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Washington Strives to Keep Two-State Solution ‘Alive’

A Palestinian man walks near the separation barrier in Jerusalem in the West Bank. (AFP)
A Palestinian man walks near the separation barrier in Jerusalem in the West Bank. (AFP)
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Washington Strives to Keep Two-State Solution ‘Alive’

A Palestinian man walks near the separation barrier in Jerusalem in the West Bank. (AFP)
A Palestinian man walks near the separation barrier in Jerusalem in the West Bank. (AFP)

US President Joe Biden’s administration has stressed efforts to keep the two-state solution “alive” for resolving the Israeli-Palestinian conflict.

Spokesperson for the US State Department Ned Price affirmed that the US position on the two-state solution is “well known and clear.”

His comment was made in response to a question about Israeli Prime Minister Naftali Bennett’s recent statements on peace negotiations with Palestinian parties.

“We believe that a two-state solution is the best way to ensure Israel’s future as a Jewish and democratic state, living in peace alongside a viable, democratic Palestinian state,” he said.

“That is why we will continue to focus our efforts on an approach that is affirmative, an approach that is practical, an approach that seeks to improve the quality of life for Israelis and Palestinians alike, in the immediate term, and over the longer term to help keep the possibility of a negotiated two-state solution alive,” Price added.

“Israelis and Palestinians equally – deserve equal measures of safety, of security, of prosperity, of democracy and of dignity,” Price said, noting that this comes at the core of the US approach.

He pointed out that negotiations towards a two-state solution aren’t on the table at the moment. “Our focus now is on improving a standard of living as we keep that possibility of a negotiated two-state solution alive.”

US Deputy Assistant Secretary of State for Israel and Palestinian Affairs Hady Amr is “very much engaged in diplomacy,” Price stated.

“He (Amr) is in constant contact with Israeli officials, with Palestinian officials and with regional officials for this purpose.”

Speaking about the re-engagement with the Palestinian Authority, Price said the administration has resumed assistance to the Palestinian people.

“We’ve provided over $400 million in economic, development, security and humanitarian assistance. That includes $85 million in economic and development assistance, $40 million in security sector assistance, more than $20 million in food aid, in COVID-related humanitarian assistance and $318 million to UNRWA.”

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UN Warns of Profound Liquidity Crisis in Yemen’s Houthi-Controlled Areas

For the first time, the Houthis will face difficulties in financial transfers and foreign currency supply (local media)
For the first time, the Houthis will face difficulties in financial transfers and foreign currency supply (local media)
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UN Warns of Profound Liquidity Crisis in Yemen’s Houthi-Controlled Areas

For the first time, the Houthis will face difficulties in financial transfers and foreign currency supply (local media)
For the first time, the Houthis will face difficulties in financial transfers and foreign currency supply (local media)

A UN program recently warned of low foreign currency reserves and a liquidity crisis in Houthi-controlled areas if the economic conflict with the internationally recognized government continues in Yemen.

It also noted that the poor food consumption significantly worsened in the north, increasing by 78% year-on-year, compared to a 52% increase in the south.

In its Food Security Update, the World Food Program (WFP) warned that a banking crisis is looming in Yemen, as a transaction ban has been announced between the intentionally recognized government and the Houthis-controlled areas.

“These developments, coupled with diminished foreign currency reserves in the north, could result in liquidity crisis with profound implications on markets, livelihoods, and food security situation,” it said.

The Program also noted that the current escalation in the “economic conflict” is likely to disrupt the flow of remittances and the overall financial and banking sectors, posing significant challenges for importers to procure essential food and non-food items, and ultimately impacting food supply and food price.

According to the WFP Update, this conflict comes while limited income opportunities are a key challenge to accessing food, reported by 71% in the north and 60% in the south.

It added that the depth and severity of food deprivation (poor food consumption) also peaked in May, at 32% in the north and 31% in the south.

This trend significantly worsened in the north, increasing by 78% year-on-year, compared to a 52% increase in the south.

Severe food deprivation reached an all-time high in Al Jawf, Al Bayda, Hajjah, Amran, and Al Hodeidah, WFP said.

Around 8% of households in the north reported relying on begging to meet their essential needs, compared to three percent in the south, it showed, adding that this practice was particularly pronounced in Sadah, Hajjah, Amran, and Al Bayda.

WFP also said the total volume of fuel imported via the Red Sea ports increased by 32% during Jan-May 2024 compared to the same period in 2023.

Fuel imports via the southern ports of Aden and Mukalla decreased by 41% year-on-year, as local crude oil production from Marib largely contributes to covering domestic fuel needs in government controlled areas.

However, the WFP update said it is crucial to closely monitor import flows over the coming months, especially given the increased insurance costs for Yemeni ports, the diminished foreign currency reserves, and the banking crisis.

Also, by the end of May 2024, WFP said that the Yemeni riyal (YER) depreciated to an all-time low of YER 1,749 per dollar in government-controlled areas, losing around 25% of its value against the US dollar year-on-year.

“This decline is primarily attributed to low foreign currency reserves and revenue shortages due to reduced crude oil exports,” it said.

The UN program also noted that the overall volume of food imports via all Yemeni seaports increased by 22% during the first five months of 2024 compared to the same period in 2023.

However, it showed that the Red Sea ports saw a 35% annual rise in food imports during Jan-May 2024, while the southern ports of Aden and Mukalla exhibited a 16% annual decline.