The World Bank has said the coup in Niger will likely mount additional pressure on the region’s food markets.
The Bretton Woods Institute disclosed this in its September Food Security update and the bank’s response to the challenges.
The report noted that about 7 million people stand the risk of falling into food insecurity over the coup in Niger and the subsequent sanctions by ECOWAS.
It stated,
- “The coup d’état in Niger might put additional pressure on West African food markets. Against a backdrop of soaring commodity and staple food prices and severe food insecurity affecting 3.3 million people during the lean season, the Nigerien coup d’état puts an additional 7 million people at risk of falling into severe food insecurity.”
- “As a response to the coup, the Economic Community of West African States and the West African Economic and Monetary Union have imposed a series of economic and financial sanctions on the country, with implications for the food security of Niger’s population.”
Increase in food insecure people in the region
It noted that in West Africa, the population of people in need of food assistance has risen from 10.7 million in 2019 to almost 40 million in 2022. It attributed the causes of the region’s food insecurity to “civil insecurity and conflict, which have led to forced displacement; climatic shocks; political instability; the consequences of the COVID-19 pandemic; and the war in Ukraine.”
The bank projected that food prices including major staple foods will see an increase in the near term on the back of this geopolitical and economic malaise.
It said,
- “Current food prices of the main staple and imported food products remain higher than during the same period last year.”
World Bank’s response
The bank noted it already has a couple of interventions aimed at boosting food systems in the region. It said,
- “The $766 million West Africa Food Systems Resilience Program is working to increase preparedness against food insecurity and improve the resilience of food systems in West Africa.”
- “The program is increasing digital advisory services for agriculture and food crisis prevention and management, boosting adaption capacity of agriculture system actors, and investing in regional food market integration and trade to increase food security.”
It also noted there is an extra $345 million under preparation for Togo and Sierra-Leone.
What you should know
Food inflation has been at an all-time high in many countries in West Africa over recent natural, social, and political issues within the region and abroad. In Nigeria, the statistics bureau puts the food inflation rate at 29.34%. Ghana’s food inflation for July stood at 55%.
Recent reports in the media have shed light on the trade implications of the sanctions imposed on Niger over the coup deposing President Bazoum in July. The ECOWAS group closed all country borders with Niger over the coup. This led to an over 80% increase in the prices of onions in Ghana as the commodity was imported from Niger.
Nigeria’s trade with Niger is estimated to be worth around $ 226 million- most of which are agricultural produce.
