POLICY BRIEF - Impact of Climate Change on Food Prices in Eastern and

The paper focuses on the impact of climate change on the prices of all goods and services with a bias on its impact on the price of food in the Eastern and Southern Africa region. [...] Specifically, the study isolates climate disaster events in each of the countries in the Eastern and Southern Africa region and assesses their implications on food prices besides analyzing the dynamics of the key climate change indicators and their implications on prices in the selected countries. [...] Based on the results of this study, it can also be argued that the significance of rainfall amounts in reducing prices implies a need to support the prioritization of investment in policies that lead to reliable water supply such as irrigation and food self-sufficiency strategies. [...] climAte chANge imPActs oN fooD AND overAll iNflAtioN 5 Based on the results, it is important for central banks to take a critical note of the emerging trends whereby, climate change is amplifying the effects and frequency of weather shocks on inflation and output, given the inflation-output tradeoff. [...] features of the framework, Develop monetary Consider modeling in particular the definition operations with climate change of the inflation target, the green features in central bank type of inflation measure to support the models.