IMF: War in Middle East to drive up food prices

The war in the Middle East is destroying lives and livelihoods both in the region and beyond, according to a joint statement issued following a meeting held on April 8 between the leadership of the International Monetary Fund (IMF), the World Bank Group (WBG), and the World Food Programme (WFP).

Report informs that the meeting addressed the consequences of the war in the Middle East for the global economy and food security.

The war has already triggered one of the largest shocks to global energy markets, the statement said, adding that a sharp increase in oil, gas, and fertilizer prices, combined with transportation disruptions, will inevitably lead to higher food prices and increased food insecurity.

It was noted that the burden of the consequences will fall primarily on the most vulnerable populations worldwide, especially in low-income countries that depend on imports.

The statement notes that spikes in fuel prices and the potential for a sharp rise in food prices are of particular concern amid limited fiscal space and already high debt burdens, which reduce governments" ability to protect vulnerable households.

"Our institutions will continue to closely monitor developments and coordinate the use of all available tools to support those affected by the crisis," the document emphasized.