* U.S. ambassador says Iran helping Shi'ite militants and
others
* Says Tehran taking advantage of Yemen's instability
* Yemenis vote for new president amid political, economic
turmoil
SANAA, Feb 20 (Reuters) - Iran is becoming more active
in Yemen and could pose a deeper threat to its stability and
security, the U.S. envoy to Yemen said on Monday, highlighting
what would be yet another layer of uncertainty in a near-failed
state.
U.S. Ambassador Gerald Feierstein's warning is likely to
reinforce long-held fears among Sunni Gulf monarchies that
Shi'ite Muslim power Iran is trying exploit regional unrest.
"We do see Iran trying to increase its presence here, in
ways that we believe are unhelpful to Yemen's stability and
security," Feierstein said in an interview one day before
Yemenis head to the polls to elect a new president to replace
Ali Abdullah Saleh, ending his three decades in power.
The election, where Vice President Abd-Rabbu Mansour Hadi is
the sole candidate, is part of a power transfer plan backed by
the United States and brokered by Gulf Arab countries after a
year of protests against Saleh's rule.
"I think that we are seeing increasing Iranian outreach to
various actors," Feierstein said.
Washington is leading international efforts to isolate Iran
over the Islamic Republic's nuclear programme which many
countries believe is aimed at building nuclear weapons, a charge
Tehran denies.
Top oil exporter and close U.S. ally Saudi Arabia has
accused Iran of fomenting unrest among Shi'ite populations in
its east and in neighbouring Bahrain.
Tehran accuses Washington of seeking to exacerbate religious
and political differences between the majority Shi'ite Islamic
Republic and the mostly Sunni Gulf Arab states.
In addition to its political uncertainties, Yemen faces an
active wing of al Qaeda, an economic crisis that has brought it
to the brink of famine, a Shi'ite rebellion in the north and a
southern secessionist movement.
The northern "Houthi" rebels, who draw their name from a
tribal leader, control Saada province bordering Saudi Arabia,
which intervened military in Yemen in 2009.
There is ongoing fighting between the Houthis, who are
members of the Zaydi branch of Shi'ite Islam, and Salafis -
Sunni Muslims whose puritanical creed mirrors doctrines
widespread in Saudi Arabia, and classes Shi'ites as heretics.
"We do definitely see a rise in Iranian finance, efforts on
the part of Iran to increase its influence not only with Zaydi
Shia elements but with Sunni elements as well," Feierstein said.
"We do think that we have evidence of Iranian activities
that will build up military capabilities as well. It's a
relatively recent phenomenon, Iran is taking advantage of this
period of political instability and loss of government control
over large parts of the country."
The U.S. Ambassador also said that while there were signs
that the Houthis were willing to engage in dialogue to bring
some stability to the country, the group was also expanding its
territory.
"But we're also concerned about conflicts between Houthis
and others in the north and a fairly aggressive effort on their
part to expand their territory and their control and so we hope
that through this process of national dialogue they will engage
politically and work in a positive way that will end this
conflict."
(Writing by Reed Stevenson; Editing by Robin Pomeroy)

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