US Envoy to Yemen Says Houthis Are Suffering from a Liquidity Crisis

US Special Envoy for Yemen Tim Lenderking. (Asharq Al-Awsat)
US Special Envoy for Yemen Tim Lenderking. (Asharq Al-Awsat)
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US Envoy to Yemen Says Houthis Are Suffering from a Liquidity Crisis

US Special Envoy for Yemen Tim Lenderking. (Asharq Al-Awsat)
US Special Envoy for Yemen Tim Lenderking. (Asharq Al-Awsat)

US Special Envoy to Yemen Tim Lenderking said the Iran-backed Houthi militias in Yemen were facing economic pressure and were trying to escape this crisis by launching attacks on ships in the Red Sea.

Lenderking was speaking from Oman where he met with Foreign Minister Badr Al-Busaidi. The envoy had also visited Saudi Arabia on his latest tour of the region.

At a digital press briefing, he noted the Houthis’ introduction of a new coin in some parts of Yemen. “What this shows us is that there is economic pressure that the Houthis are facing,” he said in response to Asharq Al-Awsat's question about the new currency.

“I’ve talked about the economic pressure that the Houthis are placing on international shipping, which is harming regional economies, but it’s also harming Yemen. I would point to a 15 percent reduction in ships being able to dock at Hodeidah Port, which is a lifeblood for the Yemeni people,” he went on to say.

“These actions on Red Sea shipping have obstructed humanitarian supplies from reaching the Yemeni people. And that’s why we say that these attacks are misplaced and why they’re reckless and indiscriminate,” stressed Lenderking.

“This introduction of a new coin shows is economic pressure that is being felt by the Houthis. There is a liquidity crisis in Yemen,” he remarked.

“What this all points to is the importance of returning Yemen to a period of stability where its economic resources can be used to promote stability and benefit for all Yemenis, where salaries can be paid according to the terms of the UN roadmap, where Yemen’s fisheries are not endangered by attacks on oil tankers and other ships that could threaten these vital ecosystems,” he continued.

“That’s, again, why we need to make this push toward the Yemen peace effort, which will help the humanitarian situation and also help Yemen – Yemenis rebuild their economy,” he added.

On the Houthi attacks in the Red Sea, Lenderking said: “The Houthis claim that their actions are a response to the conflict in Gaza, but their attacks only hurt ordinary people in the region.”

“These negative impacts are due exclusively to Houthi recklessness and Iran’s efforts to sow instability across the region. These attacks serve nothing more than a narrow Houthi agenda. Iran continues to enable these attacks through arms funding and intelligence support to the Houthis, reminding the world that they are the leading sponsor of terrorism,” he declared.

“The Houthis’ attacks against civilians and commercial ships are acts of terrorism. This is further exemplified by their seizure last November and continued unlawful detention of the MV Galaxy Leader and its 25-member crew,” he noted.

“Houthi attacks must stop so we can return our focus to the Yemen peace effort and direct our full attention towards supporting the Palestinians and their legitimate aspirations for a two-state solution, which Houthi behavior, frankly, is complicating and undermining,” Lenderking stressed.

“Houthi actions endanger the lives of civilian seafarers, disrupt the flow of food and other essential commodities to people worldwide, undermine navigational rights and freedoms, and irreparably harm the marine environment and sensitive ecosystems that Yemeni fishermen depend on,” he went on to say.

“The Houthi attacks are raising prices for consumers and jeopardizing the regional development goals of countries in the region that depend on shipping and international trade, including Oman. These attacks are also not helping Yemen, which remains in dire need of humanitarian and economic support,” he said.

“My hope as the envoy for Yemen is that we can find diplomatic offramps to find ways to de-escalate,” he stated. “We favor a diplomatic solution. We know that there is no military solution.”

Moreover, Lenderking highlighted the role played by Saudi Arabia in building trust and bridging the divide between Yemen’s legitimate government and the Houthis.

This “gives us some hope that we can use this moment to get beyond current tensions and refocus on what the Yemeni people need, which is an end to this nine-year civil war,” remarked the envoy.

