Barran Press
The Governor of Yemen's Central Bank, Ahmed Ghalib Al-Mubaaqi, has refused to back down from his recent decisions despite mounting pressure, according to a source within the bank. Al-Mubaaqi is currently in Riyadh, Saudi Arabia, where he is reportedly engaging in discussions with the Presidential Leadership Council regarding the next steps in implementing the bank's policies.
The source, who spoke to Barran Press on condition of anonymity, said that Al-Mubaaqi has faced significant pressure to reverse decisions aimed at regaining control over the banking sector. However, the governor has remained steadfast in his commitment to these measures.
Al-Mubaaqi's recent actions, including the implementation of sanctions against six banks and the subsequent notification of their "Swift" system suspension within five days, have been taken without consulting the Presidential Leadership Council.
These decisions follow the Central Bank's revocation of licenses for six local banks in July, citing their failure to relocate their headquarters to Aden, the temporary capital. The affected banks include Al-Kreemy Bank, Al-Tadamon Bank, Yemen and Kuwait Bank, Al-Amal Bank for Microfinance, Yemen and Bahrain Comprehensive Bank, and Yemen International Bank.
The Central Bank's actions have sparked international pressure, with the United Nations urging the Yemeni government to reconsider these policies. UN Special Envoy Hans Grundberg has expressed concern over the impact of the bank's decisions, particularly the suspension of "Swift" access, which could disrupt banking operations.
Grundberg has called for a delay in the implementation of the Central Bank's decisions until at least the end of August and has advocated for a UN-sponsored dialogue between Yemeni parties to address recent economic developments.
The Presidential Leadership Council has convened an emergency meeting to discuss Grundberg's letter, reiterating its commitment to a clear agenda for participation in any economic dialogue. The council has stipulated that any such dialogue must include the resumption of oil exports, the unification of the national currency, and the revocation of all arbitrary measures against the banking sector and the business community.
The Central Bank's recent actions are part of its ongoing efforts to counter the economic measures taken by the Houthi rebels, which have negatively impacted the Yemeni economy and led to a decline in the value of the Yemeni Rial in government-controlled areas.