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Yemen

24
Projects
US$ 877.63 million
Total Project Cost
US$ 249.84 million
Total IFAD financing

The Context

Yemen has faced enduring challenges over the past decade. Its complex crises stem from protracted conflict, economic hardships, political instability and deep-seated poverty. Yemen is classified by the World Bank as one of the poorest countries in the world, with more than 19 million people in need of humanitarian assistance and an estimated 74 per cent living below the poverty line. The rural population, which constitutes about 60 per cent of Yemen’s total, is particularly vulnerable due to limited infrastructure and access to basic services such as education and healthcare.

An ongoing civil conflict has severely impacted Yemen’s social and economic infrastructure, disrupting essential services and resulting in one of the world’s worst humanitarian crises. The national GDP has sharply declined since the start of the conflict in 2014, plunging an already fragile economy into severe crisis. Nearly 5 million people have been internally displaced, and widespread food insecurity affects over 17 million people.

The country has been divided into two separate economic areas, each with its own institutions. A UN-led truce deal brokered in 2022 has not translated into a long-lasting peace deal, with increasing regional tensions further complicating the peace process.

Agriculture plays a critical role in Yemen’s economy, accounting for over 15 per cent of the GDP and more than 50 per cent of the total workforce in the country. However, agricultural production has been significantly impaired not only by the conflict, but also by climate challenges such as flooding, drought and water scarcity.

Rural communities have suffered from the destruction of farming infrastructure as well as limited market access due to insecurity, which has drastically reduced food production and income-generating opportunities. This has intensified Yemen’s dependence on imports for essential goods, making it more susceptible to global price fluctuations and heightening food insecurity.

The prolonged crisis has particularly affected women and youth. Many women have had to take on new roles as breadwinners after losing male family members to conflict, which has increased their economic burdens without necessarily increasing their rights or protection. Youth, representing about 30 per cent of Yemen’s population, face high unemployment and limited educational opportunities, often with no clear pathway to stable livelihoods.

The Strategy

Reviving Yemen’s agricultural sector is essential for food security and economic growth, with the potential to reduce reliance on food aid by boosting local production. It also offers a pathway out of poverty for women and youth in rural areas by providing employment and entrepreneurial opportunities.

Reinvestment in agricultural infrastructure can strengthen resilience to climate challenges and foster community cohesion through locally led projects.

IFAD aims to reduce poverty, enhance food security, restore rural livelihoods and build the resilience of rural communities in Yemen through:

  1. Provision of key agricultural inputs and services, along with the introduction of sustainable crop and livestock production practices.
  2. Climate-resilient infrastructure and nature-based solutions, including adaptation to water scarcity through investment in rainwater harvesting, rehabilitation of groundwater wells and development of flood-based irrigation schemes.
  3. Nutrition-sensitive interventions, including home gardens, sustainable and organic agriculture, livestock production practices and livelihood asset support. Special opportunities will be identified for women and vulnerable households, leading to an increased number of women with improved diets.

In alignment with our collaboration framework, IFAD partners with the UN’s other Rome-based agencies to support the people of Yemen in coping with climate change risks, as well as the impact of conflict on agricultural livelihoods.

Country Facts

  • More than 17 million people in Yemen are food insecure, with 3.5 million suffering from severe malnutrition.
  • Around 18 million people in Yemen do not have access to safe drinking water and reliable sanitation.
  • The youth unemployment rate in Yemen is approximately 33 per cent.

See the latest updates

Learn More

Experts

Tawfiq El-Zabri

Country Director

[email protected]

Projects and Programmes

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Country documents