How to combat the food crisis that poor countries are going through? This is one of the major questions occupying the IMF and the World Bank this week. Gathered for their spring assemblies, they alert the great powers to the dangers which strike fragile countries and multiply calls for solidarity.
For David Malpass, the time has come to empty the stores. The President of the World Bank on Wednesday called on rich countries to open their stocks of food reserves to help fight hunger and the high cost of food that strikes the most fragile countries, particularly in Africa. He welcomed the announcement to this effect made by the Indian Prime Minister, Narendra Modi. India has 74 million tonnes of wheat and rice in reserves. And if the World Trade Organization allows it, it could quickly sell 22 million tons of rice and 16 million tons of wheat. You still need funds to buy them.
And that is what worries the IMF. Because the food crisis which arises after that of the Covid has weakened the public finances of the States. Kristalina Georgieva, Managing Director of the IMF, says the debt burden has become intolerable in Africa where some 20 countries are now over-indebted. IMF staff announce that they are ready to consider emergency financial assistance for countries in food distress, whether or not these countries are under a program with the IMF.