CBY in Aden moves hot battle between Gov., Houthi militias

English - الثلاثاء 09 أبريل 2019 الساعة 10:43 ص
Aden/Sana'a – NewsYemen.net

30 months after moving the Central Bank of Yemen (CBY) to the interim Capital Aden, the role of the CBY is still limited in running the economy and Money Management.

The Houthi militias exercise the most majority of the CBY's functions in the Capital Sana'a, tightening their grip on institutions and banking, exploiting the weakness of Hadi's government.

In recent weeks, the Newly appointed Governor of CBY Hafedh Fakher Meyad has moved the front lines locally and internationally to resume the basic functions of the CBY in its main headquarters in Aden through a package of measures.  

He called off dealing with the US dollar and Saudi Rial, calling to deal with the National Currency, adhering the banks to supply cash to the CBY and exchanged it with the US dollar in order to restore the international financial institutions' trust in the Yemeni banking system.

Financial experts have expressed their fears of the efforts, led by the governor of the Central Bank of Yemen, would collide with the absence of the political will of Hadi, which has undermined the effectiveness of actions taken by the Central Bank and the Economic Commission over the past period.

The battle to restore the functions and capabilities of the Central Bank in Aden to exercise its functions and powers requires a high level of political commitment to local financial and banking institutions and the international banking system, they told Newsyemen.

They stressed that the lack of security and the State's guarantees made traders and financial institutions " microfinance institutions, insurance companies", banking institutions "commercial and Islamic banks, and exchange companies and offices" aligned with the Houthi militias, which have controlled the central bank of Yemen (CBY) in Sana'a on 21 September 2014.