Exiled Yemeni President Abd Rabu Mansour on Sunday ordered the relocation of the war-torn country's central bank from the rebel-held capital Sana'a to his southern power base in Aden, the official news agency SABA reported.
The move is seen as aimed at placing financial pressure on the Iran-allied Houthi rebels, who have controlled Sana'a and other areas in the impoverished country since late 2014.
Hadi, who is staying in Saudi Arabia, appointed Mansar Saleh al-Qaiti, a former finance minister, as the bank's new governor, SABA said.
The appointment is part of a cabinet reshuffle that includes ministers of finance, culture, information and education, the agency said without further details.
Yemen's conflict has intensified since March 2015, when the rebels advanced on Aden, prompting Saudi Arabia and fellow Sunni allies to start an air campaign in Yemen against the group.
Saudi Arabia fears that the mostly Shiite rebels will give its regional rival, Shiite Iran, a strategic foothold on the Arabian Peninsula.