QUANTITATIVE ASSESSMENT OF GOVERNMENT EXPENDITURE AND ITS IMPLICATIONS ON YEMEN'S BALANCE OF PAYMENTS

Abstract

This in-depth economic research delves into the complex dynamics of trade imbalances, government finances, and the balance of payments to analyse Yemen's economy from 2018 to 2022.The study is the basis for evaluating the effectiveness of economic policies and the nation's advancement towards stability. The dynamics of trade in both the oil and products sectors prove to be crucial determinants of Yemen's economic story. The balance of payments study offers a full perspective that includes current accounts, capital and financial accounts, and net inflows. The persistent patterns of trade deficits and the difficulties in luring capital and financial investments highlight the necessity of strategic changes to improve Yemen's economic appeal.