The IMF has launched a new Food Shock Window programme that seeks to help vulnerable countries address the prevailing food insecurity.
The programme, which is a funding mechanism, is targeting countries that have an urgent balance of payments needs and are suffering from acute food insecurity; the funds will provide additional access to emergency financing to the countries.
IMF noted that the crisis would likely occasion a record of about 345 million people whose lives and livelihoods will be in immediate danger from acute food insecurity.
However, the lender did not specifically mention the target countries for the funding programme.
Among the eligibility criteria for the fund are that a country would have to show that the food import price shocks are creating a negative balance of payments impact of 0.3 per cent of GDP.
Another criteria is that a country has to have negative cereals export shocks which would reach 0.8 per cent of GDP. Borrowers with unsustainable debt would be denied, International Monetary Fund said in the statement.
IMF attributed the prevailing food crisis to the combination of climate shocks, covid-19 and regional conflicts, which have disrupted food production and distribution.
“Russia’s war in Ukraine for example has pushed the price of cereals and fertilisers even higher, hurting food importers and some exporters. As a result, spreading the food crisis globally,”
In Kenya, data by Reliefweb shows that, following the failure of a third consecutive rainfall season, most Arid and Semi-Arid Lands (ASAL) are experiencing critical drought conditions, causing about 3.1 million people to be food insecure.
Read also; AGRA Unveils $550 Million Fund for Africa’s Food Security.