“I do think that ultimately diplomatic solutions will have to be found, and again, that’s why the importance of consulting with regional partners who have such a strong stake in a peaceful outcome to this conflict – Oman, Saudi Arabia, and others,” he said. “We all want Yemen to be a source of stability for the region.”

Furthermore, he stressed that the US remains fully committed to supporting lasting peace in Yemen and the UN-backed peace process, and easing the humanitarian and economic crises.



Baghdad Urges Washington to Prevent ‘Imminent’ Israeli Strikes

Sudani visiting a market in Baghdad on Thursday (Government media)
Sudani visiting a market in Baghdad on Thursday (Government media)
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Baghdad Urges Washington to Prevent ‘Imminent’ Israeli Strikes

Sudani visiting a market in Baghdad on Thursday (Government media)
Sudani visiting a market in Baghdad on Thursday (Government media)

Iraqi Prime Minister Mohammed Shia Al-Sudani on Thursday called on major powers to “exert greater efforts to end the war in Palestine and Lebanon.” Meanwhile, an Iraqi government official urged the United States to “prevent any attacks on the country,” referring to potential Israeli strikes.
During a phone conversation with Russian President Vladimir Putin, Al-Sudani stressed the importance of ensuring the conflict does not escalate “to a level that threatens regional and global stability.”
The Iraqi prime minister’s appeal comes amid reports suggesting that Israel may launch strikes on Iraq in retaliation for attacks by Iraqi armed factions targeting Israeli positions.
The Iraqi government is striving to assert its exclusive authority over weapons and war-related decisions. However, armed factions affiliated with the Axis of Resistance openly claim responsibility for near-daily rocket attacks on Israel. This has provided Israel with a justification for potentially targeting Iraqi territory, especially after it filed a complaint with the UN Security Council against six Iraqi factions and held Baghdad responsible for the attacks.
These factions have also openly declared their involvement in the ongoing conflict with Israel in Lebanon and Gaza. The Iraqi government has been unable to take decisive action to halt the activities of these factions, which many believe could soon expose Iraq to an Israeli strike.
According to media reports, Washington has warned Baghdad that Israeli airstrikes on Iraq are “imminent” unless the Iraqi government curtails attacks by Iranian-backed factions on Israel. The Times of Israel cited sources indicating that the United States has “exhausted all means of pressure on Israel” and urged Iraq to act swiftly to prevent such attacks.
Despite repeated assurances from the Iraqi government—including its recent adoption of 12 measures by the National Security Council to counter Israeli threats and complaints—the situation remains tense. These measures include monitoring Iraq’s western borders, preventing factions from launching attacks, and maintaining Iraq’s neutrality in the ongoing conflict.
On Wednesday, Abu Hussein Al-Hamidawi, Secretary-General of Kata’ib Hezbollah, made a striking statement on the role of resistance factions in the war and their commitment to the Unity of Fronts doctrine frequently mentioned by Axis of Resistance groups.
In an interview published by the faction’s media arm, Al-Hamidawi said: “The continuity of the Unity of Fronts concept depends on what the Lebanese Hezbollah decides.”
Al-Hamidawi also emphasized that resistance factions are constantly coordinating internally and with external partners such as Hezbollah, the Houthis, and Palestinian resistance leaders.
“We aim to ensure that the Palestinian people are not left alone and that the Unity of Fronts remains intact,” he stated.
Fadi Al-Shammari, a political advisor to Sudani, reiterated that Israel’s threats “are not new,” citing the recent complaint filed by Israel with the UN Security Council as part of its pattern of issuing threats.
In media statements, Al-Shammari reaffirmed the Iraqi government’s long-standing position: “The decision of war and peace lies solely with the Iraqi government.”
He noted that the factions’ attacks are being launched from areas outside Iraq’s borders, specifically from Syria. However, he stressed that the Iraqi government is working through its security and military agencies to prevent Iraq from becoming a battlefield for external or internal parties.
Al-Shammari also called on the United States to fulfill its responsibilities under the Strategic Framework Agreement and security pact with Iraq, emphasizing the need to deter and respond to any external attacks that threaten Iraq’s internal security.