Contact:
Mohamed Sidie Sheriff (+23276) 605447
msheriff@worldbank.org FREETOWN, August 13 2008 –An additional US4 million food price crisis response grant was today approved by the Bank’s Executive Board of Directors, following swiftly on the heels of the US3 million dollars in budget support approved earlier this month to offset lost revenues resulting from the spike in food prices.  The additional grant focuses on providing assistance to those households most vulnerable to the escalation. The measures supported by this grant, which will be administered under the auspices of the National Commission for Social Action (NaCSA) are expected to have a significant positive impact on poverty reduction. The grant will be specifically used to support the implementation of an emergency cash-for-work program with the objective of providing temporary employment opportunities for those most susceptible to the crisis. As a complement to these efforts, the World Bank is continuing its support to the government through other funding opportunities to stimulate food production through a combination of agricultural and infrastructural investment projects in the medium term. The US30 million dollar Rural Private Sector Development Project (RPSDP), which is now being rolled out, is intended to help in the removal of major constraints and bottlenecks to agricultural productivity, marketing and exports in the country by supporting programs that ensure efficiency in production and marketing as well the quality of agricultural produce and products along the value chain from production to transportation, storage, preservation, processing, marketing and export. Concurrently the rural roads rehabilitation component of the Bank’s recently approved Infrastructure Development Project (IDP) will help towards reducing travel time on project roads, increase road usage, and enrich the agricultural value chain. Mirey Ovadiya, Senior Operations Officer in Social Protection, summarised the grant’s goals: "The Bank is happy to be able to contribute to the Government of Sierra Leone's efforts to protect the most vulnerable from the impact of the price increases. As a short term safety net measure, the implementation of the cash for works program will help the poorest to access temporary employment and pay for their basic needs. This temporary support to poor households, we expect, will provide them with some cushioning to get through these difficult times without adverse impacts on their future livelihoods." Sierra Leone remains extremely vulnerable to global commodity price changes. The FAO has listed Sierra Leone as one of 8 most vulnerable countries globally in the current food prices crisis. Roughly 66 percent of the population lives below the poverty line set for the 2003/04 household survey. Twenty one percent of the population in 2003/04 was unable to meet minimum daily caloric requirements . The average household spends 52 percent of its income on food, a third of that on rice, which, as the main staple food, accounts for roughly one third of the caloric intake of the poorest quintile of the population. Up to a quarter of the population now lives in the Freetown area, away from major production areas and dependent on imported food. Roughly one third of national consumption is sourced though imports and food aid. Furthermore, Sierra Leone has the world’s highest rates of infant and maternal mortality, making access to affordable food even more critical. For more information, please visit the following web sites: http://www.worldbank.org/sierraleone # # # |
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