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Government defines eight challenges to overcome

Government defines eight challenges to overcome

[08/December/2014]



SANA'A, Dec. 08 (Saba) - The government has defined eight prime and exceptional challenges facing Yemen currently and efforts needed to overcome them via its general program.

The government confirmed in its program readiness to shoulder national responsibility as it is aware of the nature of conditions and current challenges topped by the following:

1- The significance of the National Dialogue Conference's (NDC) outcomes and efforts needed to implement them. This issue has been given concern while forming the government.

2- Deterioration of security and political conditions and the fully absence of the rule of law making the national economy and state's budget sustain big losses. The budget's losses because of the repeated attacks targeting the power lines and oil pipelines have reached YR 1.4 trillion.

3- Increasing poverty ratio to reach 54 percent between youth and to 33.7 percent of the population.

4- The huge reduction in the level of economic activity which threatens of economic recession. General Demotic Product dropped by 15.1 percent in 2011 and continued during 2012-2014 by increase of 2.82 percent. This sharp decrease of GPDC coincided with population growth of 3 percent.

5- Complication of financial problems resulting in the net fund deficit of the GDP during 2011-2014 by 5 percent, 4.7 percent, 8 percent and 6 percent respectively. Budget's Structural faults were also complicated as the total public expenditures retreated by 8 percent, 11 percent and 8 percent respectively during 2011-2013 for the interests of wages and salaries' expenditures which consumed average percentage of 31 percent. The domestic debt increased by 111 percent from YR 1.8 trillion to 2.8 trillion in 2011 and by 141 percent in 2013.

6- Sharp and continuous decrease of oil production and decrease of their prices in international markets amid national economy dependence on oil revenues which constitutes a challenge not only to the state budget but also to the national economy.

7- Weakness of institutional structure of ministries, corporations, bodies and facilities to perform state duty and weakness of involving the private sector in managing economy and society. All these require reviewing studies on the state's role in economic and productivity fields.

8- Weakness of basic services topped by education, health, electricity, water and roads.

Prime Minister Khaled Bahah confirmed that the government will not work alone and away of constitutional institutions as well as political and social forces.

"Remarkable achievements will not be realized without integration and cooperation of national forces," confirmed Bahah.

MS

Saba

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