Government-aligned forces arrive in the liberated Yemeni province of Shabwa. AFP
Government-aligned forces arrive in the liberated Yemeni province of Shabwa. AFP
Government-aligned forces arrive in the liberated Yemeni province of Shabwa. AFP
Government-aligned forces arrive in the liberated Yemeni province of Shabwa. AFP

Yemen: plan to boost local forces after liberating territory from Houthis


Ali Mahmood
  • English
  • Arabic

Troops from Al Amalika Southern Forces, a pro-government formation in Yemen, have arrived in Aden, heading back from Shabwa province after liberating it from Houthi rebel control.

The redeployment of forces came a day after the leadership of the southern troops announced ending the offensive, which began earlier in January, to liberate the oil-rich province of Shabwa from the Houthis.

Finally, we made it home, we can't express enough our joy of returning home
Mufleh Al Wadei,
displaced resident

"Two brigades of our forces returned to Aden heading back to their former positions as part of a redeployment process," a military source in Al Amalika told The National on Saturday.

  • Yemeni army reinforcements arrive to join fighters loyal to Yemen's Saudi Arabia-backed government, on the southern front of Marib. AFP
    Yemeni army reinforcements arrive to join fighters loyal to Yemen's Saudi Arabia-backed government, on the southern front of Marib. AFP
  • Outside Marib, a government stronghold in northern Yemen, joint forces have made advances in the provinces of Taez. AFP
    Outside Marib, a government stronghold in northern Yemen, joint forces have made advances in the provinces of Taez. AFP
  • A Yemeni pro-government fighter is pictured during fighting with Houthi rebels. AFP
    A Yemeni pro-government fighter is pictured during fighting with Houthi rebels. AFP
  • Yemeni pro-government forces. AFP
    Yemeni pro-government forces. AFP
  • Hundreds of Houthi fighters have been killed as fierce fighting continues for a second week near Yemen's west coast. AFP
    Hundreds of Houthi fighters have been killed as fierce fighting continues for a second week near Yemen's west coast. AFP
  • Coalition forces continued the progress and took control of areas in the provinces of Ibb and Taez. AFP
    Coalition forces continued the progress and took control of areas in the provinces of Ibb and Taez. AFP
  • Marib, a region that hosts more than two million internally displaced people, was until recently the main focal point of the war. But focus has now moved to the west, where about 200 Houthi fighters were killed in a second week of confrontations in Hays, Al Jarahi, Maqbanah and Jabal Ras. AFP
    Marib, a region that hosts more than two million internally displaced people, was until recently the main focal point of the war. But focus has now moved to the west, where about 200 Houthi fighters were killed in a second week of confrontations in Hays, Al Jarahi, Maqbanah and Jabal Ras. AFP
  • Saudi Arabia is backing the pro-government fighters. AFP
    Saudi Arabia is backing the pro-government fighters. AFP
  • A Houthi fighter fires a weapon at a front line in the Al Jubah district of Yemen's Marib province. Reuters
    A Houthi fighter fires a weapon at a front line in the Al Jubah district of Yemen's Marib province. Reuters
  • A Houthi fighter with an amputated right arm takes position, in a frame grab from video handed out by the Houthi media centre. Reuters
    A Houthi fighter with an amputated right arm takes position, in a frame grab from video handed out by the Houthi media centre. Reuters
  • Houthi fighters in the Al Jubah district of Yemen's Marib province, in another frame grab from video handed out by the Houthi media centre. Reuters
    Houthi fighters in the Al Jubah district of Yemen's Marib province, in another frame grab from video handed out by the Houthi media centre. Reuters

"Our forces are repositioning after they successfully liberated and secured the whole province of Shabwa and drove the Houthi rebels out of Harib in Southern Marib, which means that all the objectives we announced at the beginning of the offensive were totally met," the military source said.

"Troops from our forces will stay in Shabwa to help secure the oil-rich province."

The Arab Coalition is planning to construct new infantry brigades in Marib, which will include fighters from dominant local tribes and the neighbouring provinces, The National has learnt.

Life is slowly returning to normal in districts of Harib that were liberated by Al Amalika Southern Forces earlier in January, residents told The National.

"We came back home after a period of long suffering in the IDP camp in Al Wadi district," said Mufleh Al Wadei, a resident from Harib who was displaced with his family to Al Wadi district in eastern Marib.

"Finally, we made it home, we can't express enough our joy of returning home," Mr Al Wadei said.

"Our district is fully liberated and secured despite the destruction, thanks to Al Amalika, thanks to the Arab Coalition."

Ali Buhaibeh, a local resident, said life was returning to the city.

"People are cautiously returning back home because of the huge number of mines and IEDs planted by the Houthi rebels inside the residences, the schools, and along the roads," he told The National.

On Saturday, local authorities in Marib announced finishing essential repairs for the electricity network as part of an effort to normalise the situation in Harib city, the governor's office said on Facebook.

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The five pillars of Islam

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Global state-owned investor ranking by size

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Gina MIller, anti-Brexit campaigner

Lord Smith, former Cabinet minister

Sandi Toksvig, broadcaster

 

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

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Who's who in Yemen conflict

Houthis: Iran-backed rebels who occupy Sanaa and run unrecognised government

Yemeni government: Exiled government in Aden led by eight-member Presidential Leadership Council

Southern Transitional Council: Faction in Yemeni government that seeks autonomy for the south

Habrish 'rebels': Tribal-backed forces feuding with STC over control of oil in government territory

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Timeline

2012-2015

The company offers payments/bribes to win key contracts in the Middle East

May 2017

The UK SFO officially opens investigation into Petrofac’s use of agents, corruption, and potential bribery to secure contracts

September 2021

Petrofac pleads guilty to seven counts of failing to prevent bribery under the UK Bribery Act

October 2021

Court fines Petrofac £77 million for bribery. Former executive receives a two-year suspended sentence 

December 2024

Petrofac enters into comprehensive restructuring to strengthen the financial position of the group

May 2025

The High Court of England and Wales approves the company’s restructuring plan

July 2025

The Court of Appeal issues a judgment challenging parts of the restructuring plan

August 2025

Petrofac issues a business update to execute the restructuring and confirms it will appeal the Court of Appeal decision

October 2025

Petrofac loses a major TenneT offshore wind contract worth €13 billion. Holding company files for administration in the UK. Petrofac delisted from the London Stock Exchange

November 2025

180 Petrofac employees laid off in the UAE

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Neil Thomson – THE BIO

Family: I am happily married to my wife Liz and we have two children together.

Favourite music: Rock music. I started at a young age due to my father’s influence. He played in an Indian rock band The Flintstones who were once asked by Apple Records to fly over to England to perform there.

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1. Domestic VAT refund amendments: request your refund within five years

If a business does not apply for the refund on time, they lose their credit.

2. E-invoicing in the UAE

Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption. 

3. More tax audits

Tax authorities are increasingly using data already available across multiple filings to identify audit risks. 

4. More beneficial VAT and excise tax penalty regime

Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.

5. Greater emphasis on statutory audit

There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.

6. Further transfer pricing enforcement

Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes. 

7. Limited time periods for audits

Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion. 

8. Pillar 2 implementation 

Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.

9. Reduced compliance obligations for imported goods and services

Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations. 

10. Substance and CbC reporting focus

Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity. 

Contributed by Thomas Vanhee and Hend Rashwan, Aurifer

Updated: January 31, 2022, 7:46 AM