GEORGETOWN UNIVERSITY, 9TH JAN 2023,WASHINGTON DC

By Bushra Nasr Kretschmer

To watch My Speech ( min 35) 

YOUTH DESERVE TO DREAM AND FREELYBUILD THEIR DEMOCRATIC, JUST FUTURE.

As soon as we talk about the Yemeni economy, its challenges, and the prospects for reconstruction,armed conflict and political complexity predominate, with no improvement in sight. We are now in theeighth year of a violent armed conflict and a fragile economy that has deteriorated sharply, leaving 80% of the population in need of humanitarian assistance.

The existence of dual political and economic institutions with dual exchange rate systems has far reaching implications for crisis factors and features throughout the country.

The weaknesses of the legitimate Yemeni government have resulted in its inability to meet basiceconomic needs and ensure the enforcement of laws for essential social services, which has added tothe complexity of the situation. The lack of a role for parliament and oversight institutions and thedivision of authorities in the liberated areas. The lack of financial efficiency and capacity in publicfinance and the absence of infrastructures and information suitable for the preparation of the generalstate budget, the weak efficiency in the collection of public revenues, the fragmentation of tax basesand the erosion of the hard currency needs of the Central Bank, the sharp decline in oil and gas exports,the resources that no longer effectively flow into the accounts of the Central Bank, which accounts for 75% of the state budget. The desolated public facilities such as oil and fisheries, the chains around theuse of ports and airports. And above all, the deep corruption, the lack of governance and the failure ofstate authorities to practice the principles of good governance with effective jurisdictions aggravatethe situation.

In addition to all these challenges, other multiplier effects such as the Covid 19 pandemic, climateshocks such as floods, the decline in fisheries resources, drought, the rise in food prices, and the Ukraine conflict have exacerbated food insecurity.The worsening of food insecurity, the humanitarian crisis, and the increasing internal displacement of 13% of the population are putting great pressure on the Yemeni people and the Yemeni economy.  Yemen's profound dilemma is state sovereignty in decision-making, as a legitimate governmentrepresenting the Yemeni people has been eroded by Saudi Arabia and the Emirates through theTransitional Council in the south. On the other hand, the northern part of Yemen is controlled by theHouthis militia, an Iranian-allied militia that considers itself Hashemite Supremacists. Hashemites orSayed (the Lords). They make up 2 to 3% of the population and believe they are descendants of the Prophet Muhammad and have the divine right to rule the Yemeni people politically, economically,socially, and intellectually, according to their doctrine.

This justifies their war, which they have waged against the state and the Yemeni people since 2004. Today, they control 80% of the population in a Nazi and fascist manner based on their doctrine. Nevertheless, their holy war against the Yemenipeople is not over yet.This is shown by the fact that they do not want to end this conflict or accept economic solutions thatcould improve the situation of the Yemenis. On the contrary, they have and continue to use aid andeven charity as an attractive facade to maintain their war, besiege the people, and exploit their need to achieve their political goals. Yemenis have suffered under the Imamate Hashemites for decades.Today, the world knows that building a just peace and a democratic state based on justice and equalityis far from being achieved when such a theological ideology exists that contradicts basic human and economic rights. Nevertheless, this group has not been identified as a terrorist group.

Again, this war is experienced differently at the local level, with areas where the tension, destruction,and humanitarian situation are very high, while in other areas the situation is less dire. However, all share the daily struggle to provide food and basic services.

OPPORTUNITIES:

Despite this fragile state situation, the Yemeni economy has managed to maintain its resilience due tomany factors, including. (a) adaptive capacity; (b) decentralized governance structures and the role oflocal institutions; (c) social safety nets and the role of cultural norms, informal and nongovernmentalstructures, including tribal structures; (c) vibrant civil society; (d) the role of women in communityresilience and social cohesion, as well as increasing youth participation; (e) most importantly, private sector contributions and remittances and diaspora support.

During this war, the Yemeni people concluded that the international community neglected Yemen. Yemen was not given the same attention as Syria and Ukraine.But the Yemeni people cannot wait, they do not deserve to die in silence. The youth deserve to dreamand freely build their democratic, just future. A just peace that is meant to last. Given the unprecedented challenges to economic development efforts and the specifics of the conflict,it is critical to take a new approach to improve the state's capacity to provide economic and social security and, equally important, strengthen local governance and empower local people andcommunities. Give them the right to decide.The international community should use new tools while leveraging technology for an inclusive approach to linking humanitarian assistance and development that emphasizes democracy,participation, and accountability. This is important to create a culture that enables the necessaryengagement for development and reconstruction. An approach that paves the way for democracy,equity, and inclusion while strengthening human capital to preserve and sustain these economic andsocial gains. Focus on building human capital and youth leadership.

