“Document” reveals Sanaa government floated customs dollar with parallel market price
Yemen
Yamanat – Special
Activists on social media circulated a copy of a decision by the Sanaa government to increase the customs dollar from the Sanaa Central Bank price of 250 riyals to the price in circulation on the parallel market, which is between 530 and 540 riyals.
Parallel market price
The decision issued by the Ministry of Finance and the Ministry of Economy, Industry and Investment stipulates that the customs authority calculates, collects and pays the general sales tax, the value added tax and the tax on commercial and industrial profits on certain imports of goods in the form of a lump sum at the level of customs services and ports at the stage of customs clearance in foreign currencies, according to the bulletin of exchange rate in force on the parallel market, the price being fixed monthly and the average exchange rate of the previous month being adopted for the following month.
Increase in customs duties and taxes
Observers estimate that raising the price of the customs dollar from 250 riyals (the central bank rate) to 540 riyals (the parallel market price) will lead to an increase in customs duties by 120% compared to before and an increase in sales taxes by 60%.
Rationale for decision
The decision included banning traders from importing many products, with the justification of supporting local product. In the event of importation, the decision provided for the imposition of a customs surcharge of 40%, and the percentage doubles when the product is imported repeatedly.
Quotas and penalties
The decision provides for the distribution of goods in the form of quotas for each trader, with a 50% increase in customs duties on the quantity exceeding the prescribed quotas. The decision also allows for the advance deduction of profit and value-added taxes once goods arrive at customs ports.
Clothing merchants strike
This decision sparked a strike by clothing and shoe importers in Bab al-Salam, Sanaa, which lasted several days and was recently suspended to help contain the situation.
A meeting without results
On Wednesday, November 19, 2025, Acting Minister of Economy, Industry and Investment Sam Ahmed Al-Bashiri held a meeting with a number of traders in the clothing and footwear sector to discuss conditions in the sector.
Economic sources reported that the meeting did not result in any agreement and was limited to discussing conditions for traders, with subsequent meetings to discuss proposals and obstacles plaguing the sector.
Float in Aden
It is worth noting that the internationally recognized government is also seeking to increase the value of the customs dollar from 750 riyals to 1,500 riyals, and this harmony would lead to an increase in prices of goods in various regions of the country.
Yemen