Saudi Arabia offers $1b to Houthis to halt attacks: Report

Saudi Arabia has offered $1 billion to Yemen's Houthi rebels as part of a potential ceasefire deal mediated by Iran to stop attacks on Saudi territory, according to a report by Israeli media outlet Israel Hayom.

However, reports regarding the actual transfer of the funds could not be independently verified.

According to the report, Saudi Defence Minister Prince Khalid bin Salman recently visited the Iranian capital, Tehran, to discuss a potential truce mediated by Iran.

Citing diplomatic sources, the report stated that under the proposed arrangement, $1 billion would be routed to the Houthis through Iran. One source claimed that the money was transported aboard the same military transport aircraft used by the Saudi Defence Minister during his visit to Tehran, though Saudi officials have not confirmed any transfer of funds.

The report noted that recent Houthi strikes on Saudi airports and oil facilities have inflicted economic damage on the kingdom. Amid these escalating tensions, Iran offered to mediate between Saudi Arabia and the Houthis to halt the conflict.

Under discussions stemming from preliminary agreements reached three years ago, Saudi Arabia was expected to provide direct financial assistance to the Houthis. A portion of these funds was earmarked for paying salaries of civil servants in Houthi-controlled territories and rebuilding civilian infrastructure, in exchange for a sustained ceasefire and an end to attacks on Saudi Arabia.

However, the Houthis recently alleged that Saudi Arabia failed to implement the previous agreements, while Riyadh maintains it will not agree to a new ceasefire under military coercion.

According to the Israeli media report, the talks in Tehran were also attended by Turkish Intelligence Chief Ibrahim Kalin and Pakistan Army Chief General Asim Munir.

Iranian President Masoud Pezeshkian, senior officials from Iran's Supreme National Security Council, and representatives from the Islamic Revolutionary Guard Corps (IRGC) were present as well.

The Saudi Foreign Ministry stated in a press release that the visit of Defence Minister Khalid bin Salman and representatives of member states of the Makkah Joint Defence Alliance aimed to de-escalate tensions, foster dialogue, and facilitate a diplomatic resolution. The statement also endorsed mediation efforts led by Qatar and Pakistan.

Israeli media reported that the gathering marked the first formal meeting between representatives of the Makkah Joint Defence Alliance and the Iranian leadership.

A Saudi official told Israeli media that a key driver of the conflict stems from disagreements over the implementation of the three-year-old framework. However, Riyadh is insisting on certain conditions before disbursing new funds, including the return of Houthi-captured territories to Yemen's internationally recognized government, which is backed by Saudi Arabia.

As both sides maintain conflicting stances over past pledges and current demands, significant differences remain despite the prospect of a cash-for-ceasefire arrangement.

-EM