A reported Saudi ceasefire proposal would provide $1 billion to Yemen’s Houthi group through Iran in exchange for halting attacks on Saudi Arabia. The proposed payment and a claim that the money was brought to Tehran have not been independently confirmed.

Key Takeaways

  • Diplomatic sources cited in Israeli media described an Iran-brokered arrangement involving a $1 billion payment to the Houthis.
  • A Saudi official did not confirm that any money had been transferred.
  • Saudi Arabia said its defense minister’s Tehran visit was part of a wider effort to de-escalate regional tensions.

What the Saudi ceasefire proposal reportedly involves

The reported arrangement emerged from talks involving Saudi Defense Minister Prince Khalid bin Salman in Tehran. One diplomatic source claimed the minister brought the money aboard a Hercules military transport aircraft, but a Saudi official did not confirm a transfer.

The reports said Iran had offered to mediate as attacks on Saudi airports and oil facilities caused economic damage. They also said Iranian attacks on tankers in the Strait of Hormuz had disrupted oil exports from the Gulf.

The Saudi position was that the kingdom rejected a new ceasefire under military blackmail and opposed transferring funds before the Houthis returned territory seized from Yemen’s internationally recognized government, the reports said.

Earlier understandings and the Tehran visit

A Saudi official said part of the dispute concerned understandings reached three years earlier. Under those understandings, Saudi Arabia was to provide financial assistance intended in part to pay public-sector salaries in Houthi-controlled areas and rebuild civilian infrastructure. The group was expected to maintain a ceasefire and stop attacks on Saudi Arabia.

The Houthis have alleged in recent months that Saudi Arabia failed to honor those understandings.

Saudi Arabia’s Foreign Ministry said Prince Khalid’s visit, alongside representatives of the Mecca Joint Defence Alliance, was intended to encourage dialogue and support mediation by Qatar and Pakistan. The ministry’s statement did not confirm the reported payment.

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