logo
Why food security in the Middle East is slipping even as global numbers improve

Why food security in the Middle East is slipping even as global numbers improve

Arab News9 hours ago
DUBAI: Global hunger edged down last year, but not in the Middle East. That divergence — driven by conflict, inflation, currency stress, and a heavy reliance on imports — is reshaping food security across Western Asia and North Africa, even as other regions recover.
According to 'The State of Food Security and Nutrition in the World' report published recently by five UN agencies, 8.2 percent of the global population experienced hunger in 2024, down from 8.5 percent in 2023.
But the headline hides widening regional gaps. In Africa, more than 20 percent of people — 307 million — faced hunger in 2024. In Western Asia, which includes several Middle Eastern countries, 12.7 percent of the population, or more than 39 million people, were affected.
The contrast with other parts of Asia is striking. 'Improvements in South-Eastern and Southern Asia were largely driven by economic recovery, better affordability of healthy diets, and stronger social protection systems,' David Laborde, director of the Agrifood Economics Division at the UN's Food and Agriculture Organization, told Arab News.
That rebound has not reached the Middle East evenly. He noted that while 'high income countries' like the UAE or Saudi Arabia are exempt from any major food insecurities, 'the rest of the region and particularly conflict-affected countries (like Lebanon and Syria) are contributors to the rising hunger trend due to displacement, disrupted supply chains, and economic vulnerability.'
Nowhere is the food crisis more acute than Gaza, where war has devastated basic systems. A recent assessment by FAO and the UN Satellite Centre found that only 1.5 percent of cropland is currently available for cultivation, down from 4.6 percent in April 2025.
Put differently, 98.5 percent of cropland is damaged, inaccessible, or both — a staggering figure in a territory of more than 2 million people.
The data, published in July, landed amid warnings from UN agencies of an impending famine. The Integrated Food Security Phase Classification reported that two of the three official indicators used to determine famine conditions were present in parts of the strip.
FAO, the World Food Programme, and UNICEF have cautioned that time is rapidly running out to mount a full-scale response, as nearly a quarter of Gaza's population is enduring famine-like conditions, while the remainder face emergency levels of hunger.
The report does not break down the impact of individual conflicts, but Laborde is blunt about the drivers. Conditions are getting worse because of 'persistent structural vulnerabilities, which include conflict, economic instability, and limited access to affordable food.'
He added: 'This region has seen a continued rise in hunger, with the prevalence of undernourishment increasing to 12.7 in 2024, up from previous years.'
Those structural weaknesses — exposure to war, import dependence, currency fragility — collided with a series of global shocks. The report cites the COVID‑19 pandemic and the war in Ukraine as major triggers of global food commodity price spikes in 2021-22.
Some pressures have eased, but inflation's aftershocks persist, especially where budgets and safety nets are already thin.
According to Laborde, the countries struggling most are those where 'real wages have declined the most, food price inflation has surged, and access to healthy diets have deteriorated.'
He added: 'Low-income and lower-middle-income countries, many of which are in the MENA region, have experienced food price inflation above 10 percent, which is strongly associated with rising food insecurity and child malnutrition.'
For Middle Eastern economies that import a large share of their food, price spikes hit with particular force. Beyond war and pandemic disruptions, Laborde points to 'climate shocks in key bread baskets have led to higher food prices.
'For countries that were able to compensate for this food price increase through higher revenue from energy product sales, also impacted by the same crisis, the blow was limited.
