WASHINGTON, Jul 19The termination of the Black Sea Grain Initiative worsens the outlook for food security and carries the risk of additional growth in food prices in the world, especially in low-income countries, the International Monetary Fund (IMF) said.
«This worsens the prospect of food security and risks having an additional impact on global food inflation, especially for low-income countries,» an IMF representative told the agency.
The Fund added that, according to the IMF, this the decision could have the biggest impact on food supplies in North Africa, the Middle East and South Asia.
«The Fund will continue to closely monitor ongoing developments and their impact on the threat to global food security,» the agency was told in response to a question about whether the Fund would take any action after the termination of the grain deal.
The IMF noted that the functioning of the grain deal had a deterrent effect on food prices. The fund added that the Black Sea Grain Initiative «played an important role in facilitating the export of food, grain and fertilizers from Ukraine.»
The grain deal ceased on July 18, on Monday the Russian Federation notified Turkey, Ukraine and the UN of its objection to its extension. Russian President Vladimir Putin previously noted that the terms of the deal with Russia were not kept, despite the efforts of the UN, because Western countries were not going to keep their promises. Putin has repeatedly pointed out that the West exported most of the Ukrainian grain to their states, and the main goal of the deal — the supply of grain to countries in need, including African ones — was never realized. .html» data-title=»Part of grain export infrastructure suffered in Odessa region»>