Report: Saudi Arabia Said to Offer $1 Billion to Houthis via Iran

Saudi Arabia is negotiating a ceasefire with the Houthis, according to an Israel Hayom report, that would channel $1 billion to the Iran-aligned faction through Tehran.

The daily, citing unnamed Gulf diplomatic sources, reports that Saudi Defense Minister Prince Khalid bin Salman travelled to Tehran to hash out the accord during the same day's four-way meeting involving Turkey and Pakistan. One unnamed source even alleged that the cash was on the military transport plane that carried the Saudi delegation.This report surfaces as Houthi strikes on Saudi oil facilities persist and as Iran disrupts tanker movements in the Strait of Hormuz, with both factors sharply limiting oil exports from the region.The kingdom confirmed the diplomatic trip but did not admit to any money changing hands. Riyadh's public position is that it will not cave to military pressure or offer funds until the Houthis give up territory.The reported payment is linked to an earlier deal where Saudi Arabia would cover public employee wages and rebuilding in Houthi-held Yemen in return for a halt to assaults.For crude markets, the potential for a brokered truce is noteworthy, especially if it enables Saudi Arabia to revive halted output and shipments. Still, it would not automatically address the distinct danger to vessels transiting the Strait of Hormuz.The broader implication is that Saudi Arabia might be seeking an exit from the fighting, even if that requires offering major compromises to Tehran's partners.The claim of a $1 billion payment rests on unnamed sources and has not been verified. Because of the possible impact on crude prices, the story calls for a high degree of caution.