Factsheets

Food price trends have a major impact on food security,
at both household and country levels. Many of the world’s
poorest people spend more than half their income on food.
Price hikes for cereals and other staples can force them
to cut back on the quantity or quality of their food.
This may result in food insecurity and malnutrition,
with tragic implications in both the short and long term.
Undernourishment increases disease and mortality, lowers
productivity and can have severe lifelong effects, particularly
for children. Price spikes can also limit the ability of poor
households to meet important non-food expenses, such
as education and health care. When they occur globally,
price hikes can affect low-income, food importing
countries, putting pressure on their limited financial
resources. Higher food prices have a particularly negative
impact on food security when prices spike suddenly or
reach extremely high levels.

Smallholder farmers are the backbone of the rural economy – but they are bearing the brunt of climate change. Worldwide, there are 500 million smallholder farms supporting some 2 billion people. These farmers inhabit some of the most at-risk landscapes, including hillsides, deserts and floodplains. Climate change multiplies the threats facing smallholders, endangering the natural assets they depend on and accelerating environmental degradation.

Food price trends have a major impact on food security, at both household and country levels. Many of the world’s poorest people spend more than half their income on food. Price hikes for cereals and other staples can force them to cut back on the quantity or quality of their food. This may result in food insecurity and malnutrition, with tragic implications in both the short and long term.
Undernourishment increases disease and mortality, lowers productivity and can have severe lifelong effects, particularly for children. Price spikes can also limit the ability of poor households to meet important non-food expenses, such as education and health care. When they occur globally, price hikes can affect low-income, food importing countries, putting pressure on their limited financial resources. Higher food prices have a particularly negative impact on food security when prices spike suddenly or reach extremely high levels.

One of IFAD’s most significant partnerships is with the Member States of the OPEC and the OIC.1 These countries, spread over three geographic regions – the Near East and North Africa, sub-Saharan Africa and Asia – have been active partners and strong supporters of IFAD, both as contributing countries and as recipients of financing for development projects. IFAD also works in close partnership with many Arab and Islamic development institutions and funds in the financing, design, implementation and monitoring of its rural development projects.
The long-term partnership between IFAD and OIC Member States and institutions has, in recent years, taken on greater significance than ever before. The challenges are greater than they were three decades ago when IFAD was first established. But the opportunities for making an even bigger impact on the lives of the poor rural people are well within our grasp.

When women are economically and socially empowered, they become a potent force for change. In rural areas of the developing world, women play a key role in running households and make major
contributions to agricultural production. But the inequalities that exist between women and men make it difficult for women to fulfil their potential.

The global population is projected to rise from its present level of 6.9 billion to 9.2 billion by 2050. An estimated 1 billion people already are going hungry, and young rural people are increasingly disillusioned about working in the agricultural sector, which in many countries is stagnant and unproductive. So the question must be asked: Who is going to feed this growing world population?

Nearly 1.4 billion people live on less than US$1.25 a day. Seventy per cent live in rural areas where they depend on agriculture, but where they are also at risk from recurrent natural disasters such as drought and flooding. Natural disasters have a devastating impact on the food security and overall social and economic development of poor rural households. 

According to data from Munich Re’s NatCatSERVICE, natural disasters account for losses, on average, of US$51 billion in developing countries every year. Unless well managed, weather risks in agriculture slow development and hinder poverty reduction, ultimately resulting in humanitarian crises. Poor farmers have few options for coping with significant losses, and in order to reduce their exposure to risk, they often forgo opportunities to increase their productivity. 

 

Young women and men who live in rural areas are the world’s future farmers, entrepreneurs and leaders. The challenges of meeting future food demand, developing vibrant rural centres and promoting broad-based economic growth in developing countries depend on them. These are compelling reasons to place rural young people and smallholder agriculture at the forefront of global strategies for food security, poverty reduction and income growth.

IFAD works for and with the poorest people in Viet Nam, including ethnic minorities, small-scale farmers and households headed by women. Strategies to reduce poverty and improve living conditions include building partnerships, strengthening institutional capacity and promoting participation. IFAD works with the government and other partners to empower poor rural people so they can have a role in decisionmaking.

