UN warns 10 million people may slip into poverty with every one-percentage raise food prices
This news has been read 12683 times!
WASHINGTON, 13 April 2022- The Heads of the World Bank Group (WBG), International Monetary Fund (IMF), United Nations World Food Program (WFP), and World Trade Organization (WTO) on Wednesday called for urgent action on food security. World Bank Group President David Malpass, IMF Managing Director Kristalina Georgieva, WFP Executive Director David Beasley, and WTO Director-General Ngozi Okonjo-Iweala issued the following joint statement ahead of the Spring Meetings of the IMF and World Bank Group next week: “The world is shaken by compounding crises, and the fallout of the war in Ukraine adds to the ongoing COVID-19 pandemic that is now entering its third year. At the same time, climate change and increased fragility and conflict pose persistent harm to people around the globe.”
The threat is highest for the poorest countries with a large share of consumption from food imports. Still, vulnerability is increasing rapidly in middle-income countries, which host most of the world’s poor. World Bank estimates warn that 10 million people are thrown into extreme poverty worldwide for a beacon-percentage-pointing increase in food prices. The increase in food prices and supply shocks can fuel social tensions in many affected countries, especially those already fragile or affected by conflict. Leaders call on the Joint Statement calls on the international community to urgently support vulnerable countries through coordinated actions ranging from providing emergency food supplies, financial support, increased agricultural production, and open trade. The Leader is committed to combining expertise and financing to quickly step up the policy and financial support to help vulnerable countries and households increase domestic agricultural production and supply to impacted countries.
The Leader added that they could mitigate the 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 quickly expand our multi-faceted policy advice to affected countries guided by the comparative advantages of our respective institutions. Also, urge the international community to help support urgent financing needs, including grants. Likewise, encourage all countries to keep trade open and avoid restrictive measures such as export bans on food or fertilizer that further exacerbate the suffering of the most vulnerable people.
This news has been read 12683 times!
