World
Fight for control of Yemen's banks between rebels, government threatens to further wreck economy
SANAA, Yemen (AP) — Yemen’s Houthi rebels and its internationally recognized government are locked in a fight for control of the country’s banks that experts warn is threatening to further wreck an economy already crippled by nearly a decade of war.
The rivalry over the banks is throwing Yemen’s financial system into deeper turmoil. Already, the Houthis who control the north and center of the country and the government running the south use different currency notes with different exchange rates. They also run rival central banks.
The escalating money divide is eroding the value of Yemen’s currency, the riyal, which had driven up prices for clothing and meat before the Islamic holiday of Eid al-Adha started on Sunday.
For weeks, Yemenis in Houthi-controlled areas have been unable to pull their money out of bank savings accounts, reportedly because the Houthi-run central bank, based in the capital, Sanaa, has stopped providing liquidity to commercial and government banks. Protests have broken out in front of some banks, dispersed by security forces.
Yemen has been torn by civil war ever since the Iranian-backed Houthi rebels took over Sanaa and much of Yemen’s north and center in 2015. The Saudi-backed internationally recognized government and its nominal ally the Southern Transitional Council, a group supported by the United Arab Emirates, govern the south and much of the east, centered in the southern port city of Aden.
Yemen was already the Arab world’s poorest country before the war began. Punitive actions by each side against the other’s banks over the past week now threaten to undermine merchants’ ability to import food and basic commodities and to disrupt the transfer of remittances from Yemenis abroad, on which many families depend, said Edem Wosornu, director of operations and advocacy for the U.N. humanitarian coordination office known as OCHA.
“All these factors will likely deepen poverty, worsen food insecurity and malnutrition, and increase reliance on humanitarian assistance,” she told a U.N. Security Council briefing on Thursday. The dispute could escalate to the point that banks in Houthi-run areas are barred completely from international financial transactions, which she said would have “catastrophic ramifications.”
The internationally recognized government moved the central bank to Aden in 2016, and since then began issuing new banknotes to replace worn-out riyals. Houthi authorities, which set up their own central bank in Sanaa, banned the use of the new money in areas under their control.
In March, the Houthi-controlled central bank announced it was rolling out its own new 100-riyal coins. The international community and Yemen’s recognized government denounced the move, saying the Houthis were trying to set up their own financial system and warning it will deepen Yemen’s economic divide.
Adding to the confusion, the bills have different exchange rates — riyals issued in Sanaa go for about 530 to the dollar, while those from Aden are around 1,800 to the dollar.
In response, the Aden-based central bank gave banks 60 days to relocate their headquarters to the southern city and stop operating under Houthi policies, or else risk facing sanctions related to money laundering and anti-terrorism laws.
The central bank was “forced to make these decisions, especially after the Houthi group issued their own currency and took unilateral steps towards complete independence from the internationally recognized Central Bank in Aden,” said Mustafa Nasr, an economic expert and head of the Studies and Economic Media Center SEMC.
No banks met the deadline — either because they needed more time or because they feared Houthi sanctions if they moved, Nasr said.
When the deadline ran out last week, the central bank in Aden banned dealing with six banks headquartered in Sanaa, meaning currency exchange offices, money transfer agencies and banks in the south could no longer work with them.
In retaliation, the Houthi-run central bank in Sanaa banned all dealings with 13 banks headquartered in Aden. That means people in Houthi-controlled areas can’t deposit or withdraw funds through those banks or receive wire transfers made through them.
Even as the fight for control is going on, both sides are facing a cash crunch. The Houthi government has few sources of foreign currency and its new coins aren’t recognized outside its territory.
In January, the United States designated the Houthis as a global terror group in response to the rebels’ attacks on shipping in the Red Sea and Arabian Sea. The Houthis say the attacks are in retaliation for the Israel-Hamas war in the Gaza Strip. Because of the U.S. decision, banks around the world might be concerned and reluctant to continue any financial dealings with banks that have headquarters under Houthi control, said Youssef Saeed, a University of Aden economic professor.
The economy in Aden isn’t significantly better. The government’s revenues have been hit hard ever since Houthi attacks on oil ports in late 2022 forced a halt in oil exports, the main earner of foreign currency.
Since March, depositors in Houthi-run areas have been unable to pull money out of their accounts. The central bank in Sanaa hasn’t announced any formal restrictions, but several economists told The Associated Press that it has informally stopped releasing funds that individual banks have put in its coffers — in part because of a lack of liquidity.
At one bank that saw protests by depositors last month, the International Bank of Yemen, a note hung in the lobby said, “In coordination with the Central Bank, withdrawals from old accounts have been suspended until further notice.”
Um Ahmed, a 65-year-old woman who was among those protesting outside the bank, said that she was trying to withdraw money to help her son buy a motor scooter for work, but the bank refused.
