Malawi farmers get massive cash lifeline
This is one of the largest crop
index insurance payouts ever on the African continent, amounting to $2.4m.
“Most farmers in Malawi rely on
rain-fed agriculture but with the surging effects of climate change,
livelihoods are cyclically disrupted, and this fuels hunger,” said Honorable
Lobin C. Lowe, the Minister of Agriculture, present at the launch of the crop
insurance payouts. “Scaling up crop insurance can enhance people’s capacity to
anticipate and withstand shocks and mitigate their effects in the long run.”
The Government of Malawi and a
coalition of partners are empowering farming communities to manage their
climate risks and reduce impacts of climate-related hazards.
In the 2020-2021 farming season,
farmers insured crops such as maize, sorghum, rice, groundnuts, pigeon peas and
cotton to protect their incomes from harvest losses. Farmers accessed these
policies through either paying a portion of their premium in cash or
participating in building community assets such as wells, vegetable gardens and
tree nurseries that help them withstand future weather shocks.
“With the changing climate,
farming can be an uncertain business in Malawi, especially for smallholder
farmers. The recent drought saw farmers who usually harvest up to 15 bags of
50kg of maize now harvest only one bag,” says Paul Turnbull, WFP Malawi Country
Director and Representative. “The payouts are a springboard for farmers to
continue their efforts in adapting to increased weather-related shocks and
fighting food insecurity and poverty.”
In recent years, Malawi has
experienced a rise in the frequency, intensity and unpredictability of climate
shocks, perpetuating a cycle of food and nutrition insecurity. WFP is working
with the Government and its partners to mitigate the impacts of the climate
crisis for vulnerable and food insecure communities through an integrated risk
management approach.
This initiative has been
implemented in Malawi since 2015 and is made possible through multi-stakeholder
partnerships. WFP coordinates with technical departments from the Government of
Malawi at central and district level and with the financial support of several
development partners, including the Adaptation Fund, Flanders, Germany,
Switzerland, United Kingdom and the United States.
As climate talks are underway at
the 26th Conference of the Parties (COP26) in Glasgow, UK, WFP is advocating
for better risk management systems and funding for governments to help climate
change adaptation efforts.
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