Macro - Country Economic Forecasts - Yemen, Rep
We've downgraded our 2025 GDP growth forecast for Yemen to 3.1% from 3.6% as we expect the escalating conflict in the Middle East will cause significant disruptions in Red Sea shipping lines that connect Yemen's key ports. Plus, with households dedicating 65% of their incomes to food, we think recent flooding in agricultural regions will heavily reduce private consumption. Houthi captures of UN aid workers will also cool any economic recovery.
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