The man had shouted "run, run" to bystanders when he left a vehicle in the Crater district of the city, the official said.
It was unclear whether he had intended to blow himself up and had second thoughts or had been forced to wear an explosives vest which was then detonated by someone else.
Aden is the headquarters of Yemen's Saudi-backed government. The capital Sanaa and much of the north of the country are controlled by Shiite rebels and their allies.
The insecurity prompted the cabinet to move to neighbouring Saudi Arabia last year only returning on September 22.
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