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Saudi Arabia pledges $500m for Yemen’s southern development

Published on: January 16, 2026 10:41 AM

Saudi Arabia has announced a $500 million development package for southern Yemen following a government offensive against allied separatists, signaling the kingdom’s growing role in stabilising the region. The initiative will span 10 provinces and includes the construction of hospitals, schools, roads, and the donation of fuel to boost power production. Riyadh also plans to build a mosque on Socotra island named “The Custodian of the Two Holy Mosques,” in honor of the Saudi king.

Read More: Yemen’s STC welcomes Saudi dialogue offer 

The announcement came after Saudi-backed forces reasserted control in southern Yemen earlier this month, following the advance of the Southern Transitional Council (STC) near the Saudi border last year. Saudi Defence Minister Khalid bin Salman met with Yemen’s internationally recognised government and the Presidential Leadership Council to affirm Riyadh’s support for the rebuilding and security of the south.

#SaudiArabia Pledges $507 Million in Aid and Development Projects for #Yemen During High-Level Talkshttps://t.co/4gbdiW6yYS pic.twitter.com/1VgXqKaC0E

— Yemen Monitor-EN (@YeMonitorEN) January 15, 2026

Separately, Pakistan urged the UN Security Council to facilitate an inclusive political settlement for Yemen’s ongoing conflict. Pakistan’s UN Ambassador Asim Iftikhar Ahmad highlighted the humanitarian toll, citing millions of Yemenis deprived of basic services and noting that only two-thirds of Yemeni children are fully immunised. He called on all stakeholders to engage constructively and warned against unilateral actions that deepen divisions.

UN officials also voiced concern over the humanitarian crisis. Special Envoy Hans Grundberg noted that Yemen’s future cannot be decided by force, referencing Saudi-backed government operations in Hadramout and Al Mahra. UN humanitarian coordinator Ramesh Rajasingham warned that more than 18 million people could face acute food insecurity next month due to economic collapse, rising prices, and unpaid salaries.

Read More: Saudi Arabia signs $240m loan deal to support Mohmand Dam

Saudi Arabia’s development package and Pakistan’s call for diplomacy reflect ongoing international efforts to stabilise Yemen and mitigate the suffering of millions caught in one of the world’s longest-running conflicts.

Filed Under: Top Stories, World Tagged With: humanitarian aid, Latest, Pakistan, Saudi Arabia, Southern Transitional Council, UN, Yemen

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