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- With Reforms in Economic Programs and Infrastructure - Yemen Progresses towards Economic Development
With Reforms in Economic Programs and Infrastructure - Yemen Progresses towards Economic Development
- By Oil and Gas Author
- Published 08/30/2006
- Petroleum Pipeline , Offshore Drilling , Environment and Pollution , Liquefied Natural Gas LNG , Exploration and Discoveries , Natural Gas Petroleum , Crude Oil Petroleum
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View all articles by Oil and Gas AuthorUnder terms of its agreements with the IMF and World Bank, Yemen is required to initiate privatization of most sectors of its economy. The countrys privatization program aims to boost economic growth, while improving standards of living and access to critical resources (such as power and water). The plan aims to encourage private investment in agriculture, fisheries, and Oil, and selling off the governments stake in companies throughout the Yemeni economy. Some companies are to be offered for tender or auction, while others are to be sold by private subscription. The government also is seeking to create a more attractive climate for foreign investment, as Well as to join the World Trade Organization (WTO). State-owned businesses cited as candidates for privatization include farm and agricultural cooperatives, construction companies, power stations, public housing facilities, refineries, the states Petroleum retail network, shipping companies, and the state telecommunications company. Progress toward privatization, however, has been slow. In 2002, for instance, the countrys privatization initiative faced a setback when price controls were reintroduced for some commodities, mainly foodstuffs. Also, the government has found it difficult to roll back subsidies, with attempts during July 2005 met with rioting and unrest (in late July, the government partly rolled back the price increases).
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With Reforms in Economic Programs and Infrastructure - Yemen Progresses towards Economic Development