“I served this country as a teacher for 35 years and saved every penny and deposited my money at the bank, but they took it all,” she said. “This money belongs to my husband and me and our children.”
___
Fatma Khaled reported from Cairo.
World
Video: How the War in Iran Is Disrupting the World’s Oil
By Peter Eavis, Sutton Raphael, Leila Medina, Stephanie Swart, Blacki Migliozzi, Christiaan Triebert, Keith Collins, Jacqueline Gu and Rebecca F. Elliott
March 6, 2026
World
While UN Issues mixed signals, Witkoff exposes Iran’s nuclear evasion ‘pride’
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The stunning details revealed by Steve Witkoff on his talks with Iran and their boastful remarks about its nuclear program have seemingly fallen on deaf ears at the U.N. nuclear agency.
Days into the U.S.-Israel joint campaign against Iran, the director general of the International Atomic Energy Agency (IAEA) Rafael Grossi posted to X stating, “There has been no evidence of Iran building a nuclear bomb.”
Fox News Digital asked the IAEA how it could assess the development of a possible nuclear weapon without access to Iran’s facilities but received no response at press time.
Grossi’s post came as the U.S. Special Envoy to the Middle East Steve Witkoff gave details to Fox News’ Sean Hannity earlier this week on his talks with the regime prior to the U.S. and Israel launching their military operation against Tehran.
Witkoff revealed the negotiators said they had an “inalienable right” to enrich uranium. When Witkoff countered that the Trump administration had the “inalienable right to stop [them, ]” he explained that the negotiators said this was only their starting point.
“They have 10,000, roughly, kilograms of fissionable material that’s broken up into roughly 460 kilograms of 60% enriched uranium, another 1,000 kilograms 20% enriched uranium,” Witkoff explained. “They manufacture their own centrifuges to enrich this material, so there’s almost no stopping them. They have an endless supply of it. The 60% material can be brought to 90% – that’s weapon grade — in roughly one week, maybe 10 days at the outside. The 20% can be brought to weapons grade inside of three to four weeks.”
Witkoff added that during his first meeting with the negotiators, they said “with no shame that they controlled 460 kilograms of 60% and they’re aware that that could make 11 nuclear bombs, and that was the beginning of this negotiating stance.”
“They were proud of it. They were proud that they had evaded all sorts of oversight protocols to get to a place where they could deliver 11 nuclear bombs,” Witkoff said.
US special Envoy Steve Witkoff arrives to his hotel during new round of talks between the United States and Iran on Iran’s nuclear programme, in Geneva on Feb. 26, 2026. ( Fabrice COFFRINI / AFP via Getty Image)
Grossi, who is running to become the next United Nations secretary general, did however admit in his post on X that Iran maintains “a large stockpile of near-weapons grade enriched uranium” and said that the Islamic Republic has not allowed inspectors full access to its program. With these facts in mind, he said that the IAEA “will not be in a position to provide assurance that Iran’s nuclear programme is exclusively peaceful” until Iran “assists…in resolving the outstanding safeguards issues.”
Richard Goldberg, a senior advisor to the Foundation for the Defense of Democracies, FDD, told Fox News Digital, “No one paid much attention to Rafael Grossi throughout the Biden years when he repeatedly warned publicly that Iran was refusing to cooperate with and providing false statements to the IAEA about ongoing investigations into undeclared facilities, activities and nuclear material.”
PHYSICIST LAWMAKER WARNS US LACKS CLEAR PLAN FOR IRAN’S ENRICHED URANIUM
The former Trump administration official said, “There are some key facts being ignored today. The IAEA board last year found Iran to be in breach of the NPT. To this day, Grossi has confirmed that the IAEA cannot verify the Iranian nuclear program is peaceful.”
He continued, “This is not Iraq where we lacked hard public evidence of a nuclear weapons program. Iran had built out nearly every part of its nuclear weapons program in plain sight, with the weaponization work moving forward at undeclared sites controlled by SPND. If the administration had evidence the regime was moving quickly to reconstitute key elements of that program — from advanced centrifuge manufacturing to completion of a new underground enrichment site alongside advancement of delivery vehicle programs – the president was fully justified in enforcing a red line he set after Operation Midnight Hammer.”
Map of Iran nuclear facilities attacked by the US in Operation Midnight Hammer. (Fox News)
Spencer Faragasso, a senior fellow at the Institute for Science and International Security (ISIS), told Fox News Digital that his organization calculated prior to the June 2025 12 Day War that Iran possessed 440.9 kilograms of 60% rich uranium. With about 24 or 25 kilograms of 90% rich uranium required per weapon, Faragasso said the country possessed the ability to produce 11 weapons in one month.
