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Republic of Yemen Poverty Reduction Strategy Paper (PRSP) 2003 - 2005
May 2002

Poverty Reduction Strategy Papers (PRSPs) are prepared by member countries in broad consultation with stakeholders and development partners, including the staffs of the World Bank and the IMF. Updated every three years with annual progress reports, they describe the country's macroeconomic, structural, and social policies in support of growth and poverty reduction, as well as associated external financing needs and major sources of financing. This country document is being made available on the IMF website by agreement with the member country as a service to users of the IMF website.

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Executive Summary
Chapter 1: Development in Yemen and the Poverty Reduction Strategy
1. Introduction
  2. Government Commitments Towards Poverty Reduction
  3. Development of the Poverty Reduction Strategy
    Paper (PRSP)
  4. Participation and Consultations
Chapter 2: The Current Challenges
  1. Introduction
  2. Major Development Challenges
  2.1 Population Problems
  2.2 Water and Water Resources
  2.3 Human Resources
  2.4 Institutional Structure of the State
Chapter 3: Economic Developments and the Reform Program
  1. Introduction
  2. The Economic Situation
  3. The Economic, Financial and Administrative
    Reforms Program (EFARP)
  3.1 The Outcomes of the EFARP
  3.2 The Impediments of the Reforms Program
  4. The Private Sector
Chapter 4: The Poverty Situation in Yemen
  1. Introduction
  2. Poverty in Yemen
  2.1 Poverty and Economic Growth
  2.2 Features and Characteristics of Poverty
  2.3 Demographic, Social and Economic Characteristics of the Poor
  2.4 Causes of Poverty and Factors Affecting the Probability of its Occurrence
  3. Human Poverty
  4. Poverty and the Environment
  5. The Social Safety Net
  5.1 Social Security Schemes
  5.2 Programs Coinciding with the Economic Reform Program
  5.3 Assessment of the Social Safety Net
  5.4 The Contribution of the Civil Society Towards Poverty Reduction
Chapter 5: The Poverty Reduction Strategy
  1. Introduction
  2. The Goals of the Poverty Reduction
    Strategy (PRSP)
  2.1 The General Goals
  2.2 Sectoral Goals
  3. Relationship Between National and Millennium
    Development Goals (MDGs)
  4. The Axes (Pillars) of the PRSP
  4.1 Achieving Economic Growth
  4.2 Human Resources Development
  4.3 Improving Infrastructure
  4.4 Ensuring Social Protection
  4.5 Administration, Good Governance, Participation and Cooperation
  4.6 Participation and Cooperation
Chapter 6: Implementation of the PRSP
  1. Introduction
  2. Costs and Financing
  2.1 Public Finances
  2.2 Development Requirements and Priorities of the PRSP
  3. International Cooperation
  4. Risk Factors
  4.1 Drought and Flooding
  4.2 Fluctuation of Oil Prices
  4.3 Foreign Assistance Holdup
  5. Monitoring and Follow-up
  6. A Mechanism for the PRSP Committee and Social
    Safety Net

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