World Bank Grants Yemen $100 Mn to Expand Electricity Access

A view of the state-owned al-Haswa power station in Aden, Yemen (Reuters)
A view of the state-owned al-Haswa power station in Aden, Yemen (Reuters)
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World Bank Grants Yemen $100 Mn to Expand Electricity Access

A view of the state-owned al-Haswa power station in Aden, Yemen (Reuters)
A view of the state-owned al-Haswa power station in Aden, Yemen (Reuters)

The World Bank approved a $100 million grant to Yemen for the second phase of the Yemen Emergency Electricity Access Project, announced Minister of Planning and International Cooperation Waed Badhib.

Badhib said that the project aims to increase access to electricity in rural areas and cities' outskirts and plans to restore the capacity of the electricity sector.

He explained that this additional grant is provided by the International Development Association (IDA), the arm of the World Bank, to help the poorest countries around the world.

The UN Office for Project Services (UNOPS) will implement the project in partnership with local stakeholders.

The Minister confirmed that the new grant would provide many public service facilities with new or improved electricity services, helping Yemenis have better access to critical services.

It will also enable small and innovative businesses to gain access to solar systems, encouraging job creation and reaching the desired stage of economic recovery.

Earlier, the Yemeni Prime Minister, Maeen Abdulmalik, confirmed that the World Bank agreed to support government institutions and achieve economic recovery.

Abdulmalik said Yemeni officials met with World Bank and International Finance Corporation officials in Aden.

He explained that the meeting reached an agreement on boosting the Bank's presence in Aden to support partnership and cooperation, respond to humanitarian and development needs, and back state capabilities to achieve stability and recovery.

Abdulmalik stated that the meeting addressed the most prominent challenges and several important issues relating to the food security and energy sectors.

He stressed the need to shift to development in Yemen, suffering from the war against the Iranian-backed Houthi militia.

He explained that the government agreed with the World Bank on several points to launch the next stage, focusing on balancing the emergency response to sustainability with development projects.

They also agreed to finance the productive sectors, fisheries, and agriculture and activate oversight over international organizations, namely projects funded through the World Bank.

The two asserted the need to support the private sector, and the premier stressed the importance of the Bank's contribution to maintaining capabilities within public institutions.

The PM praised the "unique experience" of the World Bank in Yemen, especially since the international organization has been a key and strategic partner since the sixties.

The World Bank is a partner in building effective institutions such as the Social Fund for Development and the Public Works Project, capable of implementing projects worth hundreds of millions of dollars.

Through the International Finance Corporation, the World Bank funded several projects in many sectors in the last 18 months, including health, education, and emergency cash transfers, totaling more than $1 billion.



Iraq's Kurdish Oil Exports Restart is Not Imminent

An oil field in Iraqi Kurdistan. Photo: Kurdistan government media/AFP
An oil field in Iraqi Kurdistan. Photo: Kurdistan government media/AFP
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Iraq's Kurdish Oil Exports Restart is Not Imminent

An oil field in Iraqi Kurdistan. Photo: Kurdistan government media/AFP
An oil field in Iraqi Kurdistan. Photo: Kurdistan government media/AFP

A restart of Iraq's Kurdish oil exports is not imminent, sources close to the matter said on Friday, despite Iraq's federal government saying on Thursday that shipments would resume immediately.

Baghdad and the Kurdistan Regional Government have been in negotiations since February to end a stand-off that has halted flows from the north of the country to Türkiye's port of Ceyhan. The KRG was producing about 435,000 barrels per day (bpd) before the pipeline closure in March 2023, Reuters reported.

On Thursday the federal government said that Iraqi Kurdistan would resume oil exports immediately through the pipeline to Türkiye's despite drone attacks that have shut down half of the region's output.

But on Friday a source at APIKUR, a group of oil companies working in Kurdistan, said that a restart depended on the receipt of written agreements. Another at KAR Group, which operates the pipeline, said that no preparations had been made for a restart.

Baghdad and the companies have not yet agreed how to restart the exports, a KRG government source said, while a source at Türkiye's Ceyhan said there was also no preparation at the terminal for a restart of flows.

On Thursday, a statement from KRG Prime Minister Masrour Barzani said the government had approved a joint understanding with the federal government and it was awaiting financial details.

Similar agreements in the past failed to secure a resumption in exports and it remains unclear if this deal will succeed.

Oil companies working in Kurdistan have previously demanded that their production-sharing contracts should remain unchanged and their debts of nearly $1 billion be settled under any agreement.

Oilfields in Iraqi Kurdistan have been attacked by drones this week, with officials pointing to Iran-backed militias as the likely source of the attacks, although no group has claimed responsibility.

They are the first such attacks on oilfields in the region and coincide with the first attacks in seven months on shipping in the Red Sea by Iran-aligned Houthi militants in Yemen.

On Thursday a strike hit an oilfield operated by Norway's DNO in Tawke, the region's counter-terrorism service said.

It was the week's second strike on a site operated by DNO, which operates the Tawke and Peshkabour oilfields in the Zakho area that borders Türkiye.

No casualties have been reported, but oil output in the region has been cut by between 140,000 bpd and 150,000 bpd, two energy officials said.