The Banking Executive Magazine - April 2022 Issue

ISSUE 160 APRIL 2022 the BANKING EXECUTIVE 1 Editorial SOLIDARITY AND COLLABORATION TO AVOID A GLOBAL FOOD CRISIS With the ongoing conflict in Ukraine, the world does not need more dire warnings when it comes to food security. Nations as whole and billions of people, especially in the Middle East and Africa, are on a route towards famine, poverty, and instability, ignited by wars, COVID-19, climate change, and rising food costs. The ultimate question becomes: what has to be done? Global solidarity and collaboration are key and the optimal strategy to respond to the alarming food security threat. First, open flows of trade should be maintained, since trade barriers and export restrictions are harmful to all parties, especially in times of crisis; a lesson the world learned in early 2020 when countries responded to the arrival of COVID-19 by accumulating and not sharing vital medical supplies, undermining global solidarity. Second, an immediate increase in farming especially in regions other than Ukraine should be supported by governments and consequently the banking sector. Third, safety nets should be given for countries most affected directly and indirectly by the war in Ukraine. These safety nets are crucial to the distressed countries. This includes debt relief and better funding to smallholder farmers through access to credit schemes and more investment in rural infrastructure. Finally, the existing crisis must stimulate a serious shift to a stronger, more sustainable and equitable global food system for the long-term. In a spirit of solidarity and collaboration the world can try to ensure nutritious food for all. The 2022 Spring Meetings of the IMF and World Bank are an opportunity for the world to unite on this agenda. Dr. Joseph Torbey, Chairman - World Union of Arab Bankers