Yemeni riyal on ‘rebound’ 20% against U.S. dollar as people voice optimism over new government

By Peter Song
Reporter at Asia N

SEOUL: The Yemeni riyal has risen by more than 20% enabling the Yemeni economy has entered a recovery phase, “Arab News” reported on December 20.

The riyal rose from 925 riyals (about 4,093 KRW) to 750 riyals (about 3,300 KRW) against the U.S. dollar.

According to “Arab News”, the rebound of the Yemeni riyal is attributable to Yemeni President Abed Rabbo Mansour Hadi’s announcement of a cabinet reshuffle last week.

In 2018, President Hadi appointed Maeen Abdul Malik Saeed, a reformist, as the youngest (at the time, 42 years old) Prime Minister in the constitutional history of Yemen, and promoted various state-led economic policies, including intervening in the foreign exchange market.

President Hadi’s policy is deemed as part of an effort to appease the public anger due to the shortage of daily necessities and electricity, including the collapse of the value of the riyal since the civil war that has continued over the years.

In an interview with “Arab News” on December 20, Yemen’s new Prime Minister Maeen Abdul Malik Saeed, said, “This cabinet reshuffle is a special measure by the President Hadi to revitalize the Yemeni economy,” he said. “In the future, the Yemeni government will be filled with young talents and the value of the riyal will steadily rise.”