Abd Rabbuh Mansour Hadi
Yemen's President Abd-Rabbu Mansour Hadi fled to Aden in FebruaryReuters

The Gulf Cooperation Council is set to meet for talks over the Yemen crisis in the Saudi Arabian capital of Riyadh, according to the Saudi state news agency.

Yemeni President Abd Rabbuh Mansour Hadi requested a round of talks with the Arabian Gulf powers after he failed to reach a deal with the Houthi rebels that control the Yemeni capital Sanaa.

Hadi, who is still supported by the United States, fled the capital city after he was held under house arrest by the Houthis in February.

The latest United Nations-brokered peace talks broke down without a resolution, increasing the prospect of a full-blown civil war.

The rebels have said any peace talks must take place in Sanaa and said they would boycott any talks held outside of the capital. Hadi has said any peace talks should be held in neutral territory.

"The secretariat general of the Gulf Cooperation Council is going to make the necessary arrangements," the Saudi royal cabinet said in a statement, without setting a date for the talks.

Yemen borders Saudi Arabia, the world's biggest oil producer, and is home to a sizeable, active al-Qaeda presence.

The Arab League welcomed the announcement of the talks and urged the Houthis to release Yemen's foreign minister Abdullah al-Saidi, who remains under house arrest.

"The Arab League demands that his house arrest be lifted so he can perform his patriotic and nationalist mission under the legitimate authority of President Abedrabbo Mansour Hadi," the League said in a statement late on Monday.