Yemeni rial. Average  increase in commodity prices was 12% compared to September. The capital Sana’a had the highest increase of 19%.

The report shows that Hadhramout had the lowest commodity price increase due to the governor initiative, in cooperation with the Chamber of Commerce and Industry in Hadhramout, to keep prices under control. However, Hadhramout had the highest fuel price upsurge, recording an average rise of 34%, followed by Taiz (17%).

The report focuses on the six main governorates; namely, Sana’a, Aden, Taiz, Hadhramout, Marib and Hodeida. It covers economic developments, private sector activity, the humanitarian situation and Yemeni ports activity.

The report shows that the Yemeni rial has recorded a slight improvement in October. The average exchange rate stood at 740 rials to a US dollar, compared to 800 riyals to the dollar by the end of September. The average depreciation of the rial is 246%, compared to early 2015 rates.

With regard to developments in private sector activity, the Yemeni private sector witnessed positive developments. New commercial bank branches were opened in Aden and Marib. A cement factory inaugurated a new production line in Lahj Governorate. Aden port witnessed a slight improvement in number of vessel arrivals.

SEMC is a non-profit civil society organization advocating a successful and transparent Yemeni economy. It seeks to raise awareness of economic issues, promote transparency, good governance, citizen participation in decision-making, and free and professional media, as well as economic empowerment of youth and women.

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