The role of privatization in developing the competitiveness of the services sector in the Republic of Yemen

Abstract

This research aims to study the role of privatization in developing the competitiveness of the services sector in the Republic of Yemen, as privatization is one of the processes that are difficult to accomplish easily, even if it is accomplished in some advanced countries. The study tried to answer some questions, namely: Some public projects are faltering, which led to those projects being transferred from public to private ownership. Also, what are the effects of selling some public projects to the private sector competing in the services sector? And what is the impact of this on workers in some sectors? The study concluded that there is indeed a trend towards privatization for a number of institutions, especially those that are faltering. Some of those projects have also been liquidated. The study recommended that the Technical Office for Privatization should focus on giving high priority to the issues of workers who have moved from the public sector to the private sector. To resolve all issues during the implementation of privatization procedures, and to guarantee all their dues when they transfer to these institutions and companies, the study also recommended the necessity of addressing all obligations arising from the economic unit that will be privatized before implementation, especially if these obligations cost large sums. Finally, the study recommended the importance of benefiting from previous experiences in the aspect of the role of privatization in developing the competitiveness of the service sector in some countries, as there are several experiences that have achieved great success.