The Yemeni economy has primarily depended on agriculture. Agriculture and fisheries contributed 25.1% of the GDP in 1990 followed by government services (16.1%), extracting industries (14.1%) and transport, storage and telecommunication (15.3%).  Other sectors topped by manufacturing industries including oil refining (9.6%), wholesale and retail (6.8%) financial institutions, real-estate and business services (5.7%), construction sector (2.7%) and the remaining percentage for other sectors.

The Agriculture and Fisheries sector has seen increasing development in agriculture, plantation, livestock and fishing activities.  Crop production constituted 66.4% of total agriculture produce where cereals occupy most of the cultivable land.  Major agriculture crops include grapes, bananas, dates, cotton, tobacco and coffee.  Livestock production constituted 21.5%.  The government has worked on the promotion of expansion of poultry, meat, milk and egg production.  Fish production constituted the remaining (12.1%) of good quality fish.  The cultivable land is around 1,669 thousand hectares, where 67.8% is cultivated of which 35% is rained.  Irrigated land through wells is 30% and 17% through water streams.  The government is working on maximizing comparative advantages in favor of vegetables, fruit and coffee production.  Attention is also given to cereal production especially wheat and sorghum in a bid to realize a higher degree of food security and bring down the local consumption versus foreign trade gap.

As for the manufacturing sector, which includes extracting industries except oil, the private sector owns 97% of its establishments (around 33,966) providing 115,529 job opportunities.  95% of such establishments are of small size nature employing between 1-4 workers providing a total of 54.7% of job opportunities and contributing around 24.4% of the manufacturing value added (mva).  Medium size manufacturing establishments employ between 5-9 workers.  They constitute around 3.7% of the total manufacturing establishments contributing around 7% of job opportunities and 5.2% of mva.  Larger establishments constitute only 1.2% employing more than 10 workers.  They contribute around 38.3% of job opportunities and contribute around 70.4% of mva.

Oil has been a main activity in the Yemeni economy.  In 1999, Yemen??s oil production reached 143 million barrels at a total value of 412 billion riyals.  Its contribution to the state budget reached around 214 billion riyals (around 68% of total state revenues).  Oil exports reached around 134 billion riyals (around 90.9% of the total exports) of which government share was 74.7 billion riyals.  Government share has seen an increase during the last few years.  Total value of oil exports amounted to 337 billion riyals in 1999.

Electricity is the main engine for the development of society.  Around 1002 electrical establishments are spread nationwide including 29 major ones.  Total electricity production reached around 3,133 million kilowatts.  Yemen has also been dependent on water supply primarily from water wells and some springs in addition to project under the Public Water Authority.  Around 1952 water supply establishments collect, refine and distribute water.  These establishments produce around 111 million cubic meters of water.

The banking sector comprises 14 banks including 9 co.