Food and energy prices, whose rise has been exacerbated by the war in Ukraine, might remain high for several years, estimates the World Bank, which refers to the end of the year 2024. The authors point out that the rise in Energy prices over the past two years have been the highest since the 1973 oil crisis.
“That of food raw materials – of which Russia and Ukraine are major producers – and of fertilizers, whose production depends on natural gas, has never been so strong since 2008”, comments the World Bank in a press release. For energy prices alone, the bank expects an increase of more than 50% this year before a drop in 2023 and 2024. As for those of non-energy goods, such as agricultural products and metals, they should increase by almost 20% in 2022 and then also decrease in the following years. “However, commodity prices are expected to remain well above the average of the past five years and, in the event of a prolonged war or new sanctions once morest Russia, they might become even higher and more volatile than currently expected. “Alerts the bank. These price increases have “a considerable human and economic cost and risk hampering progress in poverty reduction”, she also deplores.
Food and energy prices, whose rise has been exacerbated by the war in Ukraine, might remain high for several years, estimates the World Bank, which refers to the end of the year 2024. The authors point out that the rise in Energy prices over the past two years have been the highest since the 1973 oil crisis.
