The New Arab Logo

Breaking News
Houthis sign huge finance deal with Iran Open in fullscreen

Farouq al-Kamali

Houthis sign huge finance deal with Iran

The announcements were made by the Houthis, not through official state channels [AFP]

Date of publication: 12 March, 2015

Share this page:
  • 0

  • twitter
Analysis: The agreement covers a range of areas and was announced in the name of the Yemeni Republic by a Houthi spokesperson.

The Ansarallah movement, better known as the Houthis, has signed of an economic partnership agreement with Iran that covers oil, trade and electricity generation.

"The signing of a framework of understanding for a comprehensive economic partnership between the Yemeni Republic and the Islamic Republic of Iran covered basic needs in the fields of electricity, oil, and trade and economic exchange," said Houthi spokesman Mohamed Abdul-Salam.

"The agreement provides for enhancing bilateral cooperation and utilising Iranian expertise and capabilities in different fields."

The Houthi spokesman added the Iranian government had agreed to provide Yemen with a 200 megawatt power plant.

Critics said the deals would eliminate what was left of the power and relevance of state institutions, and lead the country towards chaos.

They have also signed an air transport agreement with Iran, under which Iranian and Yemeni airlines would each run 14 flights a week in each direction.

In early March, an Iranian Air flight landed at Sanaa International Airport from Tehran, based on an agreement signed between the Yemeni Civil Aviation Authority and the Iranian Civil Aviation Organisation.

Fars News, a semi-official Iranian news agency, had earlier said the air flights would open the Yemeni market to Iranian exports. Analysts said these agreements set a serious precedent as they were announced by the Houthis' spokesman, not through the traditional official channels.

Critics said the deals would eliminate what was left of the power and relevance of state institutions, and lead the country toward chaos.

The Houthi movement, which took over power in Yemen in September 2014, have started to open up Yemen economically to Iran and its allies, especially Russia and China.

This is an edited translation from our Arabic edition.

The New ArabComments

Most Popular

Most Popular

    Read More