'However, for the countries with more limited revenue' from exports of oil and natural gas, 'the situation was more difficult to handle.'
If the region's import bill is the first vulnerability, exchange rates are the second. The report highlights exchange-rate fluctuations and local currency depreciation as critical, non‑commodity drivers of food inflation.
This is especially relevant for 'import-dependent economies (such as Western Asia) where a weaker local currency increases the cost of imported food and agricultural inputs,' said Laborde.
'When local currencies depreciate, the cost of these imports rises, directly affecting consumer prices and worsening food insecurity.'
Egypt offers a case study. Heavy reliance on wheat imports from Russia and Ukraine, combined with a severe foreign currency shortage, has driven food prices far beyond wage growth since mid‑2022.
In practical terms, 'a shortage of foreign currency has made it more difficult to pay for imports, leading to higher import costs in local currency terms, rising consumer food prices, and reduced affordability of healthy diets for households,' Laborde said.
The result: Egyptians' food purchasing power fell by 30 percent between the third quarter of 2022 and the last quarter of 2024.
Similar pressures are visible elsewhere. Syria, Yemen, and Iraq have recorded significant declines in real food wages since 2020, with unskilled wages still below early‑2020 levels — a reflection of persistent instability and the difficulty of rebuilding labor markets amid conflict.
Even when global prices cool, the Middle East does not always feel the relief. The region's supply chains remain vulnerable to disrupted trade routes, heightened uncertainty in grain markets linked to the war in Ukraine, and hostilities in the Red Sea.
For countries like Egypt, these pressures feed directly into the food import bill, particularly for wheat — a staple with no easy substitute.
In an import‑dependent context, each additional week of shipping delays, insurance surcharges, or currency slippage translates into higher prices for bread, cooking oil, and other essentials.
The report also flags a quieter, but consequential, problem: market power. In theory, competitive markets transmit falling global prices quickly to consumers. In practice, market power — the ability of firms to influence prices or supply — can mute or delay those benefits.
Since 2022, many low- and lower‑middle‑income countries have experienced persistent inflation even as world prices cooled, suggesting domestic frictions at play.
These 'distortions have been observed since 2022' and are 'especially relevant in import-dependent regions like Western Asia and North Africa, where currency depreciation, limited competition, and supply chain bottlenecks can further entrench inflation,' Laborde said.
Beyond statistics, the social toll is mounting. Rising food prices hit the poorest households first, forcing trade‑offs between calories and quality — cheaper, less nutritious staples displacing diverse diets rich in protein and micronutrients.
That is why sustained double‑digit food inflation correlates with child malnutrition and worsens long‑term health outcomes, from anemia to stunting.
The consequences can also be gendered. In many Middle Eastern and North African contexts, women — who often manage household food budgets — absorb inflation by skipping meals or cutting their own portions to feed children.
When real wages drop and informal work dries up, coping strategies erode quickly.
All of this threatens the UN's 2030 Agenda for Sustainable Development, especially its aims to end hunger, achieve food security and improve nutrition, and promote sustainable agriculture.
With the deadline fast approaching, Laborde urges governments to 'stabilize food prices and protect vulnerable populations' by prioritizing 'integrated fiscal and trade policy reforms,' delivered through 'time-bound, targeted fiscal measures.'
These include 'temporary tax relief on essential foods, scaled-up social protection (e.g. cash transfers) indexed to inflation and ensuring benefits reach consumers through transparent monitoring.'
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

