Armies of Liberation

There’s even people in jail. Bypassing the bid process is not hard when you can get people locked up. When al Hubaishi, the editor of 14 October arrives at work, he has drummers precede him in a procession as if he’s a minor king, which he is, and Hubashi junior is a real…

Packaging Essentials: Goss Community SSC press launches color expansion in Yemen
Submitted by Admin on December 21, 2010 – 07:54No Comment

* 14th October Foundation government printing operation enhances color capabilities
* Opportunity to increase circulation of leading daily titles

The inauguration of a new Goss Community SSC press at the 14th October Foundation for Journalism, Printing and Publishing in Aden City, Yemen, was officiated on November 22nd 2010 by the Yemeni vice president, Abdu Rabbu Mansoor Hadi. In a ceremony broadcast via national media channels and reported in the state press, Hadi announced a new benchmark for color and automation in Yemen. (Read on …)

In 2005 it was about a third of all spending was allocated to the military, its a massive swamp of corruption.

Yemen Observer: A recent official report revealed that about 40 percent of the Yemeni budget is spent on fighting terrorism. The terrorist operations have also caused losses in the tourism sector that amounted to one billion dollars, while these operations have negatively impacted development, poverty, and unemployment alleviation due to the allocation of large amounts to of fund to fight terrorism from an already meager budget. (Read on …)

Good! 4.5 billion YR is about 220 million dollars US. Another area of enormous expense with disproportionately small return is the foreign embassies, which are used as a mechanism for getting outspoken politicians out of the country. For example the actual winner of the al Jawf governor’s election and the first member of Parliament to resign in protest of corrupt practices were both shipped abroad in diplomatic positions. In 2005, Yemen made repeated announcements that it would be closing unnecessary foreign embassies and reducing staff at others in an effort to cut costs. In the end, after months of hullabaloo, one Yemeni embassy was closed, Oct.11, 2005, Romania.

Academic scholarships abroad are important for Yemen’s future but are largely an entitlement to the sons and daughters of influential persons, bypassing much more qualified applicants. Furthermore, hundreds of thousands are on the military payroll but perform no military service, including some al Qaeda. Military commissions are often awarded by tribal sheiks as patronage and the sweeping exclusion of applicants by region (especially the south) during recruitment has triggered riots. The state also has trouble collecting what is due, whether taxes or the millions are owed in electricity bills by high profile persons. There’s really a lot that can be done to rationalize the Yemeni governmental budget, but it remains to be seen if its Romania all over again.

SANA’A, Dec. 3,2010 – SABA: President Ali Abdullah Saleh ordered last Thursday to reduce the proportion of fuel spending given to senior officials estimated at YR 4.5 billion annually. The order comes within the austerity plans, economic and financial reforms and plans to reduce the public budget deficit.

Other measures Saleh has urged included rationalizing the public spending, limiting funds given for medical treatments outside the country, parties, hospitality, advertisement and other unnecessary activities.

The decision could save the budget about YR 10 billion a year.

General Ali Mohsen al Ahmar: the Avis of Yemen

YP: BY DIONNE SEARCEY- Wall Street Journal (For the Yemen Post)
New documents have emerged relating to possible bribery in Yemen by global oil-services giant Schlumberger.
Internal company documents reviewed by The Wall Street Journal show that Schlumberger employees raised concerns in 2008 about payments for cars the company rented from Yemeni government officials at above-market rates—including $6,000 a month for a Toyota Camry and two Toyota Corollas. Employees also cited a contract with customs broker Dhakwan Management Petroleum Co., whose chairman had ties to Yemen’s president. (Read on …)

GAN
Yemen (Aden) – Aden Free Zone (AFZ) and the International Center for Auction Co., Ltd has signed a memorandum of understanding to set up a trade and storage complex and a global complex to organize and manage all kinds of auctions, Global Arab Network reports according to Saba. (Read on …)

Update: YOL: Dec 13,2010

Parliament approved on Monday a bill on opening an additional appropriation of over YR 287.3 billion in the State’s general budget for the fiscal year 2010. The parliament also approved to direct a number of recommendations to the government in this regard, after the discussion of the Financial Affairs Committee’s report on this subject.

In this regard, the parliament emphasized the commitment of Finance Minister to these recommendations, which asserts that the government must comply with the provisions of the Article No. (89) of the Constitution and must not expend outside the State budget framework, only after the parliament’s approval.

The parliament urged the government to perform its functions so as to stop the phenomenon of internal and external smuggling of oil derivatives.

The recommendations stressed the need to hold government agencies accountable for the negligence in the use of foreign aid provided to them, which led to loading the State financial burdens, and to oblige those agencies to not do that again.

The parliament instructed the Finance Committee to study the causes of the escalating rise in the quantities and value of oil derivatives consumed locally for all sectors.

