Yemen’s central bank, based in territory controlled by its exiled government, nearly doubled its interest rate on Wednesday in an effort to stabilise the riyal following violent demonstrations against a plunging currency.

State news agency Saba said the rate on certificates of deposit had been hiked to 27 per cent. An official at the bank said the previous rate had been 15 per cent for the past four years.

Yemen’s currency has halved in value against the US dollar since the start of a civil war in 2014.