New IFAD fund launched to help prevent rural food crisis in wake of COVID-19

News provided by

International Fund for Agricultural Development

Apr 20, 2020, 00:15 ET

ROME, April 20, 2020 /PRNewswire/ -- With the COVID-19 pandemic and economic slowdown threatening the lives and livelihoods of the world's most vulnerable people, the UN's International Fund for Agricultural Development (IFAD) today committed US$40 million, and launched an urgent appeal for additional funds, to support farmers and rural communities to continue growing and selling food.

IFAD's new multi-donor fund, the COVID-19 Rural Poor Stimulus Facility, will mitigate the effects of the pandemic on food production, market access and rural employment. As part of the broader UN socio-economic response framework, the Facility will ensure that farmers in the most vulnerable countries have timely access to inputs, information, markets and liquidity. On top of its own contribution, IFAD aims to raise at least US$200 million more from Member States, foundations and the private sector.

"We need to act now to stop this health crisis transforming into a food crisis," said Gilbert F. Houngbo, President of IFAD. "The fallout from COVID-19 may push rural families even deeper into poverty, hunger and desperation, which is a real threat to global prosperity and stability. With immediate action, we can provide rural people with the tools to adapt and ensure a quicker recovery, averting an even bigger humanitarian crisis."

With their movements restricted to contain further spread of the virus, many small-scale farmers are unable to access markets to sell produce or to buy inputs, such as seeds or fertilizer. Closures of major transport routes and export bans are also likely to affect food systems adversely. As entire production chains are disrupted and unemployment rises, the most vulnerable include daily labourers, small businesses and informal workers, who are very often women and young people.

About 80 percent of the world's poorest and most food insecure people live in rural areas. Even before the outbreak, more than 820 million people were going hungry every day.

"This pandemic is threatening the gains we have made in reducing poverty over the past years. To avoid serious disruption to rural economies, it is essential to ensure agriculture, food chains, markets and trade continue to function," said Houngbo.

For further information on IFAD's work, visit www.ifad.org

Contact: Antonia Paradela [email protected]

SOURCE International Fund for Agricultural Development