Compensating Poor Food Importers
A modest proposal
High food prices are putting the health and lives of the world’s poorest at severe risk. A mechanism to compensate for the effects of higher import prices on the poor is needed and can be implemented immediately. It must be without conditions. Historical experience suggests that in order to avoid undue conditionality creeping in, any meaningful compensation mechanism must be based at the UN, rather than the Bretton Woods institutions or any other organization dominated by the North. By Kunibert Raffer
This new mechanism must not slowly and surreptitiously be transformed from help with no strings attached, as help alleviating catastrophes should be, to a means of enforcing conditionality. Reducing hunger and misery of the poor must not be “granted” in exchange for reducing policy space. This requires that this mechanism must be administered by UN organisations and/or IFAD. Finally, emulating a successful feature of the Marshall Plan, self-monitoring by recipients is proposed ...
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