International Chamber of Commerce calls for cautious optimism as markets begin to stabilise
The International Chamber of Commerce (ICC) has called for cautious optimism following the publication of the third report of the UN Secretary General’s Global Crisis Response Group examinin the global impact of situation in Ukraine, according to ICC's release.
The findings of the third report of the UN Secretary General’s Global Crisis Response Group call for cautious optimism. Markets for key commodities are beginning to stabilise – helped significantly by the departure of the first grain shipment from Odesa this week.
The evidence set out clearly in the third report shows that the rising cost of food and energy now threatens social, political and economic stability in all regions of the world. Current fertiliser shortages risk precipitating an unprecedented global hunger crisis in 2023, millions risk being pushed into extreme poverty in the coming months and more than 20 countries are at high risk of sliding into default.
As the representative of the global private sector in the UN Global Crisis Response Group, ICC calls on the international community to recognise and rise to the urgency of this situation.
World leaders must use the upcoming meetings of the UN General Assembly in September, the Annual Meetings of the IMF and the World Bank Group in October and G20 summit in November to come up with the right policy mix needed to face the current emergency.
First and foremost, the international community must ensure that all governments have the necessary fiscal space and liquidity to help families and businesses weather the cost-of-living crisis. That means suspending debt service obligations for countries in need, ensuring that the international architecture to restructure debts works and issuing at least $650 billion in new international liquidity through the IMF.
