Lebanon recorded the world’s second-highest real food price inflation rate between September 2022 and September 2023, with an annual change of 31% in the Consumer Price Index (CPI), behind Egypt (36%). Lebanon is followed by Rwanda (15%), Argentina (12%), and Ghana (11%), according to the “Food Security Update” report published by the World Bank (WB). In this document, the WB provides an overview of the year-on-year change in the food component of a country’s CPI.

According to the report, Lebanon also recorded the world’s second-highest nominal food price inflation rate over the same period, with an annual change of 239% in the food CPI, behind Venezuela (318%). It is followed by Argentina (150%) and Egypt (74%).

In this respect, the WB recalls in the document that the Lebanese government has prepared an emergency plan in the event of an escalation of conflicts in the region. Measures have been taken to guarantee bread supplies and ensure that wheat imports remain high.

Global Inflation

Food price inflation remains high in all countries, regardless of income level. According to the report, it is high in 52.4% of low-income countries, 88.6% of lower-middle-income countries, and 61% of upper-middle-income countries. In these countries, food inflation exceeds 5%, with some countries reporting double-digit inflation.

According to the document, 67.3% of high-income countries with high inflation rates have seen a significant rise in food prices. Furthermore, the countries most affected by high food price inflation are in Africa, North America, Latin America, South Asia, Europe, and Central Asia.

The WB noted that real food price inflation (defined as nominal food inflation minus headline inflation) exceeded real headline inflation in 76% of the 166 countries for which both food and headline CPIs are available.

The WB also pointed out that the war between Israel and Hamas, which has been ongoing since October 7, could exacerbate food insecurity in the MENA region, with the entire population of Gaza in need of immediate humanitarian aid.

According to the report, as of November 6, 2023, 19 countries have implemented 27 export bans on key food products to prevent further internal shortages, while 9 countries have adopted 18 export restriction measures.

On March 18, 2022, Lebanon implemented export bans on processed fruit and vegetables, ground cereal products, sugar, and bread until the end of 2023.