Widespread and growing corruption has a profoundly corrosive effect on governance
and thequality of life in Yemen. Corruption is ranked as a major problem by many reports anddonors comments including EU, world banks and the Americans.Transparency International ranks Yemen near the bottom of its corruption scale 2.4 in 2004and 2.7 in 2005. The World Bank recently declared that the government's performanceindicators fell markedly and cut Yemen's funding support by 34 percent due to corruption.As indicated by News Yemen web, this significant reduction attributed to the failure of thegovernment to meet the minimum standards of transparency, efficiency, and improvement of investment-related conditions, and its deficiency in fighting corruption.The qualification assessment for the U.S. funded Millennium Challenge Account determinedthat the Yemen has moved backwards from previous assessments.