Yemen’s political landscape has been devasted by civil war, also distressing state finances. Hopes are present for a sharp economic recovery in the long term, if the war ends. Nevertheless, the country will continue to suffer from high unemployment and inflation. Food shortages and poverty are pressing issues, but a growing and youthful populace could support consumption in the long run. Internet use is rising, but capital spending by telecoms players has been falling and innovation is lacking.
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