ADDRESSING THE CRUSHING WEIGHT OF YEMEN’S PUBLIC DEBT
For decades prior to the ongoing conflict, Yemen had been vulnerable to recurring budget deficits. The escalation of the ongoing conflict in 2014/15 has had a profoundly negative impact on Yemen’s debt position. Large-scale oil exports ceased, leading to a collapse in public revenues, while banks and pension funds stopped purchasing government debt instruments. Management of the public debt became bifurcated between rival central bank administrations in Aden and Sana’a, both
