NYN | News
The financial crisis in Aden has reached a breaking point, with the Yemeni rial hitting unprecedented levels of collapse against foreign currencies. The banking sector has directly accused the Central Bank of Yemen of causing this steep deterioration and ignoring repeated warnings about its catastrophic consequences.
On Monday, the Southern Money Changers’ Union escalated its rhetoric in a strongly worded statement, holding the Central Bank in Aden fully responsible for what it described as the “rapid and unprecedented collapse of the national currency.” The union confirmed that the exchange rate of the U.S. dollar had exceeded 2,800 rials in several southern cities—clear evidence, it said, of a disastrous failure in managing monetary policy and regulating the currency market.
In a rare move, the union demanded the immediate resignation of the Central Bank leadership, calling for accountability for those responsible for leaving the market vulnerable to speculation and manipulation. This has led to a collapse in public trust in the financial system and increased suffering among citizens.
The statement expressed deep concern over the worsening impact on daily life, as skyrocketing prices and a shrinking purchasing power grip the population. It warned that the ongoing “silence and paralysis” of Central Bank officials could trigger an economic and social explosion if the currency’s decline continues without decisive intervention.
This escalation comes at a time when southern governorates are suffering from lack of oversight and the absence of any meaningful economic reforms, amid growing public anger over rising prices of goods and services, and an unregulated market increasingly exposed to waves of organized speculation.
The tone of the statement reflects the high level of tension within the financial sector, with mounting warnings that if the current trajectory continues, it may lead to an economic paralysis that could be difficult to reverse—unless emergency measures are taken to halt the collapse and restore even a minimal level of confidence in financial and monetary institutions.