Moreover, the parliament obliged the government, when discussing the draft budget for 2011, to add allocations of stalled road and electricity projects in light of what has been agreed by the Committee with the government side. Saba

Original: I was waiting for it, because it happens every year. The Yemeni government’s end of year emergency supplemental this year totals 287 billion Yemen riyals, about one billion dollars US, a minor miscalculation. And although Jalal Yaqoub, deputy finance minister, spent yesterday at the Chatham House event insisting, “Every aspect of government expenditure is transparent and available on our website …. how could we do otherwise …. our IMF friends are watching us closely and are very pleased,” its a total crock. While the IMF may be pleased, Yemen has done little to implement meaningful structural reforms. The Yemeni state budget is looted on a grand scale, as are the oil resources and donor aid. The IMF’s discussion of Yemen’s predicted 8% growth in GDP is equally disheartening, especially if its based on projected revenue from the overtly corrupt LNG deal. Who are we trying to kid here, and why? Its blatant malfeasance.

Government recognizes the open adoption of an additional budget of 2010 of $ 287.3 billion riyals
[02/نوفمبر/2010] [02 / November / 2010]
صنعاء ـ سبأنت : Sana Saba: Government approved on Tuesday to open an additional appropriation of the State budget for fiscal year 2010 a total amount of 287 billion and 385 million riyals, in the light of its discussion of the memorandum of the Minister of Finance for the increase in the actual implementation to support oil derivatives, and local benefits. And directed to refer the project to the House of Representatives to complete the constitutional procedures regarding that matter.

But then the vote was delayed. Its almost time to declare the emergency supplemental to the 2010 budget.

SFD’s 2011 budget of over YR 30 bln approved
[24/October/2010] SANA’A,Oct.24(Saba) -Board of directors of the Social Fund for Development (SFD) approved on Sunday the draft budget of the Fund for the fiscal year 2011 at a total sum of YR 30.9 billion, by an increase of 17.9 percent.

It is expected that the budget will cover 1,274 projects nationwide, distributed between the sectors of education, water and environment, training and institutional support, agriculture, health, and roads.

In addition, the budget will also cover projects within the integrated intervention program, projects for people with special needs, and projects for addressing the effects of rising food prices, as well as the cultural heritage projects.

They are demanding that new workers hired by Safer are afforded the same treatment as HUNT’s former workers. Their claims and the right to strike are supported by law, however they were arrested.

Yemen Observer: 47 workers at the Safer refinery in Marib province were arrested last Tuesday and are being held at al-Qatta’a prison after demanding better working conditions, better hours, and higher pay. The workers of Marib refinery launched a strike on October 10 to demand financial equity between new plant workers and the former workers of the Hunt Oil Company. (Read on …)

The economic crisis hits across the board.

al Masdar: As explained Hattar in response to a question by Deputy Abdul Malik Algosos on the reduction of bonuses allocated to the preachers from 10 thousand to 5 thousand riyals per month, he explained that the global financial crisis prevented the government’s ability to adopt the ten thousand riyals 6000 preacher in the various governorates of the republic, where distributed the same amount, which was based in the year 2008 of $ 720 million riyals by 5 thousand riyals for each speaker.
وتمنى الهتار على مجلس النواب الوقوف مع وزارته في الحصول الاعتمادات المطلوبة لصرف إعاشة 27 ألف جامع. Hattar and wished the House to stand with his ministry to get the appropriations required for the disbursement of subsistence 27 thousand inclusive.
من جانبه اعتبر النائب القصوص في تعقيبه على وزير الأوقاف أنه من المعيب استقطاع إعاشة خطباء المساجد وهي مسماة بإعاشة رئيس الجمهورية والتي جاءت أثناء الانتخابات الرئاسية 2006م ، مشيرا إلى أن خطباء في المحافظات الجنوبية ليس لهم سببا للعيش سوى هذه المخصصات. For his part, MP Algosos in commenting on the Minister of Awqaf and it is shameful deducting subsistence preachers Biashp is named President of the Republic, which came during the presidential election in 2006, pointing out that the preachers in the southern provinces have no reason to live apart from these provisions.

Late every year the Yemeni government submits an emergency supplemental to the budget that adds about a third more spending onto the original budget. The supplemental is even more vague than the original. Today we learn that 66 gov’t institutions never submitted their year end statements for 2009 including the YEC which buys and sells hundreds of millions for the state annually. It used to be the Economic Military Corp., but it branched out into a variety of other commodities including wheat, thus the name change. One time Burns said that everyone says to increase humanitarian aid, but no one says how. And its a good question in light of the rampant corruption and the elite’s seizure of donor funds.

al Sahwa- Yemen’s Parliament formed on Saturday a committee to investigate what is alleged about the government’s disregarding of closing accounts for dozens of corporations and funds in budget of the 2009 fiscal year.

MP Akram Atia revealed that over 66 government corporations such as the Yemeni Economic Corporation and the Yemenia Airway have not offered their closing accounts of 2009 fiscal year, affirming that the government’s closing statement contained a significant lack of data for dozens of economic units and their economic calculations. He also said that this omission is annually repeated by the parliament as dozens of government corporations do not end its closing accounts and that is disrgarded in the government’s closing statements.

We’re going to be seeing more of this as the budget crunch hits. There are hundreds of thousands of tribesmen who have military ranks and paychecks but never perform service. These protesters though were state employees in the literal sense. Also the YP confirms two were wounded (not killed) yesterday.

