SANAA/DUBAI: Yemenis fear a U.S. decision to blacklist the Houthi movement could further isolate them from the global financial system, depriving the war-battered country of vital remittances and hampering the flow of imports.
Yemen’s war and the ensuing economic collapse has left 80% of the population reliant on aid. On Thursday, the United Nations’ aid chief warned that U.S. sanctions would push the country into a famine on a scale not seen for nearly 40 years.
The World Bank estimates one in 10 Yemenis rely on remittances, already down sharply due to the coronavirus pandemic. Severe inflation has put many basic goods out of reach, foreign reserves have dwindled and a divided central bank has struggled to pay public-sector salaries.
“I live in a state of fear. I heard if the American decision is implemented, my brother won’t be able to send money. I will lose my family’s only source of food,” said government employee Ahmed Hassan, 43, who has not received wages for…