IMF: The world suffers worst food security crisis since the 2008 ‎financial crash

The International Monetary Fund has warned that the Russian-Ukrainian war has led to the worst food security crisis since the financial crash of 2007-2008.

According to the Fund’s estimates, 345 million people are now facing life-threatening food shortages, and the 48 countries most vulnerable to food shortages are currently facing a combined increase in their import bills of $9 billion in 2022 and 2023 due to the sudden jump in food and fertilizer prices.

The Fund said that this will lead to the erosion of the reserves of many fragile countries affected by the conflict, which are already facing problems in the balance of payments after the devastating pandemic and high energy costs.

According to Kristalina Georgieva, director of the fund, and other officials in the fund, the needs of the countries most exposed to the repercussions amount to $7 billion in order to help the poorest families.

The Fund also called for the abolition of the food export ban and other protectionist measures, as it indicated that the World Bank’s research revealed that this ban is the reason for up to 9% increase in international wheat prices.

The Fund agreed to launch a new window for loans for a period of one year in order to address food shocks through emergency financing to help countries at risk deal with food shortages.