State and USAID: This is a time of particularly heightened U.S. national interest in Yemen, which calls for quick and effective efforts to support and assist in Yemen’s political transition. Under the Gulf Cooperation Council (GCC) political transition plan, the presidential election on February 21, 2012 formalized the transition of power and U.S. assistance will help the Yemeni people work to establish a more inclusive democratic process. Reorganizing the military and security sector will be a component of that transition. U.S. security assistance will seek cooperation with the newly formed government, helping to ensure that the Yemeni military and security forces are properly realigned and working to reinforce stability rather than serving as a destabilizing force.

U.S. development assistance will focus on the political transition and the recovery of the country from economic collapse through policies, regulations and programs to generate employment and enable private sector development. The United States Agency for International Development (USAID) will support the development of governmental capacities to deliver services, to include citizens in decision making, to develop the capacities of civil society, and to empower youth and women to participate more effectively in political processes and the economy. In so doing, U.S. assistance will address the underlying causes of instability that make Yemen vulnerable to the exploitative activities of insurrectionists, militant extremists, and terrorist organizations, which pose threats to the security of the country, the region, and the United States.

U.S. assistance programs aim to build the capacity of key central and local government institutions, including the Supreme Commission for Elections and Referenda, the Supreme National Authority for Combating Corruption, Parliament, and line and economic planning ministries through training, equipment and technical advisory support. Assistance will be provided to the Republic of Yemen Government (ROYG) ministries, departments, and local government bodies, to enhance inclusive policy formulation and implementation capacities, and to improve accountability, transparency and anti-corruption efforts. Civil society organizations (CSOs) will be supported to play constructive roles in public policy advocacy and monitoring.

The U.S. Government will continue support to private sector and non-governmental partners, in conjunction with the ROYG, to improve standards of living, reduce poverty and unemployment, expand infrastructure and access to services by advocating for improved policies and regulations in order to enhance the business investment and operational climate in the country. Moreover, U.S. assistance will continue to support the realization of self-identified goals of communities through an approach of close collaboration and coordination with citizens, and the building of local capacities in the areas of agriculture, enterprise development, health, education, and local governance that will provide assistance and sustainable solutions to local livelihood problems.

The FY2013 request is based on expectation of continuing needs in development and security assistance. Additional transitional funding may be allocated from other sources, as the transition progresses and opportunities emerge. (Source: Congressional Budget Justification FY 2013)