Nqobile Bhebhe [email protected]
GOVERNMENT is moving to strengthen its drought response through insurance arrangements that will provide financial support to vulnerable households when drought occurs, as it builds grain reserves to cushion citizens against food shortages.
Finance Minister Professor Mthuli Ncube said the insurance cover would complement grain acquisitions and budgetary provisions aimed at safeguarding food security.
Speaking on the sidelines of the 2027 Pre-Budget Seminar in Bulawayo on Wednesday, Prof Ncube said Government was pursuing several interventions to protect vulnerable communities from the effects of El Niño-induced drought.
“We are also going to buy some insurance, several insurance, which we will pay once the drought occurs and then we are able to distribute that to vulnerable citizens and households as cash transfers and so forth,” he said.
The proposed insurance arrangements are expected to provide an additional financial cushion, enabling Government to channel resources to affected households through cash transfers when drought-related conditions trigger payouts.
Prof Ncube said Government was also targeting grain stocks of 600 000 metric tonnes to strengthen national food security and support communities facing potential food shortages.
“We support the vulnerable because of this El Nino phenomenon in terms of our grain acquisition.
“We are building our grain stocks to 600,000 metric tons of grain to support our vulnerable citizens because of the drought,” he said.
The programme is progressing, with the Finance Minister indicating that grain acquisitions were approaching halfway towards the target.
“So we are doing that and as I speak we are close to halfway through and we’ll keep going,” he said.
Prof Ncube said Government was also setting aside resources in the current and next year’s budgets to finance food requirements and support its broader drought-response programme.
“Secondly, we also have a bit of a back pocket from this budget but also part of next year’s budget to build again a cushion that will utilize for acquisition of any food requirements for our citizens but also part of the support will go towards the program,” he said.
The combination of insurance, strategic grain reserves and budgetary provisions is intended to strengthen Government’s preparedness for climate-related shocks and ensure vulnerable families receive assistance when needed.
“So we are doing quite a bit in terms of supporting potential vulnerable families,” Prof Ncube said.
