‘Innovative Financing Solutions Needed’ in Fight Against Hunger

WASHINGTON — In the face of escalating global food insecurity, the work of the U.N. International Fund for Agricultural Development has been challenged by increased conflicts, forced migrations and the lack of sufficient investment.

“If hunger were a single country, it would be the fifth most populous place on the planet,” Rep. Tracey Mann, R-Kan., told the Center for Strategic and International Studies.

As the D.C.-based think tank welcomed IFAD President Alvaro Lario to discuss strategies and accomplishments during his first term, Lario and the congressman discussed IFAD’s recently released 2023 State of Food Insecurity and Nutrition report, which outlines the fund’s plans for engagement in COP28 and its vision for the upcoming replenishment cycle amid declining funding for development.

With the 2023 SOFI report highlighting that hundreds of millions of people are going to bed hungry, “IFAD serves as the boots on the ground in the fight against global hunger,” Mann said. 

And while Lario acknowledged that in recent years there has actually been a slight improvement, the food crisis persists.

“The key first message is that things have slightly improved, but still the food crisis continues,” Lario said. “Increased conflict, increased forced migration we are seeing more and more across the world, … the massive investment that we would need to overcome the situation has not really happened.”

As an international financial institution, IFAD channels funds towards agricultural development projects aimed at increasing food production in low- and middle-income countries, including those ravaged by conflicts. It also helps small-scale farmers adapt to climate change and invests in improved family nutritional outcomes. 

But the war in Ukraine, ongoing challenges with the COVID-19 pandemic and extreme weather events have further complicated the situation. In response, IFAD, under Lario, is proposing some innovative financing solutions, including partnerships with the private sector alongside official development assistance. 

Moreover, IFAD is now aiming to integrate climate and food security, revamping its approach to address their intersection and adapt to changing circumstances.

COP28 presents an opportunity for IFAD to advocate for the inclusion of agriculture and climate adaptation as crucial agenda items. For example, IFAD plans to collaborate with the government of the United Arab Emirates to ensure that food insecurity and climate adaptation remain at the forefront of discussions.

“It’s an important event to make sure that food insecurity and climate adaptation do not fall off the radar,” Lario said.

In addition to increasing its target allocation for climate adaptation — up to 45 cents for every dollar spent — IFAD envisions investing in rural environments and lower-income countries by owning its own land. 

By doubling down on climate initiatives, expanding its scope and investing in rural environments, IFAD seeks to build community resilience and empower individuals to withstand shocks.

Shocks, like IFAD’s own ability to operate effectively in conflict-affected and fragile states, have been demonstrated by its recent inclusion of Ukraine.

“What we have learned from the COVID crisis, as well as from the Ukraine war, is that we need to be more agile and responsive,” Lario said. “We are used to operating in very tough environments … and we’re seeing more and more the need … to rethink how we actually operate in these environments.”

Lario said that while “food aid is very complex from a logistical point of view,” IFAD’s “main business model” is actually community resilience.

And as a partner, Mann said the United States shares its focus and commitment to delivering tangible results. He cited efforts by American farmers, through initiatives like the Food for Peace program, that continue to play a crucial role in addressing global hunger. And he pledged to ensure that international food aid programs remain strong in the upcoming farm bill.

“American farmers use their resources to feed, fuel and clothe the world, which is no small task,” Mann said, adding that such aid is the “strategically right, morally right, and the fiscally responsible thing to do.” 

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