Following a brief overview of local governance in Yemen since unification in 1990 for background, this report analyses the current situation in areas under the control of the internationally recognized government, focusing on changes in decision-making, changes in revenues, and changes in services. It closes with a consideration of the implications of these changes for the peace process and central-local relations in the future. It is based on 23 semi-structured interviews with interlocutors based in Hadhramawt, Marib, and Aden governorates, particularly local officials and independent experts.