Somalia, small producers do not know how to deal with climate shocks and food insecurity

ROME – The entire Horn of Africa has been oppressed by an unprecedented drought for months. In Somalia, Ethiopia and Kenya most of the population lives on agriculture, but without water, entire crops have been lost and millions of people are now at risk of their lives. The drought is becoming more extreme and food prices continue to rise, also due to the war in Ukraine, while in Ethiopia the price of food products has increased by 66%. Refugees and displaced people experience the worst consequences. Thus, while Somalia continues to live on the brink of severe food insecurity, Alvaro Lario, president of the International Fund for Agricultural Development (IFAD) – specialized agency of the United Nations – announced today during the 46th session of the Governing Council of the Fund , which will substantially strengthen its support for Somalia and resume its direct investment. After loan arrears resulted in a three-decade suspension. Somalia has just paid off its debt to IFAD through the support of member states.

“A heartbreaking situation”. “Today, the situation of millions of Somalis is heartbreaking,” Lario said. “Five consecutive rainy seasons have failed, devastating their lives and their ability to cope, which has been further eroded by conflict, climate shocks, desert locust outbreaks and high food, fuel and fertilizer prices. We need to provide assistance. humanitarian effort to save lives, but it is equally important to lay the foundations today to ensure a brighter future.” He added: “Solutions exist. It is inhumane to keep people living in cycles of crises. Today we have to invest in solutions for the long term. And that means rural development”.

The Somali president: IFAD’s commitment is “A new dawn”. Later, during a press conference, Hassan Sheikh Mohamud, the President of the Federal Republic of Somalia, underlined the importance of IFAD’s renewed engagement: “This new engagement is an opportunity for a new dawn for Somalia to address many food security priority in the country,” he said. IFAD’s new pledge is the start of the transition process from humanitarian to development and it helps a lot – it is opening doors and other organizations will follow suit.” Lario announced that IFAD is immediately making available 11, $6 million and mobilizing resources for a new $50 million agricultural development project, providing seeds, irrigation, agricultural and veterinary services, small microfinance loans, training in climate smart adaptation techniques to improve agricultural production, and animal husbandry.

Close to the humanitarian catastrophe. “We need to help small farmers and herders adapt to climate change and build their resilience so they can cope with future shocks,” Lario said. “They need funding and training.” According to the integrated phase classification, 5.6 million Somalis are currently experiencing high levels of acute food insecurity, including 214,000 people considered to be in a catastrophe situation due to an unprecedented drought, not seen in decades. Projections show that as many as 8.3 million Somalis could face high levels of acute food insecurity between April and June 2023. The 2023 Somalia Humanitarian Response Plan aims to assist 7.6 million people across Somalia this year. This includes preventing the loss of life of some 6.7 million of the most vulnerable people.

The Merits of Belgium, Germany, Italy and Sweden. IFAD’s renewed direct investment is now made possible thanks to Belgium, Germany, Italy and Sweden who have supported Somalia in settling its arrears to IFAD. Arrears settlement contributions were: Belgium (2.5 million euros), Germany (6 million euros), Italy (474,000 euros) and Sweden (944,000 euros). The arrears have prevented Somalia from benefiting from IFAD’s highly concessional loans and grants since 1991, when the civil war began in Somalia. “Germany’s clearing of Somalia’s outstanding debts to IFAD allows the Fund to resume its important role in supporting rural development and sustainable climate-resilient agriculture in Somalia. We have taken this rather unusual bilateral step in order to strengthen Somalia’s efforts to withstand economic and climate shocks and in order to strengthen institutions and ownership in times of crisis so as to mobilize further funding for climate resilient agriculture,” said Jochen Flasbarth, State Secretary, Federal Ministry of Economic Cooperation and Development of Germany.

The Puntland project. Despite arrears and loan suspensions, IFAD has actively mobilized donor grants to Somalia and channeled resources for rural development projects in the country. Since the early 1990s, IFAD has channeled some US$40 million into Somalia. Two projects are currently underway. A project in Puntland helps pastoralists and agro-pastoralists rehabilitate irrigation systems, improve livestock health, utilize drip irrigation, restore degraded pastures and harness solar energy. IFAD is also providing extraordinary support to Somalia under its Crisis Relief Initiative to help the country withstand the impacts of the war in Ukraine by responding to urgent needs for seeds, fertilisers, goat and sheep, irrigation and renewable energy, and land rehabilitation. water sources, thus protecting the livelihoods of around 72,000 people.