To do this, IFAD finances programmes and projects that focus on developing and testing innovative approaches to poverty reduction that can be replicated and scaled up by the government and other agencies. Interventions are area-based and multisectoral. They target regions where poverty reduction is a priority.

Desertification occurs when the tree and plant cover that binds the soil is removed. It occurs when trees and bushes are stripped away for fuelwood and timber, or to clear land for cultivation. It occurs when animals eat away grasses and erode topsoil with their hooves. It occurs when intensive farming depletes the nutrients in the soil.

Wind and water erosion aggravate the damage, carrying away topsoil and leaving behind a highly infertile mix of dust and sand. It is the combination of these factors
that transforms degraded land into desert.

As a specialized United Nations agency dedicated to eradicating rural poverty in developing countries, IFAD supports programmes and projects with strong natural resource management components. In particular, efforts to combat deforestation, soil degradation and desertification are central to IFAD’s operations. All country strategic opportunities papers, which guide IFAD’s lending and grant activities in each
country, give attention to an integrated approach to improving livelihoods through better access to natural resources and their sustainable management.

This report was prepared for informing IFAD‘s Country Strategic Opportunities Program (COSOP) 2012 – 2017 for Viet Nam. In preparation of this report a brainstorming workshop was held on 9 May 2011 in Hanoi bringing together key national research institutes working on climate change (CC) and environment related issues, ministries of agriculture and environment and bilateral and multilateral donors.

A severe food crisis currently threatens southern Sudan. In East Africa, where millions of people already are dependent on food aid, a sharp rise in the cost of staple crops looms. These are just the latest sources of concern in a turbulent period that began two years ago when food shortages hit many countries in Africa and Asia due to a worldwide spike in prices. Higher food prices meant that poor people, already struggling to meet basic human needs, were pushed deeper into poverty. On its heels came the global financial crisis, which also hit the poorest the hardest. Agriculture is the main employer, job creator and export in most developing countries. Historically, agriculture has driven economic performance in many countries, generating growth that has been shown to be at least twice as effective in reducing poverty as growth in other sectors. Investment in agricultural and rural development is therefore vital to food security and sustainable economic development.

There are 1.4 billion extremely poor people in the world, living on less than US$1.25 a day. About 1 billion of these men, women and children live in the rural areas of developing countries.
Nearly 2 billion rural people live on less than US$2 a day. Most are smallholder farmers and their families, who depend on agriculture for their livelihoods. Today, they must cope with rapid and unprecedented changes. Climate change, a growing world population, and volatile food and energy prices are pushing more people into extreme poverty and hunger. For the first time in human history, the number of hungry people has passed 1 billion. On top of this, tens of millions more people are expected to go hungry by 2020 as a result of climate change.
 

 Since 1982, IFAD has supported seven projects in Syria with loans totalling US$126.2 million for projects with a total value of US$474 million. The organization has also provided a number of grants, including technical assistance grants to support women’s empowerment.

IFAD works in partnership with the government, other donors, NGOs, local institutions and civil society organizations. It finances initiatives which enable poor rural people in Syria’s agricultural settlement areas to improve their incomes and living conditions.

IFAD is working towards achieving the Millennium Development Goals and its interventions endeavour to reduce poverty and promote gender equality and environmental sustainability.

The project will reverse the decline in productivity of Eritrea’s soil resources;
restore vegetative cover and habitat diversity in areas of degraded rangelands,
forests and woodlands; and increase biodiversity within crop, livestock and
forest production landscapes.

The GEF-funded Agricultural and Rural Rehabilitation and Development
Initiative, which will complement the ongoing IFAD-financed Agricultural and
Rural Rehabilitation and Development Initiative Project (ARRDI), will similarly
focus on southern Niger’s Maradi region – home to 20 per cent of the nation’s
population – targeting poor and extremely poor communities vulnerable to
environmental risk, with special emphasis on women and youth.

