This analytical study on the flow and absorption capacities for external assistance is intended to inform the Consultative Group (CG) meeting or/and International Donor Meeting of donors to Yemen, scheduled to take place in Riyadh, Saudi Arabia, in September 2012. It has been elaborated against the backdrop of Yemen’s political unrest and crisis in 2011 and the subsequent Gulf Cooperation Council (GCC) Initiative and Agreement on the Implementation Mechanism for the Transition in Yemen.

The GCC Initiative and the 2012 United Nations Security Council Resolution
No. 2014 on Yemen call upon the international community to offer assistance for implementing the GCC Initiative in order to facilitate Yemen’s transition. The
Government of Yemen has elaborated the Transitional Program for Stabilization and Development (TPSD), 2012-2014 to address the transitional requirements during the implementation of GCC Initiative and to improve the effectiveness and management of development cooperation to maximize its benefit for the people of Yemen. The Government recognizes that the effective and efficient utilization of official development assistance (ODA) is critical to achieve the priorities of the TPSD.