IMF Warns of Food Security Risk

The issue of food security has emerged as a global macro-fiscal threat, according to the leadership of the International Monetary Fund (IMF), who highlighted a strong correlation between the various contributing factors.

The El Niño phenomenon could have a detrimental impact on agricultural production. Meanwhile, armed conflicts in the Middle East and Ukraine have the potential to significantly destabilize shipping, as well as markets for food, energy, and fertilizers.

The IMF noted that the situation is being exacerbated by the depletion of reserves in several countries, high debt burdens, the high cost of borrowing, and limited fiscal space. Low-income countries remain, as is traditionally the case, the most vulnerable to such threats.