Norway confirms its full support for the Yemeni government in implementing economic reforms

The Special Envoy of the Kingdom of Norway to Yemen, Heidi Johansen, affirmed her country's full support for the government in implementing reforms and the efforts it is making to alleviate human suffering.

During her meeting in the interim capital, Aden, with the Deputy Governor of the Central Bank of Yemen, Dr. Mohammed Omar Banajah, she indicated that the interest in the Central Bank is one of the most important pillars of the support provided by the Kingdom of Norway.

According to Saba News Agency, the Deputy Governor explained that the sharp fluctuations in exchange rates are an inevitable result of the deteriorating economic situation in the country, which directly affects the banking and financial sector, in addition to the terrorist Houthi militia’s attack on the oil ports, which caused the halt of oil exports, which are the most important source of funding for the state treasury in hard currency, which created a deficit in the general budget and balance of payments.

In this regard, he stressed that the bank's management is working hard to overcome these challenges by using available monetary policy tools.

Banajah pointed out that the Central Bank works within the framework of the general policies of the state and its orientations and respects its commitments, including the commitments of the Yemeni government within the framework of what was announced by the UN envoy to Yemen, and it has cancelled the recent decisions against violating banks in implementation of those commitments and in response to the efforts of brothers and friends and the UN efforts to make room for reaching sustainable solutions that preserve the banking sector and lift the suffering from the shoulders of the Yemeni people and protect their capabilities and savings.

The meeting discussed the latest developments in the economic situation and enhancing international cooperation to support monetary stability.

It is noteworthy that this meeting comes in light of the historic deterioration of the Yemeni currency against other foreign currencies, amid the government's inability to take measures to limit this unprecedented deterioration.