The strategy pursued by SIERY rests on two components:

1. The first component focuses on institutional resilience, which caters for service delivery needs of local populations and considers the role that responsive and legitimate local governance can play in rebuilding peace and stability from the bottom. SIERY will provide district authorities with technical support and discretionary funding to devise and implement, in partnership with communities, the private sector and local influential actors, recovery plans, including basic service delivery, managing population influx, emergency responses, humanitarian aid and economic recovery, and to fulfil their missions in a more participatory, inclusive and accountable manner. SIERY will also foster the emergence of a nation-wide compact for recovering the Yemeni local governance system in a way that can support peace- and state-building. In line with the Agenda 2030, the imperative of leaving-no-one-behind, and in particular women, children and youth, by supporting innovative and effective approaches to address vulnerabilities in all aspects of local governance, is inherent to SIERY approach. 

2. The second component focuses on economic resilience and aims to improve business environment for economy recovery and employment opportunities. This component empowers private sector players (SMEs and microfinance service providers), working on selected value chains, for skills development, capital support, job creation, and employment. It will rehabilitate or reconstruct community-prioritised infrastructure, support small and medium enterprises for the expansion and scale-up of businesses. It will enable and engage micro-finance service providers and network, private sector or business associations and regulators to support producers, private sectors and local authorities to de-risk unstable market environment.