IN a significant move to combat worsening hunger in various African regions, the United States and Norway have announced a combined pledge of $70 million for the launch of an innovative fund. This fund, unveiled during the UN General Assembly, aims to provide essential support to farmers and agricultural enterprises in Africa, a spokesperson from the US Agency for International Development (USAID) confirmed.
The dire hunger situation in several African regions has been exacerbated by armed conflicts and extreme weather events, which scientists have linked to climate change fuelled by fossil fuels.
The announcement was made by USAID Administrator Samantha Power and Norwegian Minister of International Development Beathe Tvinnereim, underscoring the urgency of addressing the food crisis on the continent. This initiative unfolds against the backdrop of intensified global competition, with Russia and China vying with the United States and Europe to win favour with developing nations.
The newly launched fund aspires to secure a total of $200 million, with additional contributions expected from various donors. It holds the potential to benefit approximately 7.5 million individuals, according to the spokesperson.
Both the United States and Norway have pledged an initial $35 million each. The fund’s impact could extend to support 500 small- and medium-sized agricultural businesses, aid 1.5 million smallholder farmers, and generate nearly 60,000 private sector jobs.
A core objective of the fund is to stimulate commercial financing worth hundreds of millions by mitigating investment risks in the agricultural sector.
This year, the Horn of Africa managed to avert famine, thanks to a surprising improvement in the rainy season’s performance, which was initially projected to fail for the fifth consecutive year. Nevertheless, aid officials caution that approximately 60 million people in seven East African countries still grapple with food insecurity.
In West Africa, millions continue to face food insecurity due to climate-related shocks, the ongoing impact of Covid-19, and soaring food prices.
USAID Administrator Samantha Power emphasised the critical role of small agribusinesses, stating, ‘Without these smaller agribusinesses, Africa’s smallholder farmers are growing just enough to feed themselves and their families. But connect them to a nursery that can supply them with quality seeds and fertiliser, a market where they can sell excess harvest, or a processor that can turn their crops into higher-value products, and suddenly they have a chance to take off, delivering the kind of agricultural growth we know is necessary to fight hunger and poverty.’
(with Reuters)