Assembly/AU/ 7 (X)I
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6. Invest in social protection. Comprehensive social protection initiatives are
required to address the risks facing the poor due to reduced access to food
as a consequence of high prices. A hierarchy of appropriate social protection
interventions includes both protective actions to mitigate short-term risks and
preventative actions to preclude long-term negative consequences.
Introducing or scaling up these interventions is complex, associated with
substantial costs, and dependent on knowledge base and capacity. At the
core of the protective actions are conditional cash transfer programs,
pension systems, and employment programs. These programs exist in
many low-income countries and should be scaled up. Where such
interventions do not exist, targeted cash transfer programs should be
introduced in the short term. If food markets function poorly or are absent,
however, providing food is a better option than providing cash. Microfinance,
which includes both credit and savings, is also advisable to permit the poor to
avoid drastic actions such as distress sales of productive assets that can
permanently damage their future earning potential. The large global networks
of microfinance institutions should consider responding to the price crisis by
temporarily loosening repayment conditions, as the poor need access to food
consumption credit and debt relief. Preventative health and nutrition
programs targeted to vulnerable population groups (such as mothers, young
children, and people living with HIV/AIDS) should be strengthened and scaled
up to ensure universal coverage. This measure is essential to prevent the
long-term consequences of malnutrition on lifelong health and economic
productivity. In addition, school feeding programs can play an important role
in increasing school enrollment, retaining children in school, and enhancing
their academic achievement. Interventions should be coordinated with the
emergency actions already mentioned (action 1). Many of these actions must
take place at the national level, but many countries lack the resources to
implement them. Donors should expand support for such programs in
conjunction with sound public expenditure reviews. These steps can prevent
the long-term adverse consequences of early childhood malnutrition, protect
the assets of the poor, and maintain school participation rates.
7. Scale up investments for sustained agricultural growth. To transform the
crisis into an opportunity for farmers and to build resilience to future food
crises, a transition to viable long-term investments in support of sustained
agricultural growth is urgently needed. Such investments are particularly
needed in view of the emerging stress factors for agriculture from climate
change that threaten to perpetuate the current crisis. Investments for
sustained agricultural growth include expanded public spending for rural
infrastructure, services, agricultural research, science and technology. New
and innovative crop insurance mechanisms should be introduced and tested
at a larger scale. Information technology, improved weather data, and the
expected high returns to insurance make innovation in this field now much
more feasible. Developed countries should facilitate the sharing of agricultural
innovation and research that are relevant to enhancing productivity and
transforming small-farm agriculture. African leaders must implement their
commitment to the Maputo Declaration to allocate at least 10 percent of their
budgets to agriculture as soon as possible in order to achieve much-needed
agricultural growth to meet poverty and hunger reduction targets. The needed