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Uganda, Tanzania latest to be affected by locust swarms – how will this impact food security & EA economies?
Uganda and Tanzania are the latest East African economies that are being affected by locust swarms. For months, Ethiopia, Kenya, and Somalia have been ravaged by locust swarms which have decimated crops and risk reducing economic growth, creating inflationary pressures, and increasing food insecurity in the agriculture-dependent East African region but is there cause for alarm? CNBC Africa's Arnold Kwizera spoke to Kelvin Dalrymple, the Vice President of Moody's for more on this.
Tue, 18 Feb 2020 15:11:24 GMT
Disclaimer: The following content is generated automatically by a GPT AI and may not be accurate. To verify the details, please watch the video
AI Generated Summary
- Locust swarms threaten agriculture-dependent economies in East Africa, leading to crop destruction and potential food shortages.
- The crisis is deemed credit negative for the region, with implications on GDP decline, inflationary pressures, and disruptions in export activities.
- Concerns are raised about the impact on food security, existing food insecurity challenges, and the need for coordinated efforts to address the crisis effectively.
East African economies are facing a serious threat as locust swarms continue to wreak havoc on crops, leading to potential food shortages and economic challenges in the region. The recent invasion of locusts in Uganda and Tanzania has added to the concerns already faced by countries like Ethiopia, Kenya, and Somalia. These countries heavily rely on agriculture, with the sector contributing significantly to their GDP and employment rates. The impact of the locust invasion has been substantial, with reports indicating that tens of thousands of hectares of crops have been destroyed in Kenya and Ethiopia alone. The Food and Agricultural Organization of the United Nations has been monitoring the situation closely and has raised alarm bells about the potential consequences of the crisis. Kelvin Dalrymple, Vice President of Moody's, emphasized the seriousness of the situation, highlighting the credit negative implications for the region. The locust infestation could lead to a decline in GDP, inflationary pressures, and disruptions in export activities, all of which could weaken the overall economic performance of the affected countries. With millions of people already facing food insecurity in the region, the ongoing crisis poses a significant threat to food availability and could exacerbate existing challenges related to hunger and malnutrition. Despite some voices suggesting that the negative impact might be overstated, experts warn that the situation could escalate if not addressed promptly and effectively. As countries struggle to combat the locust swarms, the need for coordinated efforts and sufficient resources to mitigate the crisis becomes increasingly urgent. The potential long-term effects of the locust invasion on agricultural investments and GDP growth remain uncertain, with concerns that prolonged disruption in the sector could lead to a notable economic setback. While some countries have declared emergencies and initiated measures to control the spread of locusts, more concerted action and financial support may be necessary to prevent further escalation of the crisis. Climate change and erratic weather patterns are also contributing to the persistence of the locust infestation, with forecasts indicating a continuation of favorable conditions for the pests to thrive. The upcoming rainy season could exacerbate the situation, leading to wider infestations and posing additional challenges for the affected countries. As the region grapples with the escalating locust crisis, stakeholders are urged to prioritize effective interventions and sustainable strategies to safeguard food security, protect agricultural livelihoods, and mitigate the economic impact of the ongoing challenges.
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