Seven Arab States Could Face Food Crisis in Absence of Urgent Solutions

Arab countries could face a food shortage crisis if they do not address the existing challenges. (Asharq Al-Awsat)
Arab countries could face a food shortage crisis if they do not address the existing challenges. (Asharq Al-Awsat)
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Seven Arab States Could Face Food Crisis in Absence of Urgent Solutions

Arab countries could face a food shortage crisis if they do not address the existing challenges. (Asharq Al-Awsat)
Arab countries could face a food shortage crisis if they do not address the existing challenges. (Asharq Al-Awsat)

Seven Arab countries are expected to face a stifling food crisis if they don’t address their political and economic crises to face external challenges, topped by the Russian-Ukrainian war and the high cost of shipping from traditional food-exporting countries.

All these outstanding issues and plans to address the food crisis in the Arab world will be presented at a meeting in Tunisia later this month, as part of the activities of the Higher Coordination Committee for Joint Arab Action.

The event includes a financing mechanism for many programs that push for developing the agricultural and livestock sector, while expanding the rain-fed agriculture, which is spread in many of the Arab League member states.

Prof. Ibrahim Adam El-Dukhiri, the Director General of the Arab Organization for Agricultural Development (AOAD) at the Arab League, said the economic situation in some of the Arab states is the reason behind this threat.

In other countries, including oil countries, the political situation and instability are evident and reduce their appropriate utilization of the available resources.

The fragile political and security situation in the seven countries, which he didn’t reveal, exacerbates the food security problems and complicates any solution reached in this regard.

These problems will not affect the food sector only, Dukhiri noted, but they will rather afflict all their economic activities.

He stressed that the internal and foreign investments will decrease as a result of the overall situation in these countries.

He suggested resolving these issues as a major step to address the economic challenges, including the food crisis.

Dukhiri also pointed out that the climate change and the development level will affect many countries, including those that have rain-fed crops, who will face many troubles at the beginning and end of each season.

The senior official affirmed that the impact of the war in Ukraine will not be temporary, expecting that the situation will deteriorate by next year.

Dukhiri underscored the need for quick intervention, stressing that inaction will led to food shortages in many countries.

He pointed out that the cost of shipping has remarkably increased in various traditional food producing countries, including Argentina, Brazil, and Australia.

He shed light on the complexities and political differences that prevail in many European countries.

Some ports may refuse to receive specific products, leading to a surge in prices, he said, warning that the situation will become out of control.

Commenting on the AOAD’s role to help these countries, Dukhiri said their agricultural ministers are currently developing strategies to avoid this crisis.

They requested help from the organization, in terms of training, rehabilitation, studies, and plans, the official said, affirming that it is providing the optimal support.

The organization will propose in Tunis a program to address this issue, namely the Arab Sustainable Food Security Program, in which the financing mechanism is clarified and will be available to all.

“We will share with the Arab community the organization’s vision and arrangements, which include plans that can be implemented quickly, including Arab investments, and there are programs that need more time to be completed,” he told Asharq Al-Awsat.

The strategy includes three main and integrated factors, mainly the restructuring of the prevailing agricultural systems to become more efficient, as well as the hydroponic systems to increase the efficiency of water use.

The second factor is the expansion of rain-fed agriculture, especially that there are large areas in the Arab world where reasonable levels of self-sufficiency could be reached.

The third factor, according to Dukhiri, is the livestock component, which needs some arrangements in the process of feeding the animals.

He affirmed that this factor can reduce the effects of the import crisis.



ECB's Rehn Sees Downside Risks to Inflation, Urges Action on Ukraine Funding

FILE PHOTO: Olli Rehn in Helsinki, Finland, January 28, 2024. Lehtikuva/Heikki Saukkomaa via REUTERS
FILE PHOTO: Olli Rehn in Helsinki, Finland, January 28, 2024. Lehtikuva/Heikki Saukkomaa via REUTERS
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ECB's Rehn Sees Downside Risks to Inflation, Urges Action on Ukraine Funding

FILE PHOTO: Olli Rehn in Helsinki, Finland, January 28, 2024. Lehtikuva/Heikki Saukkomaa via REUTERS
FILE PHOTO: Olli Rehn in Helsinki, Finland, January 28, 2024. Lehtikuva/Heikki Saukkomaa via REUTERS

Inflation in the euro zone faces downside risks in the medium term, even as price growth has returned to the ECB's 2% target, European Central Bank policymaker Olli Rehn said, according to a report in a magazine on Saturday.

The sharp drop from the October 2022 peak of 10.6% to around 2% currently was achieved without triggering mass unemployment or a severe slowdown, he told Italian financial magazine Milano Finanza.

"The good news is that inflation has stabilized around the ECB's symmetric 2% target, supporting real incomes in Europe," Reuters quoted him as saying. "Our latest forecast suggests inflation will remain slightly below 2% over the horizon."

Rehn also urged EU leaders to resolve a stalled plan for a Ukraine "repair loan" funded by Russia's frozen assets, calling it "essential, even existential."

He dismissed speculation about ECB involvement, saying such a move would breach the EU Treaty's ban on monetary financing.

Instead, he backed a European Commission proposal under Article 122, often called the 'EU's emergency clause,' that gives the EU Council the power to adopt measures proposed by the European Commission in exceptional circumstances, bypassing the ordinary legislative process and the European Parliament.

"Every European should support using frozen Russian assets to help Ukraine," he said.

