Nearly 10 years since the war in Yemen began, and one where civilians have paid by far the heaviest price, there are still no indicators that this conflict could be nearing an end. Now they are being threatened with an even more severe humanitarian crisis due to US President Donald Trump’s decision to classify the Houthis as a “Foreign Terrorist Organisation” (FTO).
The repercussions of this step will likely include the obstruction of vital imports – food, medicines and fuel – in a country where nearly 90% of the population is reliant on food imports.
International humanitarian organisations report that in 2025, over half the Yemeni population (19.5 million out of 34.9 million) will also need other forms of humanitarian aid.
US motives
The Trump administration has justified the decision to designate the Houthis as an FTO due to the group having fired on US naval vessels dozens of times since 2023 which it says has put US armed forces personnel at risk.
The US government also accuses the Houthis of launching attacks on civilian infrastructure and commercial ships crossing the Bab el-Mandeb Strait and forcing some commercial maritime traffic in the Red Sea to change course, which has fuelled global inflation, according to the White House.
Based on the decision, which takes effect 30 days from its announcement, all assets belonging to individuals or entities linked to the group within the jurisdiction of the US will be frozen, and American citizens will be prohibited from engaging in any financial or commercial transactions with them.
However, the new US decision could have serious negative consequences for Yemeni civilians, especially as 75% of the population lives in Houthi-controlled areas.
Houthi-controlled ports and banks
Another major issue is that the bulk of humanitarian assistance in Yemen arrives via Houthi-controlled ports — the most prominent being the Hodeidah port.
The Houthis also control a large proportion of the country’s banks, which form a lifeline for thousands of Yemenis who rely on remittances from relatives abroad.
It is expected that the US decision will hinder international financial transactions with Yemeni banks, which could push Yemeni expatriates to resort to the black market to transfer funds to relatives. This could mean cash transfers will even more likely end up in the hands of the Houthis – who control these markets.
Global charity Oxfam has emphasised that the step will only worsen the suffering of Yemeni civilians, and obstruct vital imports of food, medicine and fuel.
Oxfam America’s Director of Peace & Security Scott Paul stated: “The Trump administration is aware of these consequences but chose to move forward anyway, and will bear responsibility for the hunger and disease that will follow.”
Meanwhile, the recent Israeli, British and American attacks on Yemen, targeting the Hodeidah port and Sanaa airport, have further exacerbated the humanitarian situation, causing obstructions and delays to aid deliveries via the port.
Also worsening the situation is the early January decision of the (non-recognised) Houthi government’s Ministry of Economy, Industry, and Investment to ban flour imports through Hodeidah and other ports under the group’s control.
Positive ramifications?
Despite the above, Abdulraqib Fateh, the former minister for local governance in the internationally recognised Yemeni government, believes there will be positive repercussions to the new designation decision.
He said to Al-Araby Al-Jadeed, The New Arab’s Arabic-language sister edition that ranking the Houthis a terrorist organisation was essentially directed at the Houthi militias, its leaders, supporters and its sources of funding. He doesn’t think that humanitarian work in Yemen will be targeted, nor that the step would negatively impact mechanisms by which aid reaches its target population in Yemen, even in Hodeidah.
He added, “If the legitimate authority deals with this classification in a wise and well-planned manner by presenting sensible administrative proposals to allow the role of international organisations [to continue] and facilitate their tasks […] then this classification will be beneficial for various humanitarian activities.”
Fateh pointed out that “The Houthi armed militias are dealing with relief [assistance] in particular, and humanitarian support in its various forms in general as just another source of funds for their war effort. Therefore, humanitarian operations aren’t being directed at benefitting those in need, or being directed into projects which support people and generate sources of income for them.”
Jamal Mahfouz Balfakih, the general coordinator of the internationally-recognised Yemeni government’s Higher Relief Committee, said the Trump administration’s decision to designate the Houthis as a foreign terrorist organisation would “have positive repercussions on the humanitarian front, by facilitating the delivery of humanitarian aid to every part of Yemen through the liberated regions.”
He said the move would be helpful to the internationally-recognised government, which had been requesting that international organisations transferred their headquarters from Sanaa to the temporary capital Aden.
Moreover, he thinks the US decision will “really help restore confidence in the donor states — which will contribute to bringing more order to humanitarian and relief work underway.”
Balfakih stated, “The US administration’s decision aligns with the Presidential Leadership Council’s bid to restructure the Higher Relief Committee as one window through which humanitarian work is regulated and facilitated,” adding that it also aims to utilise 22 land and sea corridors to deliver aid to all Yemeni governorates and directly alleviate the needs on the ground.
He believes this move will ultimately ease the operations of humanitarian organisations based on the principle of decentralising humanitarian relief efforts.
Yemeni journalist Wafiq Saleh says, “It is expected that the Houthi militia’s international isolation will increase as a result of the American classification. At the same time, all investments and companies affiliated with leaders and members of the group abroad will be tracked, and penalties will be imposed on any other party dealing with or facilitating financial or logistical operations for the Houthi militia – which will affect relief aid entering areas under the militia’s control.”
He adds, “At a local level, all the public revenues the militia obtained from the ports and airports will dry up, and foreign trade via the ports of Hodeidah province will decline.”
Meanwhile, he says, all materials and goods entering via Houthi-controlled ports will be audited, and foreign financial transfers tracked, “to ensure they aren’t going to the Houthis.”
He explained that in essence, the reality was that, “for the Houthi leadership, their financial circumstances and freedom of movement overseas will become more complicated, and the militia will lose its ability to manoeuvre or the [Yemeni] economy as a weapon of war against the Yemeni people, as it has done in the past years.”
The UN Office for the Coordination of Humanitarian Affairs (OCHA) has reported that levels of food insecurity and malnutrition in Yemen will remain high in 2025, with an estimated 17 million people (about 49% of the population) facing severe food insecurity; five million suffering from emergency conditions, 3.5 million facing acute malnutrition (including over 500,000 people suffering severe acute malnutrition).
OCHA also reported that in 2024, some programmes in Yemen’s humanitarian response plan had to be suspended due to underfunding, noting that the 2025 humanitarian response plan for Yemen required $2.5 billion.
This is an edited translation from our Arabic edition. To read the original article click here.
Translated by Rose Chacko
This article is taken from our Arabic sister publication, Al-Araby Al Jadeed and mirrors the source’s original editorial guidelines and reporting policies. Any requests for correction or comment will be forwarded to the original authors and editors
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