Yemen Post: Tens of the public security personnel closed on Monday the international transport link in Yemen’s Southern Province of Abyan in protest against salary cuts, informed sources said.

Central security forces could not break up the protest and convince them to leave reopen the route because the personnel were armed, the sources said.

Separately, two people were injured in the clashes that erupted when police dispersed rallies organized by the secessionist movement in the cities of Dhale and Lahj.

The rallies coincided with a large-scale strike paralyzing the life in a number of the districts in both cities. Stores were closed down in response to the strike call by the movement.

As the state runs out of money, this is the latest in a series of clashes with soldiers and tribal fighters prompted by overdue salaries.

News Yemen: Security forces have clashed with some fifty protesters, who supported the army in the war against Houthi rebels in northern Sa’ada and wounded during the conflict, near the 1st Armored Division in the capital Sana’a.

Protesters demand the government to pay YR120,000 (almost $600) for each as compensation for injury. Protesters said the government promised to pay them the money but it did not fulfill the promise.

Eyewitnesses said protesters blocked the highway against the 1st Armored Division with iron barriers and big stones and threw stones at security forces. Protesters have also attacked a police car and assaulted a security officer.

Security have opened fire in air to disperse protesters and unblocked the highway, eyewitnesses said. But they said that three soldiers were seen laying on the ground and ambulances were seen rushing to the scene. Sixth war in Sa’ada came to end last February, but many people still suffer post-war consequences.

CBY already injected 20% of its reserves as purchasing power shrinks amid continued public insecurity. A Yemeni economist earlier postulated that excessive money laundering has had a negative impact on the value of the riyal.

Yemen Observer Yemeni riyal fell further against the US dollar as the central bank pumped $57 million into the exchange market, the latest of a series of cash injections to support the tumbling currency which hit a record low this week. (Read on …)

In 2005, Yemen made several repeated announcements that it was going to cut its bloated diplomatic corps in order to reduce expenses. I think it was around the time they were angling for Millennium Challenge Funds. But of course it was all propaganda and the only embassy closed was in Romania. Ambassadorships are quite lucrative, and often used as rewards or to get outspoken people out of the country. The embassies abroad are frequently centers of corruption and sometimes crime and often have networks that spy on Yemeni expatriate communities.

Republican Decrees appointing ambassadors issued
[25/يوليو/2010] SANA’A, July 25 (Saba) – Six Republic Decrees issued on Sunday appointing Yemeni ambassadors to a number of countries:

1- Decree No. 143 for 2010 appoints Yahya al-Sayaghi as an ambassador of Yemen to Cuba.

2- Decree No. 144 for 2010 appoints Abdul-Qawi al-Eryani as an ambassador of Yemen to Turkey.

3- Decree No. 145 for 2010 appoints Shaiy al-Zandani as an ambassador of Yemen to Jordan.

4- Decree No. 146 for 2010 appoints Jamal Nasir as ambassador of Yemen to Algeria.

5- Decree No. 147 appoints Zaid al-Wareeth as an ambassador of Yemen to Iraq.

6- Decree No. 148 appoints Mustafa Numan as an ambassador of Yemen to Spain.

Isria

Yemen – Saleh: My visit to Russia to discuss military deals’ debts

President Ali Abdullah said he discussed with Russian Prime Minister Vladimir Putin Yemen’s debt of military purchases which exceeded USD 2 billion. (Read on …)

The tribal paramilitary hasn’t been paid, violence ensues. I believe this happened in the last wars as well, likely the money got pocketed if it was paid at all.

Yemen Post: An army officer has been killed and three soldiers and unidentified number of tribesmen injured in the clashes that are still continuing between the army and tribes in Al-Ashah district in Amran Province. (Read on …)

Yemen Observer

The presidential committee for completing housing in Aden, Lahj and Abyan governorates disclosed a governmental approval on the geographical redefinition to the lands allocated to Aden Free Zone area activities.

The cabinet has recently agreed to correct its decision number 65 for the year 1993 for defining the lands allocated for the free zone activities, said News Yemen website. (Read on …)

Nice. But they got a good chunk of funds already via this pipeline.

AlawasatAsharq Al-Awsat – Al Qaeda revealed on Thursday the identity of one of the most dangerous women in the organization who was detained by Saudi security forces last February. Sources told Asharq Al-Awsat that Haylah al Qassir was arrested as part of a group of 113 terrorists for having links to Al Qaeda in Yemen. The arrests were announced last March.

An audiotape attributed to Al Qaeda was released on Thursday in which Saeed al Shehri, a deputy leader within Al Qaeda, called for kidnapping Saudi government officials in revenge for Haylah al Qassir’s arrest that was carried out by the Saudi authorities in Riyadh. Al Qassir is described as one of Al Qaeda’s most dangerous women. (Read on …)

SANAA – Fuel subsidies and tax evasion are the biggest strains on Yemen’s finances and need to be dealt with swiftly to allow the impoverished country to turn its economy around, the Yemeni finance minister said. (Read on …)

Yemen Observer – The General Labor Union in Yemen (GLU) called all workers in Yemen to initiate a general strike starting on Saturday, May 15. (Read on …)