Saudi Arabia has pledged the equivalent of around 2.5 billion euros in aid to Yemen.
The Gulf kingdom is concerned that instability in its troubled neighbour is creating an al Qaeda base on its doorstep.
The move came as Western and Arab Gulf nations gathered at a donor conference for Yemen in Riyadh. The meeting was organised by the Saudi government, which already provides oil and military aid to Yemen. It is designed to find ways to help the country bring in reforms and tackle poverty and lawlessness.
The Saudi pledge follows a suicide bomb in the Yemeni capital Sanaa on Monday which killed 90 soldiers.