RIYADH: The second batch of the Saudi oil derivatives grant provided to Yemen has arrived at the port of Mukalla in Hadramout, Saudi Press Agency (SPA) reported on Wednesday.
The 23,000 metric tons of oil derivatives will meet the demands of power plants in the southeastern province.
Abdullah Basliman, director of the Saudi Development and Reconstruction Program for Yemen’s (SDRPY) office in Hadhramaut and Al-Mahra governorates, said the $422 million grant provided by the Kingdom through the SDRPY will help provide economic and social stability for the Yemeni people, adding that the grant is an extension of the support provided by the Kingdom to Yemen in all fields, which he described as a reflection of the strong ties between the two countries.
— البرنامج السعودي لتنمية وإعمار اليمن (@SaudiDRPY) June 23, 2021
According to Basliman, the grant will lessen demands on the Yemeni government’s budget, reduce the depletion of hard currency in Yemen’s Central Bank with which to purchase oil derivatives from global markets, help to stabilize the Yemeni riyal’s exchange rate and fuel prices against the US dollar, improve vital services, and provide job opportunities, as well as improving the standard of living in the country by reducing the frequent power cuts.
The Kingdom’s support “will have a positive impact on the economic, health, educational and service fields,” a statement reported by the SPA said.
The SDRPY — which has so far implemented 198 development projects in Yemen, in several sectors — is working with the Yemeni government’s supervisory committee, which is tasked with ensuring, with full transparency, that the grants reach the intended beneficiaries and that the oil derivatives are used for their intended purpose.
The joint committee scheduled the shipments of the derivatives, which will also enable the Yemeni government to use money earmarked for purchasing oil derivatives to subsidize the salaries of civil servants and to provide basic services that raise the standard of living in Yemen.