WFP, DoS unveil 40% drop in purchasing power for food program beneficiaries

4. WFP Ethiopia
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AMMAN — A recent study, conducted in collaboration between the World Food Program (WFP) and the Department of Statistics (DoS), has unveiled a 40 percent decrease in purchasing power for beneficiaries of the food program in camps and local communities. This decline followed the reduction in cash transfers provided to them, decreasing from JD23 to JD15 since July 2023.اضافة اعلان

The reduction in assistance coincided with inflation in food prices, leading to a "loss of purchasing power." The program continues to provide monthly food assistance to approximately 410,000 vulnerable refugees in camps and host communities, with a one-third reduction in cash transfers, Al-Ghad reported.
This decision comes after the program declared facing an "unprecedented financial crisis" and, having "exhausted all options," reduced the cash assistance by one-third for all refugees living outside the camps in Jordan.

The study, conducted at the end of the previous year and published recently, indicated that the Jordanian economy remained stable despite regional challenges, including the conflict between Israel and Gaza. It noted that despite the Gaza crisis in early October, the cost of the most consumed food basket for WFP beneficiaries remained stable until November. However, the average cost of food in the host community is higher compared to the camps, and it has been increasing since July 2023.

Despite a 1.4 percent decrease in overall food price inflation in November, the cost of the most consumed food basket for WFP beneficiaries in the host community remained unchanged, the study mentioned. The WFP had previously warned about global food security, estimating that every 1 percent reduction in food assistance threatens over 400,000 people with the brink of famine.

The report, titled "Estimating the Impact of WFP Assistance Reductions on Food Security," stated that the program seeks significant cuts in food rations in most of its operations due to decreasing international humanitarian funding. It emphasized that the food aid it provides is a vital lifeline, often the "sole difference preventing them from famine."

The report warned that an additional 24 million people could slip into "acute hunger" in 2024, representing a 50 percent increase from the current levels. More than 40 million people in 51 countries are expected to face emergency or worse levels of acute food insecurity in 2023, exposing them to the risk of disaster or famine without immediate life-saving assistance and livelihood support - an increase from 29 million in 2019.


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