The Finnish policymaker, who has served in senior EU roles for decades, confirmed he would be a strong candidate for ECB vice president when the post opens next year.

"I have received encouragement from various parts of Europe," Rehn added.


World Bank to Partner with Global Vaccine Group Gavi on $2 Billion in Funding

The Vaccine Alliance (GAVI) logo and US flag are seen in this illustration taken April 23, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
The Vaccine Alliance (GAVI) logo and US flag are seen in this illustration taken April 23, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
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World Bank to Partner with Global Vaccine Group Gavi on $2 Billion in Funding

The Vaccine Alliance (GAVI) logo and US flag are seen in this illustration taken April 23, 2025. REUTERS/Dado Ruvic/Illustration/File Photo
The Vaccine Alliance (GAVI) logo and US flag are seen in this illustration taken April 23, 2025. REUTERS/Dado Ruvic/Illustration/File Photo

The World Bank Group said on Saturday it is working with global vaccine alliance Gavi to strengthen financing for immunization and primary healthcare systems, planning to mobilize at least $2 billion over the next five years in joint financing.

The two organizations will also work together to advance vaccine manufacturing in Africa as part of a World Bank goal to help countries reach 1.5 billion people with quality, affordable health services by 2030, Reuters quoted the World Bank as saying.

Gavi is a public-private partnership that helps vaccinate more than half the world’s poorest children against diseases.

"Our expanded collaboration with the World Bank Group reflects a long-standing joint effort to support countries as they build robust and resilient health systems," said Sania Nishtar, Gavi's chief executive.

US Health Secretary Robert F. Kennedy Jr. said in June the United States would no longer contribute funding to Gavi, alleging that the group ignores safety and calling on it to "justify the $8 billion that America has provided in funding since 2001."

The Trump administration had also indicated in March it planned to cut annual funding of around $300 million for Gavi as part of a wider pullback from international aid.

In June, Gavi had more than $9 billion, less than a target of $11.9 billion, for its work over the next five years helping to immunize children.

Other donors, including Germany, Norway and the Gates Foundation, have pledged money this year for Gavi's future work.


Defying Trump, EU Hits X with $140 Million

(FILES) This illustration photograph shows the logo of social network X (formerly Twitter) and a photograph of CEO of social network X, Elon Musk displayed on a smartphone in Brussels on September 27, 2024. (Photo by Nicolas TUCAT / AFP)
(FILES) This illustration photograph shows the logo of social network X (formerly Twitter) and a photograph of CEO of social network X, Elon Musk displayed on a smartphone in Brussels on September 27, 2024. (Photo by Nicolas TUCAT / AFP)
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Defying Trump, EU Hits X with $140 Million

(FILES) This illustration photograph shows the logo of social network X (formerly Twitter) and a photograph of CEO of social network X, Elon Musk displayed on a smartphone in Brussels on September 27, 2024. (Photo by Nicolas TUCAT / AFP)
(FILES) This illustration photograph shows the logo of social network X (formerly Twitter) and a photograph of CEO of social network X, Elon Musk displayed on a smartphone in Brussels on September 27, 2024. (Photo by Nicolas TUCAT / AFP)

Elon Musk's social media company X was fined 120 million euros ($140 million) by EU tech regulators on Friday for breaching online content rules, the first sanction under landmark legislation that once again drew criticism from the US government.

X's rival TikTok staved off a penalty with concessions, according to Reuters.

Europe's crackdown on Big Tech to ensure smaller rivals can compete and consumers have more choice has been criticized by the administration of US President Donald Trump, which says it singles out American companies and censors Americans.

The European Commission, the EU's executive, said its laws do not target any nationality and that it is merely defending its digital and democratic standards, which usually serve as the benchmark for the rest of the world.

The EU sanction against X followed a two-year-long investigation under the bloc's Digital Services Act (DSA), which requires online platforms to do more to tackle illegal and harmful content.

The EU's investigation of ByteDance's social media app TikTok led to charges in May that the company had breached a DSA requirement to publish an advertisement repository allowing researchers and users to detect scam advertisements.

The European Commission's tech chief Henna Virkkunen said X's modest fine was proportionate and calculated based on the nature of the infringements, their gravity in terms of affected EU users and their duration.

“We are not here to impose the highest fines. We are here to make sure that our digital legislation is enforced and if you comply with our rules, you don't get the fine. And it's as simple as that,” she told reporters.

“I think it's very important to underline that DSA is having nothing to do with censorship,” Virkkunen said.

She said forthcoming decisions on companies which have been charged with DSA violations are expected to take a shorter time than the two years for the X case.

“I'm really expecting that we will do the final decisions now faster,” she said.

Ahead of the EU decision, US Vice President JD Vance said on X: “Rumors swirling that the EU commission will fine X hundreds of millions of dollars for not engaging in censorship. The EU should be supporting free speech not attacking American companies over garbage.”

TikTok, which pledged changes to its ad library to be more transparent, urged regulators to apply the law equally and consistently across all platforms.

EU regulators said X's DSA violations included the deceptive design of its blue checkmark for verified accounts, the lack of transparency of its advertising repository and its failure to provide researchers access to public data.

The Commission said the investigation into the dissemination of illegal content on X and measures taken to combat information manipulation and a separate probe into TikTok's design, algorithmic systems and obligation to protect children continue.

DSA fines can be as high as 6% of a company's annual global revenue.