NYN | News
Well-informed economic sources revealed today that the Presidential Leadership Council government, backed by the coalition, has transferred more than $11 million out of the $90 million recently deposited by Saudi Arabia, to thousands of officials and their families residing abroad.
The sources explained that many of these beneficiaries hold no actual functional roles, while these transfers serve as regular monthly “allowances” for them, draining the Central Bank at the expense of employees inside the country.
Economic experts warned of the severe consequences of these continued foreign-currency transfers, noting that they are depleting the limited hard-currency reserves of the Central Bank in Aden, increasing financial risks and threatening an imminent economic collapse.
The experts pointed out that the current crisis is worsening due to weak exports, widespread corruption, and the sharing of financial revenues among top military and political leaders, which makes managing public finances more difficult and hinders the fulfillment of basic obligations.
This comes at a time when government employees are suffering from severe living hardships due to the inability to receive their salaries over the past months, escalating social and economic tension in the country.
Confirming the deteriorating financial situation, Reuters quoted two officials from the Aden branch of the Central Bank—who requested anonymity—acknowledging that the government is facing its worst financial and funding crisis in years, with an almost complete collapse in its ability to manage public finances or meet even the simplest obligations.
