‘Yemen is bleeding’: Minister’s plea to UN food forum

Arab News
May 11, 2018

Rome, May 11: The war in Yemen has made “the whole country bleed,” a Yemeni minister told a conference on eliminating hunger in conflict zones.

Othman Hussein Faid Mujali, Yemen’s minister of agriculture and irrigation, said the September day in 2014 when the Houthis mounted their coup was “the worst moment in our history.”

Addressing the Near East Regional Conference at the UN Food and Agriculture Organization (FAO) in Rome, Mujali said: “The Houthis have destroyed all that Yemen has achieved. They made the whole country bleed. Transport, services, health, education, water, electricity — all added to our indignity.”

The three-and-a-half-year conflict between Iran-backed Houthi militias and Yemen government forces had cost the country’s agriculture industry more than $10 million, the minister said.

“Crops have been deleted. There are almost no irrigation channels.”

More than 70 percent of Yemenis work in farming and the overall jobless rate is now about 40 percent. He appealed for veterinary assistance to save livestock and “pave the way for reconstruction.”

Amir Abdullah, deputy executive director of the World Food Program (WFP), said 18 million out of 29 million Yemenis lacked regular access to food and 2 million of those were badly malnourished.

“It seems impossible to lay the foundations for the future in such conditions, but that’s what we must do,” he said. “The WFP aims to bring lifesaving assistance, but it’s just a sticking plaster. It will not solve the problems of the future.”

Lebanon is not at war, but is suffering as a “spillover country,” the Lebanese minister for agriculture, Ghazi Zeaiter, told a sideline event at the conference, which he also chaired.

“Lebanon is directly affected by the war in Syria. Seven years after it started, we are hosting 1.5 million displaced Syrians, half of them children. This is on top of 34,000 Palestinians displaced from Syria and 277,000 Palestinians who were already in Lebanon,” Zeaiter said.

Housing such a large number of refugees — more than any other country — has cost Lebanon $18 billion and led to a 31 percent fall in exports. About 85 percent of the country’s agricultural exports used to go through Syria to the Gulf, but that route was now closed. The country is also spending 18 percent more of its budget on imports.

“Thirty-two percent of Lebanese now live below the poverty line and 10 percent of households are food-insecure,” said Zeaiter.

The presence of Syrian refugees has meant greater competition for jobs, and weak border controls have led to more pest infestation with open-grazing and pollution of the soil and underground water sources.

Pasquale Steduto, FAO regional program leader for the Near East and North Africa, told Arab News that countries could go to war over water unless they learn to control supplies.

“The gap between water supply and demand is widening. It is accelerating and accelerating rapidly,” he said. “Water sources in the Middle East are finite. There is cooperation over trans-boundary issues, but that can be pushed. If it’s pushed too hard, then there could be war over water.”

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Agencies
May 28,2020

Sharjah, May 28: The Ministry of Interior has warned the public against visiting wadis during bad weather conditions, including rainy seasons, to avoid the risk of getting caught in flash floods that could endanger their lives.

A video posted on its official Instagram account depicted several such incidents involving cars being swept away by floods.

The warning comes after four people were found dead this week in Sharjah's Wadi Al Helo, an area hit by floods during heavy rains that lashed the emirate, authorities said.

The National Search and Rescue Centre (NSRC) found the bodies as it conducted an operation to look for seven people who were reported missing amid the unstable weather conditions.

In a separate incident yesterday, 20 passengers of a bus that got stuck in Wadi Hatta's Umm Al Nosor area in Dubai were also rescued by police after their vehicle was swept away by floods.

The ministry urged the public to follow the directives issued for their own safety.

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News Network
May 11,2020

May 11: Saudi Arabia will triple its value-added tax rate and suspend a cost of living allowance for state workers, it said on Monday, seeking to shield finances hit by low oil prices and a slump in demand for its lifeline export worsened by the new coronavirus.

