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Yemen and the International Monetary Fund have reached a preliminary agreement on an 18-month economic program that includes reforms to enhance financial stability and inclusive growth. The program involves efforts to increase public revenues and reduce the budget deficit, with a focus on improving public financial management and exchange rate flexibility to achieve price stability and address external shocks. It also includes reforms in the electricity sector to boost efficiency and improve financing, as well as strengthening the financial sector and implementing structural reforms to restore confidence and achieve economic sustainability amid ongoing war and challenging external conditions.
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