Yemen: PLC Open to Economic Talks, Houthis Reject UN Envoy’s Call for Dialogue

A meeting of the Yemeni Presidential Leadership Council (PLC) (Saba News Agency)
A meeting of the Yemeni Presidential Leadership Council (PLC) (Saba News Agency)
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Yemen: PLC Open to Economic Talks, Houthis Reject UN Envoy’s Call for Dialogue

A meeting of the Yemeni Presidential Leadership Council (PLC) (Saba News Agency)
A meeting of the Yemeni Presidential Leadership Council (PLC) (Saba News Agency)

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.



Pro-Türkiye Syria Groups Reduce Presence in Kurdish Area, Says Official

US-backed Kurdish fighters stand on their vehicles, as they withdraw from two neighborhoods in Syria's northern city of Aleppo as part of a deal with the Syrian central government, in Aleppo, Syria, Friday, April 4, 2025. (AP)
US-backed Kurdish fighters stand on their vehicles, as they withdraw from two neighborhoods in Syria's northern city of Aleppo as part of a deal with the Syrian central government, in Aleppo, Syria, Friday, April 4, 2025. (AP)
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Pro-Türkiye Syria Groups Reduce Presence in Kurdish Area, Says Official

US-backed Kurdish fighters stand on their vehicles, as they withdraw from two neighborhoods in Syria's northern city of Aleppo as part of a deal with the Syrian central government, in Aleppo, Syria, Friday, April 4, 2025. (AP)
US-backed Kurdish fighters stand on their vehicles, as they withdraw from two neighborhoods in Syria's northern city of Aleppo as part of a deal with the Syrian central government, in Aleppo, Syria, Friday, April 4, 2025. (AP)

Pro-Türkiye Syrian groups have scaled down their military presence in an historically Kurdish-majority area of the country's north which they have controlled since 2018, a Syrian defense ministry official said on Tuesday.

The move follows an agreement signed last month between Syria's new authorities and Kurdish officials that provides for the return of displaced Kurds, including tens of thousands who fled the Afrin region in 2018.

The pro-Ankara groups have "reduced their military presence and checkpoints" in Afrin, in Aleppo province, the official told AFP, requesting anonymity as they were not authorized to speak to the media.

Their presence has been "maintained in the region for now", said the official, adding that authorities wanted to station them in army posts but these had been a regular target of Israeli strikes.

After opposition forces ousted longtime ruler Bashar al-Assad in December, the new authorities announced the disbanding of all armed groups and their integration into the new army, a move that should include pro-Türkiye groups who control swathes of northern Syria.

Turkish forces and their Syrian proxies carried out an offensive from January to March 2018 targeting Kurdish fighters in the Afrin area.

The United Nations has estimated that half of the enclave's 320,000 inhabitants fled during the offensive.

Last month, the Kurdish administration that controls swathes of northern and northeastern Syria struck a deal to integrate its civil and military institutions into those of the central government.

Syria's new leadership has been seeking to unify the country since the December overthrow of Assad after more than 13 years of civil war.

This month, Kurdish fighters withdrew from two neighborhoods of Aleppo as part of the deal.

Syrian Kurdish official Bedran Kurd said on X that the Aleppo city agreement "represents the first phase of a broader plan aimed at ensuring the safe return of the people of Afrin".

The autonomous Kurdish-led administration's military force, the US-backed Syrian Democratic Forces, played a key role in the recapture of the last territory held by the ISIS group in Syria in 2019.