President Abdrabuh Mansur Hadi will replace Yemen’s unity government and cut a controversial fuel price hike, two demands of Shiite Huthi rebels, the official Saba news agency reported on Tuesday.

Hadi will “assign within a week” a new prime minister to form a “national unity government,” Saba reported.

A hike in oil prices implemented in July will also be “reviewed” downwards, the statement said.