Historic oil output cuts agreed by Riyadh and other major producers have given only limited support to prices after they sank on oversupply caused by a war for petroleum market share between the kingdom and its fellow oil titan Russia.

Saudi Arabia, the world's largest oil exporter, is also being hit hard by measures to fight the new coronavirus, which are likely to curb the pace and scale of economic reforms launched by Crown Prince Mohammed bin Salman.

"The cost of living allowance will be suspended as of June 1, and the value added tax will be increased to 15% from 5% as of July 1," Finance Minister Mohammed al-Jadaan said in a statement reported by the state news agency. "These measures are painful but necessary to maintain financial and economic stability over the medium to long term...and to overcome the unprecedented coronavirus crisis with the least damage possible."

The austerity measures come after the kingdom posted a $9 billion budget deficit in the first quarter.

The minister said non-oil revenues were affected by the suspension and decline in economic activity, while spending had risen due to unplanned strains on the healthcare sector and the initiatives taken to support the economy.

"All these challenges have cut state revenues, pressured public finances to a level that is hard to deal with going forward without affecting the overall economy in the medium to long term, which requires more spending cuts and measures to support non-oil revenues stability," he added.

The government has cancelled and put on hold some operating and capital expenditures for some government agencies, and cut allocations for some reform initiatives and projects worth a total 100 billion riyals ($26.6 billion), the statement said.

Central bank foreign reserves fell in March at their fastest rate in at least 20 years and to their lowest since 2011, while oil revenues in the first three months of the year fell 24% from a year earlier to $34 billion, pulling total revenues down 22%.

"The reforms are positive from a fiscal side as greater adjustment is essential. However, the tripling of VAT is unlikely to help that much in 2020 revenue wise with the expected fall in consumption," said Monica Malik, chief economist at Abu Dhabi Commercial Bank.

She said she kept unchanged her deficit forecast of 16.3% of GDP for this year, which already factors in a greater than previously announced spending cut.

About 1.5 million Saudis are employed in the government sector, according to official figures released in December.

In 2018, Saudi Arabia's King Salman ordered a monthly payment of 1,000 riyals ($267) to every state employee to compensate them for the rising living costs after the government hiked domestic gas prices and introduced value-added tax.

DIFFICULT TIMES

A committee has been formed to study all financial benefits paid to public sector employees and contractors, and will submit recommendations within 30 days, the statement said.

In late 2015, when oil prices fell from record highs, the kingdom slashed lavish bonuses, overtime payments and other benefits once considered routine perks in the public sector.

In a country without elections and with political legitimacy resting partly on distribution of oil revenue, the ability of citizens to adapt to such reforms is crucial for stability.

"Tripling the VAT will test the limits of the balance between revenues and consumption as the economy dives into a deep recession. The move will impact consumption and could also lower the expected revenues," said John Sfakianakis, a Gulf expert at the University of Cambridge.

"These are pro-austerity and pro-revenue moves rather than pro-growth ones," he said.

Hasnain Malik, head of equity strategy at Tellimer, said the VAT rise could bring about $24-$26.5 billion in additional non-oil fiscal revenue. The rise would hit consumer spending further but was a needed step towards fiscal sustainability, he said.

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News Network
May 5,2020

Dubai, May 5: Saudi Arabian prosecutors have ordered the arrest of a Saudi citizen for insulting an Asian expatriate and abusing him for not embracing Islam.

A video went viral online showing the expat, apparently with little knowledge of the Arabic language, being insulated by an Arabic-speaking man who does not appear in the clip, for having not embraced Islam and for not fasting.

A monitoring centre affiliated with the public prosecution examined the video the content of which “shows the citizen’s use of abusive words against the Asian resident on the pretext of inviting him to Islam,” the prosecution source said.

“The public prosecution closely follows up whatever infringes rights of citizens and residents including harm to their dignity and legal rights regardless of pretexts of such infringement,” the source added.

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