Women in Development and Peace – Ahmed Bajoaim
The Yemeni constitution, in Article 7 of Chapter Two under the title “Economic Fundamentals,” affirms the freedom of economic activity in a way that achieves the interests of the individual and society. Article 4 of the second chapter of the Yemeni Investment Law states that “the country guarantees freedom of investment in any investment project for all Yemenis and foreigners.” This text embodies the country’s commitment to providing full legal protection to investors.
These articles confirm the right of women to invest in any investment project in all sectors, without discrimination based on sex in rights and obligations; to improve equality of opportunity and contribute effectively to achieving sustainable economic development.
Through this report, we review the views of several jurists and lawyers regarding the protection and facilities provided by Yemeni law to businesswomen in the investment field.
Law and Investment
Lawyer and legal expert Omar Barashid believes that the legal protection in the Yemeni constitution includes the necessary procedures and facilities for implementing any project. The purpose of establishing the Investment Law is to encourage and regulate capital, whether local, Arab, or foreign, provided that it is within the framework of the state’s general policies and subject to its laws, and in a way that does not conflict with Islamic law and its principles, and that the state should sponsor freedom of trade and investment in a way that serves the national economy, according to the Yemeni Investment Law No. (22) of 2002.
Lawyer Abdallah Al-Hamumi clarified that the Yemeni Investment Law is the cornerstone of the investment protection system, defining the concepts of investment and projects within its jurisdiction. One of the protection clauses is the determination of the commercial court competent to consider investment disputes, whether with the government or other entities. The Investment Law also emphasizes the principle of equality between local and foreign investors, who enjoy the same rights and powers, the right to use foreign technical labor, transfer funds abroad, the right to benefit from land and buildings, and businesswomen have a clear right to practice investment freely.
Al-Hamumi also pointed out that Yemeni law has given sufficient space for investors, including businesswomen, to engage in commercial activity, and that it does not differentiate between men and women in this regard, on the basis that investment is one of the pillars of the national economy, and everyone is involved in its development.
Lawyer Sami Anis explains that the constitution is the foundation of all laws, as it sets out the broad outlines for regulating commercial and investment activity in Yemen. The role of the laws is to provide details aimed at regulating commercial activity by determining the necessary procedures for project implementation.
Anis mentions that the Yemeni constitution guarantees freedom of investment in various fields of economic and social development in the country. The Investment Law serves as a practical translation of the Constitution. However, the current investment situation in Yemen is challenging and faces significant obstacles that make it far from the ideal picture painted by the constitution and law. These obstacles include armed conflict, widespread corruption, and other factors that weaken the implementation of the law.
Procedures and Facilities
Regarding the facilities offered by Yemeni law to investors, especially businesswomen, lawyer Barashid states: “The law provides many facilities and benefits to investors to encourage them to invest in various fields and contribute to the development and prosperity of the country’s economy. However, there are gaps in implementing this law on the ground, as some parts are applied, while others are prevented.”
He clarifies that, for example, the Investment Office does not have sufficient authority to enforce the law. It cannot allocate land for investment purposes without approval from higher authorities. Even if the investor obtains the land, there is no follow-up to ensure project implementation. This can lead to sudden orders to stop the project or leave part of it incomplete.
He adds: “We see many investment projects stalled or obstructed on the ground, including some owned by businesswomen without clear legal justifications or procedures to ensure justice for investors. In recent years, discouraging behaviors have also emerged, especially during the years of conflict, including the phenomenon of the “protection partner” who shares in the profits of investment projects without providing any capital or actual effort. This poses a serious and negative obstacle to investment in Yemen. Its presence has led to the elimination of many projects and the displacement of others. Many businesswomen have been affected, and the growth of their investments in Yemen has been significantly reduced, impacting the national economy.”
Lawyer Al-Hamumi points out that the constitution defines the general rules of the country’s policy and regulates various aspects of life in the country. These rules are detailed in specific laws, including the Investment Law, which has provisions that facilitate the investment process in Yemen, according to legal controls, and under international agreements to which the country is a party or has approved, or under special laws that regulate some investment projects that are not subject to the Investment Law.
He emphasizes that the country has opened wide doors for investment in various fields through these general rules and laws governing investment activity in Yemen. It has also set controls to contribute to supporting the national economy.
Lawyer Sami Anis explains that the current Yemeni Investment Law is one of the most important legal tools that provide investors with a range of guarantees and incentives that encourage them to invest in the country. These include equality in rights and obligations, the possibility for foreign investors to own investment projects, land, and real estate, and the guarantee that they will not be insured, seized, or have their funds confiscated or expropriated except by a court order. It also gives foreign investors the freedom to manage their projects, the right to export their products, and the right to choose the method of resolving disputes that arise between them and the country or other parties.
He continues, “The procedures and facilities stipulated in Yemeni law for local and foreign investors are clear to everyone. Women or businesswomen have the same rights and obligations as men, according to the law, without any restrictions or bias based on gender or category. However, the reality shows a significant gap between the legal texts and actual practice on the ground, especially at present due to the unstable situation that Yemen is going through.”
Experts’ Opinions
Lawyer Barashid explains that Yemeni law is detailed in all sectors and fields, guaranteeing rights and obligations for everyone, including the investment sector. He believes that if the law is applied on the basis for which it was established, we will see many investment capitals, including those of businesswomen, resume their activities in the private sector in a better and larger way, which will have a positive impact on the development of the national economy and will be a factor in promoting economic development and eliminating unemployment among young people.
Sami Anis also notes that women are the most vulnerable group to corruption, according to external studies. Therefore, applying the law will give businesswomen a fertile environment to work and progress in the commercial and investment fields, giving them additional strength in the labor market to highlight their commercial activity.
He points to the importance of allocating investment opportunities in the women’s field, as women are partners with men in society according to the Yemeni constitution. He also emphasizes the need to give the Investment Office all the powers to carry out its tasks and legal competencies and to prevent any interference in its work by any party, whether within the framework of the governorates or by the higher authorities, on the condition that it be subject to real monitoring and accountability to preserve the country’s property from randomness and tampering.
Lawyer Abdallah Al-Hamumi raises his observation about the Yemeni law in the facilities provided to businesswomen, saying: “The country, through reality, has placed itself in the position of the weaker party, not because of weakness in the law but in the process of its implementation, and the political division that the country has been going through for more than nine years, and the absence of a serious supervisory body to protect the interests of the country and the investor alike. Therefore, the facilities granted to businesswomen at present are ineffective due to the lack of real protection from the country itself. Therefore, it is necessary to reactivate and apply the law and provide facilities that improve the reality of the private sector in Yemen.”
Sami Anis believes that the Yemeni Investment Law meets all the aspirations of businessmen and women in various economic fields. However, despite the positive aspects of this law, the reality indicates the existence of some challenges that hinder investment in Yemen, including the lack of a safe environment for investment, the instability of the local currency, the political fragmentation that Yemen is experiencing, and the difficulty of completing the official procedures necessary to start any project. All of this negatively affects investment and makes Yemen a country that repels investors.
Anis stressed the importance of joint efforts in achieving security and stability in the country, as it is the cornerstone for attracting investment. Legal protection for businesswomen in Yemen is an essential part of achieving comprehensive development of the national economy and sustainable prosperity in the local community. Achieving this goal requires working to strengthen and develop laws and policies that support women’s rights, encourage their participation in the labor market, enhance their role in economic development, eliminate corruption and favoritism, apply the constitution and the law, and adhere to all its provisions on the ground, in addition to working to establish peace in Yemen and stabilize stability, which is the first correct step towards developing the private sector in Yemen in general.