IFAD Urges Investments in Sustainable Agriculture to Fight Poverty and Hunger at G20 Rio Meetings

Brazil has recently pledged US$13 million to IFAD for its upcoming three-year programme of work, doubling its previous contribution as well as its commitment to rural development.

For vulnerable rural communities and small-scale farmers, only strategic, coordinated, and targeted investments in sustainable agriculture provide a way out of poverty and hunger. This is the message that the UN’s International Fund for Agricultural Development (IFAD) brings to the G20 ministerial meetings in Rio de Janeiro this week. Under Brazil’s leadership, the G20 group, which unites the global north and global south, is presenting a renewed commitment to fight hunger and poverty and promote social inclusion.

Amid an increasingly complicated food landscape, marked by the deterioration of the climate crisis, inflation, and the growing debt burden of many developing countries, IFAD is the only UN Fund that focuses exclusively on supporting the productive capacity and resilience of small-scale farmers and producers in rural areas. It plans to implement a US$10 billion programme of work during the period 2025-2027, reaching over 100 million rural people.

Brazil has recently pledged US$13 million to IFAD for its upcoming three-year programme of work, doubling its previous contribution as well as its commitment to rural development.

“Brazil demonstrates the truly committed leadership that the world needs to end hunger and poverty, while tackling inequalities and promoting social inclusion. President Lula leads by example, and we hope that other Member States will be inspired by Brazil's example and follow suit with their commitments to end hunger, poverty, and inequality,” said Alvaro Lario, President of IFAD, who traveled to Rio de Janeiro to attend G20 ministerial meetings chaired by Brazil.

IFAD and Brazil have recently reinforced their partnership through a new agreement with the Brazilian National Development Bank (BNDES) in partnership with some states of Northeast Brazil to strengthen the resilience of one million people in rural areas of the Sertão, Brazil's semi-arid and highly vulnerable region in the northeast of the country.

A new programme, Sertão Vivo, continues work in semi-arid northeast states where it has lifted more than 250,000 families out of poverty between 2016 and 2022 following IFAD’s investments.

New Hunger Figures to be Unveiled at Rio’s G20 Meetings

The Ministerial Meeting of the Task Force for Establishing a Global Alliance Against Hunger and Poverty (GAAHP) will kick off on Wednesday, 24 July, with the launch of the 2024 edition of the State of Food Security and Nutrition in the World (SOFI) report. The event will be webcast live.

SOFI 2024 will present the latest updates on hunger, food security, and nutrition around the world, including updated estimates on the cost and affordability of healthy diets. The report is jointly produced by the Food and Agriculture Organization of the United Nations (FAO), IFAD, the United Nations Children's Fund (UNICEF), the World Food Programme (WFP), and the World Health Organization (WHO).

The theme of the report, "Financing to End Hunger, Food Insecurity and All Forms of Malnutrition," explores current levels and gaps in financing for food security and nutrition and provides guidance on innovative financing options to address the major drivers of food insecurity and malnutrition.

As an international financial institution, IFAD provides a series of examples of innovative financing in the report. These include private placements of sustainable bonds, blended financing schemes, and risk-sharing arrangements to attract private sector funds such as ARCAFIM; and the promotion of financial inclusion through digital remittances, which have proven to be key drivers of rural transformation, reducing poverty and hunger.

“These are just some of the financial innovations that IFAD is implementing to promote rural development. We need to invest more and in a smarter way to end hunger and all forms of malnutrition. This means ensuring safe, nutritious, and affordable access to food by everyone, especially for the most vulnerable populations,” said Lario.