By Asmau Ahmad
The World Bank Group, International Monetary Fund, United Nations World Food Program and the World Trade Organisation have called for urgent action against global food insecurity.
This was contained in a statement jointly issued on Tuesday by the President, World Bank Group, David Malpass; IMF Managing Director, Kristalina Georgieva; WFP Executive Director, David Beasley and WTO Director-General, Ngozi Okonjo-Iweala.
The joint statement was released ahead of the Spring Meetings of the IMF and World Bank Group slated for next week.
They warned that the world is shaken by compounding crises such as the war in Ukraine, COVID-19 pandemic and climate change, noting that it has greatly exacerbated food insecurity.
“Sharply, higher prices for staples and supply shortages are increasing pressure on households worldwide and pushing millions more into poverty.
The statement read, “The threat is highest for the poorest countries with a large share of consumption from food imports. But vulnerability is increasing rapidly in middle-income countries, which host the majority of the world’s poor.
World Bank estimates warn that for each one percentage point increase in food prices, 10 million people are thrown into extreme poverty worldwide.
“The rise in food prices is exacerbated by a dramatic increase in the cost of natural gas, a key ingredient of nitrogenous fertiliser. Surging fertiliser prices along with significant cuts in global supplies have important implications for food production in most countries, including major producers and exporters, who rely heavily on fertiliser imports.
“The increase in food prices and supply shocks can fuel social tensions in many of the affected countries, especially those that are already fragile or affected by conflict.
“We call on the international community to urgently support vulnerable countries through coordinated actions ranging from the provision of emergency food supplies, financial support, increased agricultural production, and open trade.”
The institutions also expressed commitment to combine their expertise and financing to help vulnerable countries and households, as well as to increase domestic agricultural production in, and supply to, impacted countries.
“We can mitigate balance of payments pressures and work with all countries to keep trade flows open. In addition, we will further reinforce our monitoring of food vulnerabilities and are quickly expanding our multifaceted policy advice to affected countries guided by the comparative advantages of our respective institutions.
“We also urge the international community to help support urgent financing needs, including through grants. This should include the financing of immediate food supplies, safety nets to address the needs of the poor, and for small farmers facing higher input prices.
“We also urge all countries to keep trade open and avoid restrictive measures such as export bans on food or fertiliser that further exacerbate the suffering of the most vulnerable people. It is especially important not to impose export restrictions on humanitarian food purchases by the UN’s World Food Program.
“It is critical to quickly provide support for food-insecure countries in a coordinated manner. We stand ready to work together with our multilateral and bilateral partners to help countries address this urgent crisis,” they stated.
