A country in crisis
The country, after Sudan the poorest in the Arab world, is showing increasing tendencies towards separation between the parts that once constituted the former North Yemen and South Yemen. After disputes between Houthi rebel insurgents from the north and government security forces escalated in September 2014, the President stepped down following the storming of his palace. Rebels and representatives of the different parties agreed on a truce and concluded an agreement to establish a government of national unity. Meanwhile the major challenges facing the country – high population growth, poverty, a shortage of water, massive unemployment and poor education and health systems – are almost fading into the background. Yemen's oil and gas deposits will be exhausted in the foreseeable future and the agricultural sector can no longer feed its citizens.
For reasons of security, since the end of 2013 only the local employees of the KfW office have been working in Sana'a. Some of the work meetings are held in Amman or Frankfurt.