oxfam logo

Economic collapse and humanitarian crisis: 10 years of conflict in Yemen

March 26, 2025

A decade after a Saudi-led coalition intervened to restore the internationally recognized Yemeni government to power, the country remains deeply divided, facing economic freefall and a devastating humanitarian crisis. Competing fiscal proposals in the north and south have caused economic collapse. Human rights violations, detention of humanitarian staff and unacceptable conditions for aid work, imposed by the authorities in the capital Sana'a, have compounded the suffering.

Ali lives in Hajjah district with his two children who both suffer from malnutrition. He earns a small income from collecting and selling wood, but he cannot afford enough food and medicine for his children. Photo: Kaff Media/Oxfam

In the south of the country, despite strong international support, the internationally recognized government has failed to provide basic services and stabilize the currency. Over the past 10 years, the Yemeni rial has depreciated by over 90% in government-controlled areas - putting basic necessities, such as food, water and healthcare, out of reach for most Yemenis. This inflation is getting worse - the rial lost 30% of its value in February 2025 alone.

In the north of the country, the Houthi rebels have made it increasingly difficult and dangerous for humanitarian staff to work and provide vital food, cash and other support. Their arbitrary and unlawful detention of Yemeni humanitarian workers and civil society actors has exacerbated an already difficult environment. Authorities should release all unlawfully detained persons, including Oxfam staff.

The terrifying environment created by the Houthi rebels, coupled with the US government's suspension of foreign aid and the increased legal risks, has led many humanitarian organizations to scale back their work, leaving millions of people without the means to survive, and without access to education and healthcare. Families are facing higher prices and reduced humanitarian support.

"Yemenis deserve - and have the right to - live in safety, have access to food, water, healthcare and to move towards a peaceful future."

Pauline Chetcuti, Head of Humanitarian Advocacy and Campaigns Oxfam International

"The past decade has been devastating for Yemenis, and we will only see these deadly consequences worsen unless authorities and the international community act urgently to allow the economy and humanitarian personnel to operate."

Pauline Chetcuti, Head of Humanitarian Advocacy and Campaigns Oxfam International

Education and health services have been cut, leaving millions of people without vital support and civil servants without pay. Healthcare facilities across the country have been significantly affected by the conflict: 40% of them are only partially or fully operational due to lack of staff, money, electricity, medicines and equipment.

The war has destroyed much of Yemen's critical infrastructure - roads, bridges, shops, hospitals, schools and private factories that powered Yemen's economy. Although the frontlines have been largely at a standstill since the ceasefire in April 2022, competing fiscal proposals and the lack of a complete political agreement have left more than 17 million people - almost half of Yemen's population - food insecure.

Yemeni families are facing increasing prices and reduced humanitarian aid as a result of the US government's designation of the Houthi rebels as a foreign terrorist organization. The designation creates significant obstacles to humanitarian aid and commercial imports of food and medicine. It also creates a barrier to the important flow of remittances from Yemenis abroad to their families, which accounts for an estimated one fifth of Yemen's GDP - an important part of Yemen's social safety net. Yemenis need to see an end to human rights abuses and international attacks by the Houthi rebels, but this appointment is unlikely to make that happen. Governments should support international accountability mechanisms for all parties to the conflict - and not punish Yemeni families by removing life-saving aid.

The decade-long conflict has killed over 19,000 people and displaced nearly five million, including a disproportionate number of women and children. These numbers will only increase as more legal and security barriers are placed on the economy and on humanitarian personnel.

"Regional and global powers should work together to support a genuine peace instead of supporting coordinated factions and promoting their narrow political interests. Only through a Yemeni-led political process, which includes women, youth and civil society, can Yemenis emerge from the crisis and enjoy basic peace and security."

Pauline Chetcuti, Head of Humanitarian Advocacy and Campaigns Oxfam International

Spokespersons available for interviews upon request.

For more information, please contact: Amber Ahmad / +44 (0)7767919228/aahmad1@oxfam.org.uk / media.unit@oxfam.org.uk

Background

- Figures from Relief Web and the UN
- The number of people estimated to be food insecure and malnourished is expected to rise well above the figure written above (17 million) due to global aid cuts
- March 26, 2015 is generally recognized as the start date of the international dimension of the conflict in Yemen, when the Saudi-led coalition launched airstrikes and all parties to the conflict responded to it, although it is recognized that the internal conflict started long before
- The US is responsible for half of the humanitarian programs in Yemen, which have been halted overnight, and the UK will be tapering its aid over a two-year period, with possible effects on the humanitarian programs in Yemen

oxfam logo
Giva Sweden logo Swedish Collection Control logo