Yemen faces natural water shortages because of its geographic location. The problem is exacerbated by weak institutional arrangements in the water and sanitation sector. Yemen is striving to address those challenges and achieve sustainable and efficient use of its water resources, which in turn can help the country’s economic development. Upon Yemen’s request, the World Bank connected Yemen with Uganda, which has extensive experience in private sector participation and improving the performance of public institutions in the water supply and sanitation sector.

Yemen successfully provides electricity to urban areas, but many rural areas remain underserved. Although the Government of Yemen (GOY) had outlined a rural electrification plan, it lacked clarity on how to create, operate, and supervise the new nationwide Rural Electric Service Provider (RESP) . The GOY also lacked experience starting and managing rural electric cooperatives and implementing a rural-grid tariff system.

Yemen’s 2,250 kilometers of coastline and fisheries provide livelihoods to over 2 million people, but coastal zones have been suffering from lack of management, and fishing production in Yemen has been declining since 2006.