The Yemeni Presidential Leadership Council (PLC) has shown flexibility in response to a request from UN envoy Hans Grundberg to stop the Central Bank in Aden from taking action against Houthi-controlled banks and to start an economic dialogue.
This has caused widespread anger among government supporters.
The Houthis, however, rejected the UN envoy’s call for dialogue on economic issues, especially concerning banks whose licenses were revoked. Grundberg defended his request by highlighting the humanitarian impact and the fear of renewed conflict.
Mayy El Sheikh, Chief of the Strategic Communications and Public Information Office at the UN envoy’s office in Yemen, told Asharq Al-Awsat that Grundberg has renewed his call for the Yemeni government and the Houthis to meet under UN supervision to discuss economic issues, including the banking sector.
El Sheikh noted that Grundberg informed the UN Security Council in June about his efforts to facilitate direct talks between the Yemeni government and the Houthis.
She added that Grundberg’s office “remains committed to pushing for dialogue, believing that sincere, unconditional talks are the best way to address economic issues and prioritize the interests of Yemenis.”
Grundberg recently sent a letter to PLC head Rashad al-Alimi urgently requesting a halt or delay until the end of August on the Central Bank of Yemen’s decision to revoke the licenses of six banks in Houthi-controlled areas and suspend their access to the SWIFT system.
In his letter, Grundberg acknowledged the long-standing economic hardships faced by the Yemeni government, especially the halt in crude oil exports. He warned that the Central Bank's recent actions against the banks would harm Yemen's economy, worsen living conditions for ordinary Yemenis, and risk escalating military tensions.
Meanwhile, the Houthis rejected the call for dialogue. Hussein al-Ezzi, their Deputy Foreign Minister, stated on X that his group had informed Grundberg of their “outright rejection” of the proposed talks.
“There will be no negotiations except on the agreed-upon roadmap,” al-Ezzi added.
Despite the PLC’s support for economic reforms and the Central Bank’s actions in Aden, it has shown flexibility towards the UN request, demanding a clear agenda for any economic dialogue.
This includes resuming oil exports, unifying the national currency, and ending arbitrary measures against the banking sector.
In response to Houthi threats of military escalation, the PLC warned the Iran-aligned group against full-scale war and confirmed the readiness of all military units to counter any aggression.