Faragasso said that there remain questions about whether the Iranians can access their enriched materials, and whether they possess additional centrifuges that may have not been installed in the facilities that were struck.
US EMBASSY URGES AMERICANS IN IRAQ TO SHELTER IN PLACE UNTIL FURTHER NOTICE
“Being able to enrich the uranium up to weapon grade is actually a tall order,” he said, explaining that it would require a new enrichment site and components and materials that “Iran would either need to recover from its destroyed facilities” or “illicitly import them from abroad.” With a few hundred centrifuges, enough for two or three cascades, Faragasso said the Iranians could have enriched their uranium stores to weapon grade.
“To be clear, the successes gained from the June war are not permanent and officials from the regime spoke publicly about how they wanted to reconstitute their enrichment program, their nuclear program,” he said. “The more time that goes on, the worse the situation will get. It’s not going to get better, especially regarding the ballistic missile program.”
Satellite imagery taken on Jan. 30, 2026, shows a new roof over a previously destroyed building at Natanz nuclear site. (2026 PLANET LABS PBC/Handout via REUTERS)
He said the Iranians had previously expressed the desire to open a fourth enrichment site, which the IAEA stated was at Esfahan. According to Faragasso, there was “never confirmation” of where the site was or how far along construction may have been.
The group is now tracking an Israeli strike on March 3 on Min-Zadayi, a site that Faragasso said “was completely unknown” to them previously. The Israel Defense Forces reported on X that the site was “used by a group of nuclear scientists who operated to develop a key component for nuclear weapons.”
The State Department referred Fox News Digital to remarks made by Secretary of State Marco Rubio to the press on Tuesday on Iran’s nuclear program.
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“This terroristic, radical, cleric-led regime cannot be ever allowed to have nuclear weapons.” Explaining that the Islamic Republic was “willing to slaughter their own people in the streets,” Rubio directed members of the press to “imagine what they would do to us. Imagine what they would do to others. Under President Trump that will never, ever happen,” he said.
World
‘Everyone loves Bukele,’ El Salvador’s VP Ulloa defends crackdown
Published on
El Salvador’s Vice-President Félix Ulloa fiercely defended his country’s crackdown on criminal gangs in what he described as “the miracle of Bukele” in an interview with Euronews, saying only the woke and left-wing European media disagree.
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Ulloa, a lawyer by training, is one of the key engineers of an unprecedented state-led operation to eliminate gang violence under Salvadoran President Nayib Bukele, who has been in power since 2019. The criminality rate in what used to be one of the most dangerous countries in Latin America has collapsed, but critics point to an increasingly authoritarian turn.
“El Salvador is not militarised, and it’s not a police state. You are wrong,” he said on Euronews’ interview programme 12 Minutes With in Brussels, as he prepared to address a conference organised by the European Reformists and Conservatives (ECR) group at the European Parliament. This political family also includes MEPs of Giorgia Meloni’s Brothers of Italy.
“Show me one European leader who has Bukele’s popularity. They wish they could get his numbers,” he said while pointing to a newspaper clipping. “None of them, certainly not the ones that have criticised us, can do this. In El Salvador, we are 100% safe.”
El Salvador ended 2024 with a record low 114 homicides compared to 6,656 killings in 2015 in violent shootings among gangs or clashes with security forces. In 2022, a wave of violence saw 62 people killed in a single day by gangs. As a result, Bukele was granted emergency powers and the “state of exception” has remained in place since.
So far, there is little indication that Bukele will lift it even as crime declines and human rights activists warn of an erosion of the constitution and abuse of power. Ulloa pushed back, saying, “democracy is about the people, and the people feel safe.”
But this approach is not without flaws.
Since 2022, as Bukele cracked down on gangs, more than 83,000 people have been arrested in El Salvador. A mega prison known as CECOT, or Centro de Confinamiento del Terrorismo in Spanish, was inaugurated in 2023 and has become the symbol of the country’s transformation. Pictures have emerged of packed cells and inmates piling on to each other in small confinement areas serving as “warning”, according to Ulloa.
“I understand that it can shock (Europeans), but there is a subliminal message. Before, these guys would pose and make gestures, like celebrating. Now, when you see those pictures, it’s clear you don’t want to end up there,” he told Euronews.
Yet, some of the people held in prison should not even be there, according to human rights groups, who point to arbitrary arrests, detentions without due process and sentences handed without evidence of wrongdoing.
“There can be some mistakes that are made. You don’t make mistakes here? They don’t make mistakes in France. In Spain?” he said. “And we have liberated some 8,000.”
Bukele was re-elected president of El Salvador in 2024 with a landslide majority close to 85% of the vote and has floated an unlimited term after the constitution was amended last year. Asked if that represented an erosion of democratic standards, Ulloa told Euronews, “absolutely not…. demos means the people. And if they want him…”
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