Saudi Arabia Provides $346.6 Million to Yemeni Government to Cover Public Sector Salary Shortfall

Saudi Arabia provides $346.6 million (1.3 billion SAR) to the Yemeni government to help cover a significant shortfall in public sector salaries, reinforcing efforts to stabilise the country’s economy and institutions.

The payment was delivered under directives from King Salman and Crown Prince Mohammed bin Salman through the Saudi Program for Development and Reconstruction of Yemen (SDRPY), which oversees development and reconstruction initiatives in Yemen.

According to SDRPY, the initiative aims to strengthen economic, financial, and monetary stability in Yemen, improve governance and transparency, and enhance the capacity of government institutions. The program also encourages private sector participation as a driver of sustainable growth.

Chairman of Yemen’s Presidential Leadership Council, Rashad Al-Alimi, expressed gratitude to the Saudi leadership, describing the financial support as an extension of the Kingdom’s longstanding commitment to the Yemeni people. He said the move demonstrates confidence in Yemen’s recovery path and in the government’s ability to reinforce security and stability.

Al-Alimi further emphasised that Yemen’s ongoing partnership with Saudi Arabia represents a crucial step toward a more stable and prosperous future. He called for coordinated efforts to support the reconstruction of national institutions, improve living conditions, and advance economic and social development.

The latest financial support comes amid ongoing challenges in Yemen, where years of conflict have disrupted public services and strained government finances. Officials expect the injection of funds to provide relief for government employees while broader reform and reconstruction programs continue.