Yemenis, especially youth, boysand girls, deserve a genuine political and international will to develop a strategy for a decent,democratic reconstruction and a strategy for a just peace.Yemenis deserve to develop a vision and the appropriate resources to implement that vision.

Yemen cannot wait for peace to begin reconstruction and rehabilitation. Conversely, it is important tocreate a vision and scenario for the future in the early stages of reconstruction. Early recovery,reconstruction, and rehabilitation are key to promoting the transition to peace.

RECOMMENDATIONS FOR INTERVENTIONS:

1. The primary concern for reconstructing and rehabilitating Yemen necessitates immediate and strategic macroeconomic interventions. The principal aim is to aid the inhabitants, mitigate the worsening of living conditions, and ensure food security while concurrently preserving and enhancing the capabilities of institutions and sectors that serve them. These sectors encompass the monetary system, agriculture, livestock, energy and renewable energy, education, health, ICT, and transportation.
2. It is imperative to fortify and consolidate Yemen's central bank, thereby making it fundamentally autonomous and impervious to political pressures. This would involve bolstering fiscal policies, monetary policies, and exchange rate management.
3. The emphasis should be on enhancing governance and reestablishing the state apparatus by concentrating on bracing local governance and administration. 
4. Institutions responsible for accountability in implementation and follow-up need to be activated and fortified.
5. Local institutions such as the Social Fund for Development, SMEPS, and the Public Works Program should be leveraged. This strategy could decrease household reliance on humanitarian aid and foster income generation in activities that build resilience.
6. It is essential to boost and revive the private sector while preserving trade competitiveness.

FOR MEDIUM TO LONG-TERM, EARLY REVITALIZATION AND RECONSTRUCTION:

1. It is necessary to institute a fund for reconstruction and formulate its supporting laws and regulations for effective governance.
2. It is advisable to commence operations in Aden, and if feasible, in Sanaa, to restore and bolster the confidence of the populace, reinforce social cohesion, and alleviate social tensions.
3. The development of local reconstruction plans should be pursued through a participatory model that acknowledges shared responsibilities and accountabilities. This model should ensure feedback and input from communities, local stakeholders, and government partners throughout the strategy.
4. Security stabilization needs to be linked with relief and reconstruction efforts, creating a strong incentive for disarmament, demining, and reintegration (DDR).
5. Reconstruction planning should be grounded in a robust contextual analysis. This includes conducting on-the-ground damage needs assessments using a participatory approach led by the governmental committee, development agency, community, and a local Joint Steering Committee. Creating opportunities for different stakeholders to share and discuss the future development scenario will be instrumental in restoring relationships and building trust between Yemenis and stakeholders.
6. An agile approach should be adopted for the development and adaptive processes of laws, regulations, and policies that effectively serve the needs of early recovery and reconstitution.
7. To promote a greater sensitivity to local dynamics, stakeholder, political economy, conflict, and sectoral analyses that consider pre-crisis grievances and root causes of needs and conflicts should be incorporated in advance of project development.
8. Initiate the urban reconstruction framework in governorates such as Aden, Hadramout, and Marib, ensuring it is comprehensive and inclusive of diverse social groups, internally displaced persons (IDPs), and vulnerable populations. This can be achieved through trust-building measures, piloting programs, and scaling strategies.
9. Implement a model for iterative urban reconstruction programming that transitions from humanitarian assistance to reconstruction and finally to resilience at scale. This model, encompassing analysis, planning, implementation, and monitoring, should contribute to the construction of a respectable democratic state that upholds human rights.
10. Foster a robust private-public partnership (PPP) and enhance the role of the private sector in early recovery and reconstruction phases. Encourage international development investment specifically for fragile and conflict-ridden states.
11. Support increased response capacity, bolstered institutional arrangements, and multi-level governance for a coordinated multi-stakeholder response in different processing phases. Integrate and systematize individual instruments and program-level actions into a unified approach.
12. Concentrate on country procurement reforms and develop a robust public procurement system, as public procurement is a crucial component of democratic governance, reconstruction, and sustainable development.
13. Prioritize the restoration of cultural heritage and consider a framework for rebuilding the housing sector. This sector is a significant source of employment, with a specific focus on recruitment from frontlines. Given the extensive coastal borders Yemen possesses, armed groups could be leveraged for marine and port security.
14. Prioritize vulnerable groups, women, and youth in all efforts.
15. Learn and build upon the lessons gleaned from countries like Afghanistan, Iraq, Gaza, DRC, and others that have undergone similar processes.
16. Enlist the media as a partner and primary protector of development initiatives.
17. Embrace technology and adopt modern IT solutions to aid in the reconstruction and development processes.
18. Lastly, but certainly of utmost importance, invest in women. Empowering women is integral to the overall development and progress of the nation.