Ron Hartman, Director, Global E ngagement, Partnerships and Resource mobilization, IFAD Ulac Demirag , Hub Director, Ethiopia, East and Southern Africa Division,IFAD 5 May 2020. Webinar German Agribusiness alliance: Making food systems resilient to Covid 19.

1. Preventing COVID19 crisis to become a food crisis
Ron Hartman, Director, Global Engagement,
Partnerships and Resource mobilization, IFAD
Ulac Demirag, Hub Director, Ethiopia, East and
Southern Africa Division,IFAD

2. • COVID19 crisis may undo the progress made to date in reducing
poverty (SDG1) and increase food insecurity/hunger (SDG2)
• UN Secretary General call for solidarity- coordinated global action to
help countries to recover better with focus on most vulnerable
countries, leave no one behind.
• COVID- 19 crisis is a threat to the development impact of IFAD
investments: 200 projects, 100 countries reaching 110 million poor
rural people.
Preventing a health crisis to turn into food security crisis

3. COVID-19 Impact on Target Groups
Delayed delivery of project
activities and pipeline
Reduced access to inputs,
services, markets, food
Target groups lose income
and work opportunities
IMPACT
Disruption can
wipe out impact of
IFAD projects
Food systems
interrupted
Rural people impeded
from accessing
inputs, finance,
extension, markets
Limits ability
of markets to
function
COVID-19
economic
shock

4. IFAD’s response to COVID19-
1. Flexibility to
immediately
support ongoing
programmes
2. Additional Targeted
interventions to
mitigate impact &
build resilience
4. IFAD financial
longer term response
Integrated
Response
working with governments
and partners (UN, IFIs,
private sector)
3. Leverage
partnerships and
support coherent
policy response
COVID-19 Rural
Poor Stimulus
Facility

5. COVID19 Rural Poor Stimulus Facility :
improve food security and resilience
Provision of inputs and
basic assets for
production
Inputs and basic assets provided to small-scale farmers to support production,
establish fast-maturing alternative agricultural enterprises and weather
immediate effects of economic crisis
Adapted financial
services
Digital solutions to
sharing information
Provision of digital agricultural services to facilitate up-to-date information on
production, weather, market prices and other important areas.
Delivery of targeted funds through existing finance institutions in IFAD project
areas to ensure businesses remain solvent and farmers meet immediate loan
repayment requirements
Facilitated access to
markets
Support market access, including logistics and storage support to avoid losses,
facilitating transport, and ensuring markets remain open and demand high

6. 1. Supply/demand disortions and looming global recession
• impact access to credit and inputs, output markets
2. Movement restrictions further compound the challenges
3. Public services impacted due to remote work arrangements(
• limited connectivity and electricity outages (affecting projects and their service providers)
4. Official data suggests slow take up of COVID19 and effectiveness of measures taken
5. Focus of IFAD’s response is to:
• Advise on adequate measures and Programme continuity and adaptation to the new challenges
• Containing the effects on the food system, including on its actors (SMEs, service providers, including
rural finance institutions, farmers etc.)
• Regional engagement with UN, AU, MDBs to sensitize on threats to food system, advise on measured
policy measures, and offer an interface to rural producers IFAD’s networks;
COVID 19 Main effects - case of Ethiopia

7. Common country analysis (FAO, WFP, ILO, UNIDO, and UNDP) UN Socio- Economic
Impact Analysis, appropriate response measures that allow food systems to operate
Reprogramming of Programmes’ current work plans for immediate operational response
• measures, to ensure business continuity amidst remote working measures, travel restrictions,
transportation and procurement challenges etc.
Restructuring of projects and reallocation of funds at request of Government, including
coordination with partners (i.e. EU)
Mobilization of additional resources, leveraging on the above
• IFAD’s Rural Poor Stimulus Facility (i.e. Participatory Small-scale Irrigation Development
Programme II- key delivery mechanism for the Ministry of Agriculture’s response plan)
• Formulation of bankable project (with FAO/UN partners) to help Government mobilize additional
resources (i.e. from IFIs, bilateral partners, UN Trust Fund)
• Provision of complementary services through linkage with regional grant initiatives (Precision
agriculture development, Farm Radio)
IFAD’s COVID-19 response in Ethiopia

8. • Awareness creation, Safe and Effective Working Environment
 Farm Radio International (+ 500,000 farmers)
 7,500 rural producers supported to collect, store or sell their produces (safety measures /protocols)
• Livelihood Support - 2 to 6 months
 Agricultural inputs’ vouchers for vulnerable households (1,746 FHHs) ; and
 Cash-for-work vouchers for vulnerable individuals to engage in watershed management activities and nursery
site management (1,140 individuals)
• Food Supply Chain Support- 3 to 6 months (10,220 rural producers)
 Access to inputs’ vouchers for smallholder farmers; and
 Support provided in the form of grants for postharvest handling to link programme clients with markets.
• Liquidity provision through the Development Bank of Ethiopia (under the Rural Financial Inclusion
Programme), by IFAD & EU
 Debt relief measures for financial institutions and their clients Liquidity support /Reduced interest rates /
 => USD 32.7 M (1.5 M clients, 21 MFIs and 120 Rural Savings and Credit Cooperative
IFADs COVID 19 response – Ethiopia

9. THANK YOU