Ethiopia is one of the world’s poorest countries, with an annual per capita income of only US$174. Nearly half of the population lives under the poverty line, and more than 12 million people are
chronically or periodically food insecure. Agriculture generates approximately 50 per cent of the GDP and 90 per cent of export earnings. Despite its importance, agricultural performance has improved little over the past 50 years and food security has deteriorated. Low agricultural productivity and chronic food insecurity are direct results of the ongoing degradation of natural resources in the
Ethiopian highlands.

This Decision Tools document is  the final outcome of five years of studies, debates and workshop discussions. These Tools will prove useful to Governments, development practitioners and field technical staff that are financing, designing or implementing CDD projects for rural poverty reduction.

Mobile signal coverage is expanding fast. More and more people own and use mobile phones and some are finding innovative ways to use them to enhance their earning potential. In the Republic of Tanzania, Internet connectivity is evolving rapidly, but few people in rural areas have access to the technology. The use of mobile phones and text messages, or SMS, is still far more widespread than e-mail. Yet the speed of change is dramatic. Communication technologies that allow wireless access within a 30-km radius are being extended throughout Tanzania and tests are verifying the feasibility of using GPRS modems in remote districts.

“It was important that we adapt quickly, looking for ways to ensure that everybody benefits
from these changes,” says Clive Lightfoot, technical advisor of the First Mile Project. “We want
to make certain that groups of people are not left behind and that the revolution is also
directed towards reducing rural poverty.”

The Arab countries account for more than 5 per cent of the world’s population, but less than 1 per cent of global water resources. And as a consequence of the phenomena associated with climate change, the region is facing an even greater water shortage.

For 30 years now, IFAD and its partners in the region have worked to develop effective, replicable solutions to help poor rural communities manage their scarce water resources. More than half of IFAD’s programmes and projects in the region include a focus on water. 

IFAD has approved six loans to the Bolivarian Republic of Venezuela for an approximate total of US$80.0 million. The organization also approved two technical assistance grants in 1991 and 1998 for the Regional Training Programme in Rural Development, implemented by the Foundation for Training and Applied Research in Agrarian Reform (CIARA), which is part of the Ministry of Agriculture and Land.

IFAD’s mandate to reduce poverty by improving the living conditions and incomes of poor rural people faces vigorous challenges and opportunities. IFAD works in partnership with the government and other donors, financing programmes and projects that target the poorest of the poor, particularly small farmers, landless people, indigenous peoples and ethnic minorities, and rural women in general. CIARA, one of IFAD’s principal partners in recent rural development projects, plays an important role as administrator of decentralized development programmes for the country's Ministry of
Popular Power for Agriculture and Land.

IFAD is currently engaged in over 230 loan operations in 85 countries. About two thirds of that portfolio is related to community-based natural resource management.

Poor rural people and their institutions are at the core of this approach. Water is critical to these men and women pastoralists, fishers, farmers, young and old, part- or full-time, urban or rural, indigenous, tribal or otherwise often marginalized people. It is the key entry point for improving their livelihoods.

Climate change represents an additional challenge to rural people in SSA – and a further reason for investment in water control. Smallholder farmers, pastoralists and artisanal fishers are among the most vulnerable to this threat. 

While projections of changes in annual rainfall vary across Africa, these groups will experience the negative effects of increased temperature and
extreme events. For them, enhanced control of water will become critical in building resilience to increased climate variability.

Women constitute two-thirds of the 1.2 billion poor people in the world. The great majority live in rural areas of sub-Saharan Africa and South Asia, regions that are also home to most of the world’s ‘water poor’ – those with limited access to reliable, safe supplies of water for productive and domestic uses. The role women play in reducing food insecurity and poverty – through their knowledge of multiple uses of water, crop production, local biodiversity, soils and local water resources – is recognized internationally. However, despite this, they are often still excluded from decision-making processes in new water management approaches and other natural resource allocation projects and initiatives. Globalization, changing market dynamics and climate change are altering the rural context for most poor rural people, resulting in increased vulnerability to natural hazards and economic uncertainties, above all for women. 

