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The OPEC Fund dedicates US$1 billion to global food security
June 6, 2022: The OPEC Fund for International Development has dedicated US$1 billion of its resources over the next three years to the new OPEC Fund “Food Security Action Plan”, to be deployed as immediate assistance to cover the import costs of basic commodities such as seeds, grains and fertilizers, while supporting medium and long-term security of food supply in partner countries.
OPEC Fund Director-General Dr. Abdulhamid Alkhalifa said: “Millions of vulnerable people could face famine over the next few months unless the international community responds swiftly and effectively to the global food crisis. The OPEC Fund’s nimble model has enabled us to dedicate US$1 billion of our investment program to ensure food security where – and how – it is needed the most.”
The new facility will channel public and private sector loans, as well as grants to developing countries hit hardest by the fallout from the war in Ukraine, which has pushed up food and fertilizer prices worldwide.
In addition to providing immediate relief, the OPEC Fund Food Security Action Plan is geared towards building the resilience of partner country agriculture sectors and strengthening regional food value chains to future proof against global shocks.
Since its establishment in 1976, the OPEC Fund has committed US$2.6 billion to agriculture projects, representing more than 10 percent of its total operations, in support of Sustainable Development Goal 2 – Zero Hunger. It has specifically targeted investments in rural infrastructure, development of production and storage facilities, trade in agricultural goods, as well as training, capacity and institution building.
OPEC Fund convenes development community in Vienna
Seeking to galvanize partners and spur action on delivering the global SDGs despite recent shocks to the international system, the OPEC Fund will host its inaugural Development Forum in Vienna, Austria on June 21, 2022. Focusing on climate, energy and food security, the Forum will gather government leaders, heads of institutions and expert practitioners from the public and private sectors to share their views on the state of play and future scenarios for international development. The high-level forum entitled “Driving Resilience & Equity” will highlight critical questions such as how to strike the right balance between climate action and essential energy access; how innovations in finance and technology can transform delivery; and what it will take to translate joint ambitions into on-the-ground impact.
More details about the OPEC Fund’s “Food Security Action Plan” will be announced at the Development Forum on June 21, 2022.
About the OPEC Fund
The OPEC Fund for International Development (the OPEC Fund) is the only globally mandated development institution that provides financing from member countries to non-member countries exclusively. The organization works in cooperation with developing country partners and the international development community to stimulate economic growth and social progress in low- and middle-income countries around the world. The OPEC Fund was established by the member countries of OPEC in 1976 with a distinct purpose: to drive development, strengthen communities and empower people. Our work is people-centered, focusing on financing projects that meet essential needs, such as food, energy, infrastructure, employment (particularly relating to MSMEs), clean water and sanitation, healthcare and education. To date, the OPEC Fund has committed more than US$22 billion to development projects in over 125 countries with an estimated total project cost of US$187 billion. The OPEC Fund is rated AA+/Outlook Stable by Fitch and AA/Positive Outlook by S&P in 2021. Our vision is a world where sustainable development is a reality for all.