The US is purposely blocking a Yemen peace deal that was negotiated between the Houthis and Saudi Arabia, The New York Times reported on Tuesday.
The US decision to re-designate the Houthis as Specially Designated Global Terrorists will block the payment of public sector workers living in Houthi-controlled Yemen, who have gone without pay for years.
The payment of civil workers has been a key demand of the Houthis and is part of the first phase of the peace deal. The Houthis had asked for the salaries to be paid for using oil revenue that goes to the Saudi-backed Yemeni government, whose leaders are mainly based in Saudi Arabia. Its unclear if the Saudi side agreed to the Houthi demand or if they decided to pay the salaries using other means.