El trabajo del FIDA en Uruguay se desarrolla en dos niveles distintos aunque complementarios:

• a nivel subregional, en el marco de las instituciones del MERCOSUR, promueve una plataforma de diálogo entre gobiernos y asociaciones de pequeños productores, con el fin de aumentar la relevancia política de la agricultura familiar y la inversión pública en su favor;
• a nivel nacional, proporciona financiación y asistencia técnica al gobierno para la ejecución de programas y proyectos que traduzcan en acciones las políticas públicas definidas en el ámbito de la subregión y adaptadas al contexto del país.

There is a general consensus that rural areas and rural livelihood systems
will bear the brunt of climate change across the globe. More frequent
extreme weather events such as heat waves and intense precipitation are
likely to place the livelihoods of many rural people at risk. Africa is
expected to be the most vulnerable continent to climate change, and will
face a decline in both food security and agricultural activity, particularly
in relation to subsistence farming.

The impact of climate change on agriculture is expected to be
devastating in many parts of the developing world. Especially in the
least developed countries, declining crop productivity and livestock deaths
associated with further global warming pose a serious threat to food
security and national economies.
Nonetheless, vulnerability to climate change can be exacerbated by poverty,
marginality and low adaptive capacity. An integrated approach is
therefore needed to bridge the gap between local development and the
global challenge of climate change.

As a signatory to the Paris Declaration on Aid Effectiveness, IFAD is fully committed to management for development results (MfDR) as a means to improve development performance, not only in the programmes it supports, but also within IFAD itself: ‘focus on results’ is one of the organization’s core values.

IFAD has been working closely with the African Union (AU) and the New Partnership for Africa’s
Development (NEPAD) since they were established in July 2001, seeking new ways to combat rural
poverty across the continent. African leaders created NEPAD to promote sustainable development
and strengthen efforts to achieve the Millennium Development Goals (MDGs), the international
community’s time-bound targets to meet the needs of the world’s poorest people. Within the
framework of NEPAD, the Comprehensive Africa Agriculture Development Programme (CAADP) was
prepared in June 2002.

The main objectives of IFAD’s operations in the country are to improve food security and family nutrition. Since 1980, IFAD has supported agricultural development by investing a total of US$64.3 million in seven programmes and projects to reduce poverty in the country’s rural areas.
Normally, Lesotho is not in a position to grow enough food to feed its growing population. 

Offsetting the effects on poor households of declining agricultural production, IFAD investments support the efforts of small-scale farmers to ensure food security for their families and improve their incomes. Increased productivity is a key to achieving these aims and to reducing poverty in rural areas. IFAD finances programmes and projects that encourage poor people’s participation in the planning and development of income-generating activities, including microenterprises.

In 2004 and 2005, IFAD underwent a comprehensive Independent External Evaluation (IEE). The evaluation was conducted to determine IFAD’s contribution to rural poverty reduction, examine the relevance of its mission and objectives, assess its corporate learning and performance, and make recommendations on policy directions and steps to improve IFAD’s performance. It was, at the time, probably the most ambitious exercise of its kind for a United Nations agency, breaking new ground in addressing institutional performance in terms of impact. 

Le SARDI est une réponse concertée, à la fois à court et à long termes, aux causes structurelles profondes des crises alimentaires dans la sous-région sahélienne, traduisant un engagement à en finir avec le spectre de la famine et la résurgence des crises.

L’initiative contribuera à réduire la pauvreté des ménages et à prévenir l’insécurité alimentaire conjoncturelle et la malnutrition à travers :
• l’accroissement de la production agricole, de la productivité et l’amélioration de l’accès des producteurs au marché
• l’amélioration des systèmes d’alerte précoce des Etats et le développement de systèmes de gestion des crises

IFAD’s intention is to help poor rural households by creating sustainable jobs, reducing poverty and guaranteeing food security. To meet this goal IFAD places emphasis on intensifying agricultural output and supporting smallholders within irrigation schemes, as well as helping develop small rural businesses. In particular, IFAD works to improve linkages to financial services and markets, to support providers of financial and marketing services and to strengthen the capacity of poor rural communities and their institutions.

The Government of Swaziland, key stakeholders and IFAD are jointly designing a new investment focusing on rural finance and enterprise development.

