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Summerised G.C.R. Compelled A Global Study Country report On Yemen Submitted to: Gujarat Technological University Guided By: Dr. N. M. Munshi Prof. S. A. Munshi Prof. L. T. Dharmwani Prepared By: MBA Second Year Students Group 11-20, Batch: 2011-2012 Through N. R. Vekaria Institute of Business Management Studies,Junagadh. 1 INDEX SR.NO. TOPIC PAGE NO. 1. OVERVIEW OF YEMEN 3 – 20 2. INTRODUCTION OF SECTOR 21 – 26 3 STUDY ON HEALTHCARE SECTOR 27 – 52 STUDY ON INFRASTRUCTURE 4 53 – 79 SECTOR STUDY ON PHARMACEUTICAL 5 80 – 109 SECTOR 6 CONCLUSION 110 - 113 2 Overview Of Yemen 3 1. Demographic profile of Yemen Religion Religion in Yemen consists primarily of two principals Islamic religious groups; 53% of the Muslim population is Sunniand 45% is Shi'a according to the UNHCR. Sunnis are primarily Shafi'i but also include significant groups of Malikis and Hanbalis. Shi'is are primarily Zaidis and also have significant minorities of Twelver Shias and Musta'ali Western Isma'ili Shias (see Shia Population of the Middle East). 4 Health care Despite the significant progress Yemen has made to expand and improve its health care system over the past decade, the system remains severely underdeveloped. Total expenditures on health care in 2004 constituted 5% of gross domestic product. In that same year, the per capita expenditure for health care was very low compared with other Middle Eastern countries—US$34 per capita according to the World Health Organization. According to the World Bank, the number of doctors in Yemen rose by an average of more than 7% between 1995 and 2000, but as of 2004 there were still only three doctors per 10,000 persons. In 2005 Yemen had only 6.1 hospital beds available per 10,000 persons. Health care services are particularly scarce in rural areas; only 25% of rural areas are covered by health services, compared with 80% of urban areas. Most childhood deaths are caused by illnesses for which vaccines exist or that are otherwise preventable. According to 2009 estimates, life expectancy in Yemen is 63.27 years. Languages Yemen is one of the main homelands of the South Semitic family of languages, which includes the non-Arabic language of the ancient Hemiari. Its modern Yemeni descendants are closely related to the modern Semitic languages of Eritrea and Ethiopia. However, only a small remnant of those languages exists in modern Yemen, notably on the island of Socotra and in the back hills of the Hadhramaut coastal region. Modern South Arabian languages spoken in Yemen include Mehri, with 70,643 speakers, Soqotri, with an estimated 43,000 speakers in the Socotra archipelago (2004 census) . 5 Culture Yemen is a culturally rich country with influence from many civilizations, such as the early civilization of Sheba. Education In the strategic vision for the next 25 years since 2000, the government has committed to bring significant changes in the education system, thereby reducing illiteracy to less than 10% by 2025 Although Yemen’s government provides for universal, compulsory, free education for children ages six through 15, the U.S. Department of State reports that compulsory attendance is not enforced. The government developed the National Basic Education Development Strategy in 2003 that aimed at providing education to 95% of Yemeni children between the ages of six and 14 years and also at decreasing the gap between males and females in urban and rural areas. [ A seven year project to improve gender equity and the quality and efficiency of secondary education, focusing on girls in rural areas, was approved by the World Bank in March 2008. Following this, Yemen has increased its education spending from 4.5 % of GDP in 1995 to 9.6 % in 2005 . 6 2. Economic overview of Yemen Economy of Yemen 100 Yemeni Rial Note Currency Yemeni rial (YER) Fiscal year Calendar year Trade organizations GAFTA Statistics GDP $60.48 billion (2008 est.) GDP growth 3.2% (2008 est.) GDP per capita $2,600 (2008 est.) GDP by sector agriculture: 9.4%, industry: 52.4%, services: 38.1% (2008 est.) Inflation (CPI ) 18% (2008 est.) Population 45.2% (2003) 7 below poverty line Gini index 37.7 (2005) Labour force 6.494 million (2008 est.) Labour force most people are employed in by occupation agriculture and herding; services, construction, industry, and commer ce account for less than one-fourth of the labor force Unemployment 35% (2003 est.) Main industries crude oil production and petroleum refining; small-scale production of cotton te xtiles and leather goods; food processing; handicrafts; small aluminum products factory; cement; commercial ship repair Ease of Doing 105th [1] Business Rank External Exports $9.234 billion f.o.b. (2008 est.) Export goods crude oil, coffee, dried and salted fish Main export partners China 23.3%, India 20.4%, Thailand 19.1%, Japan 7.2%, 