Special report by the IPES-Food
March 17 , 2023
- The IPES-Food (International Panel of Experts on Sustainable Food Systems) released a special report.
- 60% of low-income countries are now considered at high risk of, or already in, debt distress.
- Some 21 countries are nearing catastrophic levels of both debt distress and food insecurity.
- Zambia, Sri Lanka, and Suriname already defaulted on their debts.
- Ghana and Pakistan are currently in urgent talks to avoid default.
- The world’s poorest countries saw the costs of servicing their debt increase by 35% in 2022.
- They paid 47% of external debt payments to private lenders, 12% to China, 14% to other governments and the remaining to multilateral institutions like the IMF.
- Several countries are now stuck in what has been described as a ‘fertilizer trap’.
- India, Kenya, and the Philippines are among a host of governments ramping up fertilizer subsidies in the face of the crisis, alongside rising fuel import costs.