By the Caribbean Journal staff
Caribbean nations need to protect their urban poor as rising international food prices trigger an acceleration of inflation, according to a report from the Inter-American Development Bank. According to the report, “How will the Food Price Shock Affect Inflation in Latin America and the Caribbean?”, there is an increased risk for nations that have little room to allow their currency to appreciate and are net importers of foodstuffs. “There is a need to increase and improve targeting of aid, perhaps through reformed conditional cash transfer schemes, to these groups to compensate the effect of the food price surge,” the study said.
See the full report here