Le FIDA prend appui sur les communautés et leurs organisations pour développer des activités génératrices d’emploi, agricole ou non, et de revenus. Les cultures vivrières, la production laitière et la recherche de débouchés commerciaux pour ces produits dans les quatre îles de l’archipel feront l’objet d’une attention particulière, ainsi que la conservation et la transformation locale des produits. 

En ce qui concerne les cultures de rente, le FIDA financera sous forme de don la mise en relation des producteurs avec les marchés équitables.

Many rural development efforts in Western and Central Africa have focused on how to improve poor farmers’ yields. But better yields have not always translated into greater incomes. As the use of cassava has grown, the role of efficient markets and a better coordinated cassava chain have become increasingly important to producers and processors who depend on a stable cassava sector for income.

Secure access by rural poor people to both land and water is central to the achievement of the Millennium Development Goals, in particular the target of reducing by half the proportion of people living in extreme poverty and hunger by 2015.

Most of these people depend on agriculture for their livelihoods.

However, international debate continues to address land and water issues separately, and to view the significant use of water in agriculture as problematic.

The First Mile Project is about how small farmers, traders, processors and others from poor
rural areas learn to build market chains linking producers to consumers. Good communication
is vital. The project encourages people in isolated rural communities to use mobile phones,
e-mail and the Internet to share their local experiences and good practices, learning from one
another. While communication technology is important, real success depends on building trust
and collaboration along the market chain. Ultimately farmers and others involved develop
relevant local knowledge and experience and share it – even with people in distant
communities – to come up with new ideas.

FAO, IFAD and WFP are accelerating their efforts to help countries achieve the Millennium Development Goals (MDGs). More than 1 billion people live in extreme poverty, suffering hunger or undernourishment. The vast majority – about 810 million women, men and children – live in rural areas, where they depend on agriculture and related activities for their survival. The three Rome-based agencies agree that none of the Goals can be achieved unless extremely poor people, especially those living in rural areas, are supported in their struggle to emerge from poverty and hunger. Consequently, the agencies are focusing their efforts on the targets of the first Goal, to reduce by half by 2015 the proportion of people living in extreme poverty and hunger.

Good communication is vital to small farmers who need better access to markets and to reliable information about prices, product quality and market conditions. Can new information and communication technologies (ICTs), especially the Internet, help? The First Mile is a two-year pilot project supported by the Government of Switzerland. It is implemented in collaboration with the Agricultural Marketing Systems Development Programme of the Government of the United Republic of Tanzania. Technical assistance is being provided by the International Support Group.

Over the past 25 years, there have been at least 80 wars around the world. While the places may vary, today’s violent conflicts have some striking similarities: almost all are civil wars and the majority of victims are civilians, not combatants.
Most of these internal conflicts have taken place in poor countries, impeding their development. In fact, more than half the
countries where international development agencies currently operate are affected by war.
Unfortunately, the majority of these conflicts are ongoing events, not temporary emergencies.
Today’s average conflict lasts about eight years – twice as long as conflicts before 1980. And many
more people are killed in conflicts by hunger and disease than by actual fighting.

Land degradation – often caused by human activities such as overcultivation of soil, deforestation, overgrazing and population growth – affects more than one billion people and 40 per cent of the Earth’s
surface.When this degradation occurs in the drylands where the earth is particularly fragile, rainfall is minimal and weather is harsh, desertification results.

Desertification directly affects the lives of more than 650 million people in 110 countries. Contrary to popular belief, desertification is a process that can often be reversed.There are many ways of combating desertification, including applying appropriate land-use technologies and water-use strategies. However, one of the most effective methods of combating desertification is by eradicating poverty.

A pesar de que las personas pobres que viven en las zonas rurales son los principales productores agrícolas del mundo, en muchos casos no tienen acceso a sus tierras y no ejercen control sobre los recursos naturales de los que depende su subsistencia.

IFAD is an international financial institution and a specialized United Nations agency dedicated to eradicating poverty and hunger in rural areas of developing countries.
Through low-interest loans and grants, it develops and finances programmes and projects that enable poor rural people to overcome poverty themselves.

IFAD’s collaboration with NGOs began shortly after the creation of the Fund, when it supported the Small Farmer Agricultural Credit Project in Bangladesh.