RIYADH: A United Arab Emirates (UAE) foundation announced it is building a $100 million power plant in the southern Yemeni city Aden to solve the chronic electricity problem in Yemen's interim capital, the foundation announced on Thursday.

The Khalifa bin Zayed al-Nahyan Foundation said the project will build a turbine in the plant, to be finished by October of this year.

The construction will begin in two weeks, the representative of the foundation said.

Aden has been racked with issues with providing basic services to the city. The governor of the city resigned in November, citing what he said was government corruption that had undermined his efforts to restore basic services to the city.

Yemen, one of the Arab world's poorest countries, is embroiled in a proxy war between the Houthi armed movement, allied with Iran, and a military coalition headed by Saudi Arabia.

The fighting underlines the growing complexity of the conflict that has already killed more than 10,000 people and displaced more than 3 million in the impoverished country.

(Writing by Sarah Dadouch; editing by David Evans) ((Sarah.Dadouch@thomsonreuters.com;))