In a breakthrough development, Yemen’s government and Houthi rebels have agreed to cease banking sanctions amid their ongoing struggle for control over the country’s financial institutions, according to the United Nations. The conflict between the Saudi-led coalition and the Houthis has been ongoing since 2015, leading to a displacement of the government to Aden.
This agreement comes amid a commitment by both parties to a UN-led roadmap to end the war and initiate an inclusive political process. The recent de-escalation measures were brokered with the help of Saudi Arabia, marking progress in resolving the financial crisis that both sides were facing.
The dispute over control of banks and financial services had led to severe repercussions, including restrictions on transactions and remittances. The recent agreement aims to cancel all previous sanctions and work towards economic and humanitarian solutions through collaborative meetings based on the UN roadmap.
While this agreement is seen as a positive step, further commitments are required for a lasting peace. The UN envoy emphasized the need for sustained dialogue and direct negotiations to prevent a return to full-scale conflict in Yemen.