Chevrolet and GMC mark GCC record sales with ‘Truck Mania'
Chevrolet and GMC mark GCC record sales with ‘Truck Mania'

Arab News

time8 hours ago

  • Arab News

Chevrolet and GMC mark GCC record sales with ‘Truck Mania'

General Motors is spotlighting the evolving face of truck ownership in the Middle East as it celebrates a growing market share among its Chevrolet and GMC pickup lineup with a sales rise of 18 percent year on year, unveiling an emerging demographic among youth and women. Marking its record sales, GM has launched the Chevrolet and GMC Truck Mania event across showrooms in Saudi Arabia, the UAE, Kuwait, Oman and Qatar, featuring attractive offers on the popular Chevrolet Silverado, GMC Sierra, GMC Canyon and all-electric GMC Hummer SUT. Running from Aug. 13 to Sept. 13, the event offers immersive product experiences. Customers can expect tailored test drives for road and all-terrain, personalized consultations, and seasonal value offers designed to get them behind the wheel in time for the region's most active months outdoors. GM's truck portfolio continues to resonate deeply among GCC nationals — particularly from Saudi Arabia and the UAE. Among younger Emiratis aged 20–29, the GMC Sierra has emerged as a top choice for first-time buyers, reflecting a generational shift in preferences. Meanwhile, the Chevrolet Silverado sees robust repeat purchases from Saudi owners aged 30–50, underscoring its enduring appeal and reliability. Furrukh Jawaid, chief marketing officer at General Motors Middle East and Africa, said: 'Off-roading in the Gulf is a rite of passage as youth begin to adopt the lifestyles of their parents, the desert becomes more than terrain and an adrenaline rush. It becomes a tradition. This is evident in the trends we are seeing of youth making up 20 to 35 percent of our customer base in the last few years. Therefore, Truck Mania is bringing GM's most capable trucks to the forefront with compelling offers and experiences that reflect the evolving expectations of today's customers.' While male ownership remains dominant, female ownership is steadily rising signaling a broader cultural embrace of the segment. Over the past three years, female interest and ownership in full-size pickups has more than doubled, driven by increasing demand for safety features, elevated driving positions, flexible utility, and bold design. In 2024 alone, women accounted for 9 percent of all GM truck buyers in the GCC, a notable increase from previous years. Kuwait leads the region with 13 percent of all female truck owners in GM's portfolio, followed by the UAE at 9 percent, and Qatar at 7 percent. A third of GMC Sierra owners in the UAE are middle-aged Emirati women (ages 30–49), and there has been a 50 percent year on year increase in ownership among Emirati women aged 20–29. For Chevrolet Silverado, 19 percent of repeat female customers are over 30, with the majority in the middle-aged Kuwaiti segment. Rohan Fernandes, managing director of commercial operations at General Motors Middle East and Africa, added: 'The growing demand for our world-class pickups from Chevrolet and GMC are visible as we witnessed a surging market share in the first half of 2025 of over 46 percent as we continue to empower more customers across the Gulf to take up off-roading, road-tripping adventures, reconnecting with the outdoors or making use of its capabilities for day-to-day needs. Pickups have grown beyond their traditional role as workhorses to become expressions of style, performance and heritage. Even off-roading has shifted from a practical skill to a deeply-rooted pastime.'

Eyeing global growth, Platinumlist announces rebrand
Eyeing global growth, Platinumlist announces rebrand

Arab News

time8 hours ago

  • Arab News

Eyeing global growth, Platinumlist announces rebrand

Platinumlist, a Middle East entertainment discovery platform with more than 9 million users, has announced a comprehensive rebranding of its platform. This step is a response to the booming events sector in the MENA region, which has resulted in evolving user and partner demands for flexibility, consistency and personalization. Since its founding in 2009, Platinumlist has expanded from a single event type to successfully ticketing more than 100,000 events with 20 diverse categories in nine markets in the region and around the world. The redesigned platform addresses this by making the discovery and booking of tickets a quicker and more convenient experience. 'The decision to rebrand the platform was driven by several factors, including the company's expansion across the globe,' said Cosmin Ivan, CEO at Platinumlist. 'This growth presented challenges, as the previous brand identity no longer fully reflected the global and diverse nature of the company's offerings. The prior design was fragmented across different products, which sometimes made brand recognition more challenging for users and B2B partners.' The new design addresses these issues with a fresh visual identity centered around the concept of a 'portal.' This metaphor and identity concept, created in partnership with design studio Kidults, represents the platform as an entry point to new experiences and emotions. The redesigned interface features a cleaner, bolder visual system and improved UX patterns. The dark mode feature is currently in development to further enhance user experience in various lighting conditions, such as at concerts or cinemas. 'Platinumlist came to us with a bold ambition — to go beyond selling tickets and become a true cultural portal,' said Mike Shishkin, creative director at Kidultas. 'It wasn't just about a new look, but about rethinking the brand's role, story, and the entire product experience. We worked closely with Platinumlist on brand strategy, visual identity, UI and content tools. And we're proud to be a part of transforming ticket sales into inspiration.' A significant aspect of the redesign is its focus on regional and cultural inclusivity. Platinumlist collaborated with Saudi and UAE-based type designers to develop a new Arabic typographic system and an adapted logo that aligns with the Latin version, creating a flexible and regionally inclusive design system. Looking ahead, Platinumlist plans to continue its improvements, leveraging the new flexible design system to scale across different languages and markets, from Dubai to London.

