TheYemeni civil war has caused the currency to diverge. In southern Yemen, which is primarily controlled by UAE-backedseparatists and the former government backed bySaudi Arabia, ongoing printing has caused the currency's value to plummet. However, in northern Yemen, which is primarily controlled byAnsar Allah with support fromIran, banknotes printed after 2017 are not considered legal tender. Therefore, the exchange rate has remained stable.[3] The differences in banknotes printed before and after 2017 can be determined by its size.
In the 18th and 19th century, therial was traditionally associated with theMaria Theresa thaler, a currency that was widely used in Yemen owing to the Mocha coffee trade with the French, and a Yemeni request that its produce be paid for in thalers.[4]
As Yemen progressed, it developed its own legal currency. After the union between the North (theYemen Arab Republic) and the South (thePeople's Democratic Republic of Yemen) in 1990, both thenorthern rial and thesouthern dinar remained legal tender during a transitional period, with an exchange rate set at 1 dinar to 26 rials. On 11 June 1996, the dinar was withdrawn from circulation. In 1993, the first coins were issued for theRepublic of Yemen. The value of the Yemeni rial against theUnited States dollar dropped significantly, compared to 12.01 rials per dollar in the early 1990s.
Since the mid-1990s, the Yemeni rial has been freely convertible. Though it dropped from YRls 20 to approximately YRls 215 against the US dollar since then, the rial was stable for several years. However, since 2010 the Central Bank of Yemen has had to intervene many times to protect the currency's value, resulting in a serious decline of foreign reserves.[5] Due to thewar, the exchange rate for the Yemeni rial has hovered between 250 and 500 Yemeni rials for 1 US dollar.
In January 2025, the currency further deteriorated to a historic low point, where 1 USD was traded at 2150 Yemeni rials due to the lack of foreign currency availability in exchange markets and the failure of government authorities to intervene with solutions for this issue. This decline was observed in areas under the control of the internationally-supportedPresidential Leadership Council, while the Yemeni rial exchange rate remained stable in areas controlled by theHouthis, where the dollar was approximately 530 rials.[6]
Before unification, North Yemen issued coins in denominations of 1, 5, 10, 25 and 50 fils, and 1 rial. The fils denominations have all disappeared from circulation. In 1993, new coins were introduced by theCentral Bank of Yemen in denominations of 1 and 5 rials. These were followed by 10-rial coins in 1995 and 20-rial coins in 2004.
For the first time in nearly a decade,Yemen's Houthi-led de facto government has announced the issuing of a newly minted 100 riyal coin, a move which has prompted outcry from the internationally recognised government and its central bank based inAden as a “dangerous escalation.”[7]
At the time of unification, the Central Bank of Yemen issued banknotes in denominations of 1, 5, 10, 20, 50, and 100 rials. In 1993, the 1 and 5 rial notes were replaced by coins, with the same happening to the 10 rial notes in 1995, and 20 rial notes in 2004. In 1996, 200 rial notes were introduced, followed by 500 rials in 1997 and 1,000 rials in 1998. A 250 rial banknote was issued in 2009.[8][9]
In 2017, the Central Bank of Yemen, now relocated inAden, its interim capital due to thecivil war, issued 500 and 1,000 rial banknotes with revised security features and different dimensions. In 2018, the Central Bank of Yemen reintroduced the 200 rial banknote and has issued a new 100 rial banknote.
Preceded by: South Yemeni dinar Location:South Yemen Ratio: 1 dinar = 26 rials Note: Use of the Yemeni rial started in 1990, Yemeni dinar was withdrawn from circulation in 1996.