Marib fails to develop the service sector, despite the oil revenues
English - Tuesday 13 June 2023 الساعة 04:49 pm
Marib, NewsYemen, Private:
A new analytical study said that the development of the services sector in Marib governorate is still limited, although the local authorities in Marib collect and redistribute their own revenues, which complicates efforts to form a complete picture of revenues and expenditures at the national level.
The study "Economic Motives for Displacement in Yemen" issued by the Federation of Cash Aid in Yemen confirmed that public services in Ma'rib governorate are hampered by the lack of appropriate institutional management.
The study indicated that Marib has witnessed a significant economic boost since the beginning of the conflict, with the opening of many restaurants, shops and companies to accommodate the increasing demand of the displaced.
Marib governorate is a major destination for the displaced seeking to avoid conflict, find better job opportunities in the oil-rich governorate, and benefit from better service provision.
Official estimates indicate that the population of Marib has increased from 36,000 in 2014 to 3 million in 2019. More than half of the population lives in the city of Marib.
According to the study, the lack of a long-term strategy that can maintain the housing and health needs of people in Marib means that many IDPs are at risk of unemployment and economic hardship, which could lead to further displacement.
The study indicated that the real estate sector in the city of Marib was boosted due to the influx of displaced persons and investments by returnees from Saudi Arabia, which led to a significant increase in land prices and an increase in average rental prices by about 500%.
It pointed out that recently, investors and business owners were reluctant to invest in assets in the city of Marib due to the uncertainty of the security situation.
The World Bank, in its latest report on Yemen, also indicated that the local authorities in Marib collect and redistribute their revenues, at a time when financial control over Yemeni oil fields is uneven, and the actual revenues may be much higher than these estimates suggest.
The World Bank pointed out that there are no reliable estimates available for spending in some areas under nominal government control; It collects and redistributes its own revenues, which complicates efforts to form a complete picture of revenues and expenditures nationwide.