PIF's strong financial position fuels Kingdom's economic transformation
PIF's strong financial position fuels Kingdom's economic transformation

Arab News

time8 hours ago

  • Arab News

PIF's strong financial position fuels Kingdom's economic transformation

The Public Investment Fund has released its annual financial results for 2024, reporting a 25 percent increase in total revenue compared with the previous year, and maintaining a strong and largely unchanged cash balance year over year. Assets under management grew by 19 percent in 2024, reaching $913 billion, with an annualized average portfolio return of 7.2 percent since 2017. Since 2021, cumulative investments in priority sectors have surpassed $171 billion. These financial results highlight strong progress aligned with PIF's forward-looking investment strategy, reinforcing its position as one of the world's largest and fastest-growing sovereign wealth funds. Also, these strong financial results underscore its effective portfolio management, driven by a strategic focus on diversifying its investment base, advancing the Saudi economy, and strengthening global commercial partnerships. PIF's strong financial performance has reinforced its efforts to exceed expectations in delivering on its unique mandate — advancing Saudi Arabia's economic transformation in line with Vision 2030. By focusing on generating sustainable financial returns and diversifying the economy away from oil, PIF has contributed significantly to national development. The financial performance demonstrated substantial growth, underpinned by strong financial foundations and successful portfolio diversification strategies. As of 2024, PIF's portfolio comprises 225 companies, including 103 created and established by the fund. As PIF continues to solidify its position among the world's 10 largest sovereign wealth funds, its portfolio has delivered substantial growth, with assets under management increasing sixfold in 2024 compared with $152 billion in 2015. Notably, throughout 2024, PIF continued to lead with a long-term vision and clear strategic purpose. This is evidenced as PIF has deepened its financial impact by driving forward Saudi Arabia's economic transformation while delivering sustainable financial returns. PIF now accounts for 10 percent of the Kingdom's non-oil economy, with its cumulative real non-oil contribution to gross domestic product reaching $243 billion between 2021 and 2024. The fund continued to advance the development of strategic economic sectors in Saudi Arabia by building national champions, enhancing the technical capabilities of its investment portfolio, promoting localization, and fostering innovation. PIF's 2024 financial results underscore its strategic focus on cutting-edge technologies, including artificial intelligence and automation, which have become integral to its operations. It has succeeded in forming strategic partnerships with innovative companies, investment managers and influential investors, and investing in cutting-edge technology that is shaping the future global economy. In 2024, PIF completed 58 digital projects, launched 15 new applications and automated more than 477 processes, enabling insights, strategy and the creation of economic value. Throughout 2024, PIF strategically expanded its international investment portfolio, harnessing long-term, high-impact capital to deliver sustainable returns and cultivate partnerships in priority global markets. PIF's financial strength and stability received international recognition in 2024, as Moody's upgraded its credit rating to Aa3 from A1 with a stable outlook, and Fitch affirmed its A+ rating, also with a stable outlook — both affirming the fund's robust credit profile and solid financial fundamentals. Leveraging its solid financial foundation, PIF continued to diversify its funding base in 2024, raising $9.83 billion in public debt and $7 billion in private debt markets. In summary, PIF closed 2024 with a solid financial performance, driven by strong assets and healthy returns. It also marked a major achievement in ESG performance, scoring 96 percent on Global SWF's GSR Scoreboard. In 2025, PIF tied for first place globally among 200 sovereign investors, with a score of 100 percent. A study by Brand Finance, the world's leading independent brand valuation company, found PIF to have the most valuable and fastest-growing brand in the world among all SWFs, with an A+ rating. As a catalyst for change, PIF has successfully accelerated growth across 13 targeted strategic sectors, unlocking new opportunities and reshaping the future landscape of Saudi economy, financial and labor markets, and local content development. As a result, PIF managed to create over 1.1 million direct and indirect jobs domestically and globally. In October 2022, PIF launched the Local Content Growth Program with the objective of increasing the local content contribution of the fund and its portfolio companies to 60 percent by 2025. By 2023, local content in PIF's projects had already surpassed 47 percent, up from 40 percent in 2020. Between 2020 and 2023, total spending on local content reached about $106.7 billion. • Talat Zaki Hafiz is an economist and financial analyst. X: @TalatHafiz

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store