The Saudi-Yemeni Business Council, under the Federation of Saudi Chambers, has launched six major initiatives aimed at boosting trade and supporting Yemen’s economic recovery. The announcements came during a meeting held in Makkah, Saudi Arabia, attended by over 300 Saudi and Yemeni investors.
The initiatives aim to establish three new companies dedicated to rebuilding Yemen and improving its infrastructure. One of the key objectives is to enhance trade, which is currently valued at 6.3 billion riyals ($1.6 billion), but with Yemen’s exports to Saudi Arabia significantly lower, at just 655 million riyals ($174.6 million). The potential for growth in Yemen’s mining, agriculture, livestock, and fisheries sectors is vast, and the Council’s recommendations are designed to tap into these untapped opportunities.
Among the proposals discussed were upgrading border crossings to improve logistics, setting up quarantine facilities for Yemeni livestock and agricultural products, and creating smart food cities near border areas to improve food security. The Council also recommended addressing challenges in Yemen’s financial sector, including reforms to strengthen connections between Saudi banks and Yemeni traders, as well as the creation of a club for Yemeni investors in Saudi Arabia to encourage joint ventures.
As part of the new initiatives, three Saudi-Yemeni companies will be established. One will invest $100 million in solar energy projects to provide sustainable electricity to Yemen. Another will focus on improving telecommunications via Starlink satellite services, while the third will organize events to promote Saudi products and support Yemen’s reconstruction.
Dr. Abdullah bin Mahfouz, President of the Saudi-Yemeni Business Council, emphasized the importance of the private sector in Yemen’s recovery, noting the role of investments in infrastructure, job creation, and the promotion of small and medium-sized enterprises (SMEs). He stressed the need to empower Yemeni entrepreneurs and secure funding for large-scale reconstruction projects through public-private partnerships, particularly under the Build-Operate-Transfer (BOT) model.
The meeting concluded with agreements between Saudi and Yemeni companies to develop key sectors such as energy, agriculture, and infrastructure. The need for streamlined customs procedures, improved logistics, and upgraded Yemeni ports and airports were also highlighted as essential priorities for facilitating trade between the two countries.
Abdulmajid al-Saadi, leader of the Yemeni delegation, praised Saudi Arabia’s new investment law, noting that Yemeni investments in the Kingdom have reached 18 billion riyals ($4.8 billion), making Yemen the third-largest foreign investor in Saudi Arabia.
