The southern city of Aden is home to a series of new projects, initiatives and enterprises that are working to secure the future of Yemen. Governor and former Minister of Justice Dr. Adnan Omar Al-Gifri is orchestrating the new undertakings by working hand-in-hand with local businesses. He is determined to make Aden the financial and business center of Yemen.

Aden a rich history of trade and commerce – for centuries it has been an important crossroads between the Middle East and East Africa for centuries. British ships used Aden as a trade and rest point between trips to India.

The seaside city was built around a volcanic crater that forms its present day 27-square-mile natural harbor. When the Suez Canal opened in 1869, Aden’s shipping trade took off.

According to Yemeni sources, half of the world’s annual container trade, and a significant portion of the world’s oil shipments, pass within four nautical miles of Aden city.

Officials from Aden want to capitalize on the heavy shipping traffic by upgrading the existing port and its services. Former governor Ahmed M. Al-Kohlani met with the vice chairman of Dubai’s International Airports Company in April to discuss expanding the free trade area within the port, which will be an integral part of the new Aden Free Zone. The new 125 square mile free trade area offers investors numerous advantages, including exemptions on income tax, import and export duties, and salaries for non-Yemeni employees. The site is prepared to support heavy industry, petrochemicals, and shipping. Officials are also looking for investors to develop additional infrastructures for the area.
Chairman of the Port of Aden Corporation Moh'd Mubarak Bin Aifan says that Yemen was working on important agreements with Asian allies. “We are seeking concessions with some Korean entrepreneurs. We are dedicating 6,800 m2 (approximately 73,000 sq ft) of area for them to set up operations.”

A new era of business is in store for southern Yemen’s most important city

One of Aden’s most successful businessmen, Sheikh Saleh Salem Bathawab acts as Vice Chairman for Industry Affairs for the Chamber of Commerce & Industry in Aden and CEO of National Cigarettes and Matches Manufacturing Company. Because of these roles, he is a major proponent of investing in Aden.

Bathawab has great hopes for investment in the free zone by Yemeni and foreign investors. “It will encourage large companies to visit Aden to obtain plots in the area. It will also enable businessmen to boost trade within Yemen.”

Saleh Salem Bathawab Aden entrepreneur

The increase in shipping traffic will help feed growth in Aden’s oil industry as well. The Aden Refinery Company, originally known as British Petroleum Company, oversees one of the region’s oldest refineries.

The refinery currently has an 8 million ton capacity and produces liquefied petroleum gas, light gasoline, benzene, kerosene and, thanks to an upgrade in the mid 1980s, asphalt.

Container ships will not only bring oil, supplies and foreigners to the area but also notoriety. The heads of the investment company Bin Farid and Baghlaf are looking to provide a major real estate development for the increased traffic.
The Jenan Aden development will create an entire new city composed of luxury villas, modern homes, new hotels, glitzy marinas and first-rate business amenities. According to the company the project will be: “a modern, self-contained city with an economy based on international trade and tourism. Jenan Aden will stand out as a uniquely desirable development displaying the forward thinking of the Yemeni leadership in the rejuvenation of their country.”

Lastly, the influx of investment in the Aden region is going to require sound banking services. The state-owned National Bank of Yemen has stepped up its services in preparation for the inrush of capital. The bank has a strong track record, starting from its establishment in 1969. According to the Bank, it played a crucial economic and social role in the unification of the North and South Yemen in 1990.

National Bank of Yemen has prospered amongst Yemenis because of its presence in rural areas and big cities. With over 27 branches, a range of services that include retail banking, trade finance, treasury, project finance, it came as no surprise when Bankers Magazine awarded National Bank of Yemen the “Best Bank of the Year” award in 2006.