8 United Arab Emirates 5%, United States 4.2% (2007) Imports $9.215 billion f.o.b. (2008 est.) Import goods food and live animals, machinery and equipment, chemicals Main import partners United Arab Emirates 15.1%, China 11.6%, United States 7.8%, Saudi Arabia 7.1%, Kuwait 5.3%, Germany 4.8% (2007) Gross external debt $6.472 billion (31 December 2008 est.) Public finances Public debt 31.8% of GDP (2008 est.) Revenues $9.097 billion (2008 est.) Expenses $10.55 billion (2008 est.) Economic aid recipient : $2.3 billion (2003-07 disbursements) 9 OVERVIEW OF INDUSTRY, TRADE AND COMMERCE 1) Industry Oil production in Yemen is shrinking rapidly and is expected to drop below 250,000 b/d by 2014. Meanwhile, Liquefied Natural Gas (LNG) production has been increasing since its first shipment to South Korea in November 2009, but not enough to compensate for the fall in oil production. In 2009 oil accounted for over 85% of export earnings and an estimated 70% of government revenues. This leaves the economy highly vulnerable to fluctuations in the international prices of oil and gas. The country's oil reserves are, relatively limited and could be depleted within 10 years. Gas revenues are set to total $30-50 billion from 2008 to 2028, and recent discoveries of zinc will expend the extractive sector in Yemen. 2) Trade The economy of Yemen is highly dependent on oil, which represents almost 70% of the government's income. The country registered an economic growth of around 8% in 2010, due to the beginning of the activity of exporting gas. Growth estimates for 2011 are of 3.5%. In addition to the…. 10 3) commerce Yemen’s financial adjustment and structural reform programme agreed with the IMF and the World Bank will remain the basis for economic policy during 2001. The Government is improving social safety net arrangements in order to curb the hardship that would arise from reform actions. Civil service reform is one of the most politically important aspects of the reform programme that Yemen has agreed with IMF. The current plan calls for a 20 percent cut in the overall number of civil servants by 2003. With unemployment estimated at between 20 percent and 40 percent, the Government is facing considerable resistance to the reform. As a measure to ease the difficulties, the reform programme calls for a creation of a civil service fund, which will, for a limited time, continue to pay the wages of redundant employees. Yemen’s real GDP growth estimated at 4.9 percent in 2001 is expected to decline to 4.0 percent in 2002 as oil-production and export growth rates fall back from recent highs. A new government was formed in April 2001. It is expected that the new government will continue its efforts for the implementation of economic reforms and structural adjustment programmes. The parliamentary election due in April 2001 is postponed until 2003, extending the life of parliament from four to six years. 11 DIFFERENT ECONOMIC SECTOR 1) Micro Finance Sector Some countries in the Arab region are experiencing security and political unrest due to the successive revolutions Naturally all sectors of the state are affected, and each sector must take some precautionary steps to get to safety. Since the microfinance sector mainly deals with low-income people who don’t have access to financial services from traditional sources, this sector is one of the most vulnerable to damages during periods of security and political unrest. In Yemen, the microfinance sector in 2010 has made significant progress, with the number of active clients increasing by 100% in one year to reach over 60,000 projects, serving approximately 300,000 citizens. MFIs, including Al-Amal Bank, welcomed this progress, and drew up plans for 2011, in order to reach even more active clients. 12 2) Music Sector The Yemen Music House provides Yemenis with an outlet for musical expression If you talk to the average student at a Yemeni university, you’ll find that they study a predictable variety of subjects: English, engineering, medicine, business administration or accounting. This list is understandable; most students attend university hoping to learn skills that will lead to gainful employment, which is understandably a priority given the economic difficulties of life in Yemen. But in the midst of such practicality, it’s clear that something gets lost. The study and value of the arts is on the decline in Yemen, and has been for some time. In the words of the American poet Amy Lowell, “Art is the desire of a man to express himself, to record the reactions of his personality to the world helivesin.”. 3) Water Sector Water supply projects aim at increasing the access of the local population to hygienically safe drinking water while improved sanitation lessens the health risk for the population in the project area.
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