(By Gary Raynaldo  / ©Diplomatic Times)  The United Nations Secretary-General António Guterres with Deputy Secretary-General Amina Mohammed  briefs reporters at press conference to discuss a new report on the global impact of the war in Ukraine on food, energy and finance systems at UN world headquarters in New York April 13, 2022.

By Gary Raynaldo    DIPLOMATIC  TIMES

UNITED  NATIONS  –  NEW  YORK  –   The war in Ukraine “is supercharging a three-dimensional crisis — food, energy and finance — that is pummeling some of the world’s most vulnerable people, countries and economies,” the Secretary-General of the UN António Guterres said Wednesday.  As many as 1.7 billion people — one-third of whom are already living in poverty — are now highly exposed to disruptions in food, energy and finance systems that are triggering increases in poverty and hunger, according to Guterres. The UN chief made the remarks during a press conference announcing the launch of a UN report entitled: “Global Impact of War in Ukraine on Food, Energy and Finance Systems.”   Guterres was joined by the Secretary-General of UNCTAD, Rebeca Grynspan, who coordinates the Task Team, and by  UN Deputy Secretary-General Amina Mohammed, who presides over the Steering Committee. 

The UN chief said since the Russian Federation’s invasion of Ukraine, the world’s attention has been focused on the war’s terrifying levels of death, destruction and suffering. “But less attention has been paid to the global impact of the war in all its dimensions in a world that was already witnessing increased poverty, hunger and social unrest,” Guterres said. The UN Secretary-General added that the devastating impact of the war comes at a time when developing countries are already struggling with a slate of challenges not of their making — the COVID-19 pandemic, climate change and a lack of access to adequate resources to finance the recovery in the context of persistent and growing inequalities.   

“We are now facing a perfect storm that threatens to devastate the economies of many developing countries.   That is why, in the earliest days of this war, I established the Global Crisis Response Group on Food, Energy and Finance, facilitated by a Task Team in the UN Secretariat, reporting to a Steering Committee involving all UN agencies and international financial institutions. Today, we are launching the Task Team’s first Report.”

-UN Secretary-General  Guterres 

The Impact of the War is “Global and Systemic” 

The UN Secretary-General said 36 countries count on Russia and Ukraine for more than half of their wheat imports — including some of the poorest and most vulnerable countries of  the world. Prices were already on the rise — but the war has made a bad situation far worse, he said.  Wheat and maize prices have been notably  volatile since the war began, but are still 30 per cent higher just since the start of the year, Guterres added. 

Russia is a top energy supplier

“Oil prices are up more than 60 per cent over the past year, accelerating the prevailing trends. The same goes for natural gas prices, which have risen by 50 per cent in recent months.And fertilizer prices have more than doubled. As prices climb, so does hunger and malnutrition — especially for young children,” the UN chief stated.  Guterres added that  report also shows that there is a direct correlation between rising food prices and social and political instability.

Guterres Calls On International Financial  System To Help Developing Nations 

“The international financial system has deep pockets. I have been strongly advocating for its reform. But developing countries need help now, and the funds are there. So, we need to make them available to economies that need them most so that governments can avoid default, provide social safety nets for the poorest and most vulnerable, and continue to make critical investments in sustainable development. As we approach the Spring Meetings of the World Bank and the IMF, we need political will and leadership.  Resources are available. We must speak with one voice: action today will prevent suffering tomorrow. Above all, this war must end. 

-UN Secretary-General Guterres.