World Bank fund opens $163 million grant call for poorest farmers

By AI, Created 4:34 PM UTC, May 18, 2026, /AGP/ – The Global Agriculture and Food Security Program has launched a $163 million grants round for governments in the world’s poorest countries, with a focus on food security, climate resilience and smallholder livelihoods. The call comes as acute hunger nears record levels and development aid posts its steepest annual drop on record.

Why it matters: - Global hunger and aid cuts are colliding at the same time. - The new GAFSP round is aimed at countries and farmers with the least room to absorb shocks from conflict, climate events and higher input costs. - The program is designed to move money into fragile places where other funders often do not operate.

What happened: - The Global Agriculture and Food Security Program, a World Bank-hosted multilateral fund, launched a $163 million call for proposals. - Governments in the world’s poorest countries can apply for grants to strengthen food security, build climate resilience and improve livelihoods for smallholder farmers. - The ninth national-government call prioritizes fragile and conflict-affected states. - The submission window runs for four months until 15 September 2026. - Awards are expected in January 2027. - GAFSP will host informational webinars and keep a live FAQ at the program website during the application period.

The details: - The launch comes as 266 million people across 47 countries experienced high levels of acute food insecurity in 2025. - That figure was the second-highest severity on record and nearly double the proportion affected a decade ago. - Conflict remains the main driver. - Climate shocks, higher fertilizer prices tied to the closure of the Strait of Hormuz, and economic volatility are adding pressure. - Overseas development assistance fell 23% in 2025, the steepest single-year decline on record. - Bilateral aid to the world’s least developed countries is projected to fall by as much as a quarter. - About 60% of GAFSP’s existing grant funding is already dedicated to conflict-affected countries. - The new call is meant to deepen that focus. - The round also adds an emphasis on integrated proposals that address climate impacts, nutrition and women’s empowerment together. - Eligible countries are active International Development Association-only members, the World Bank’s poorest-country category. - The call complements AgriConnect, a World Bank initiative that links smallholder farmers to digital markets, financial services and agricultural inputs.

Between the lines: - GAFSP is positioning country-owned grants as a counterweight to tighter aid budgets. - The program is also trying to bundle multiple development goals into one project, which can matter in places where farm, nutrition and gender challenges overlap. - The focus on IDA-only and fragile states suggests the hardest-to-finance markets are the main target. - The launch also signals a push to connect agricultural investment with broader World Bank efforts like AgriConnect.

What’s next: - Governments can submit proposals through 15 September 2026. - GAFSP will review applications and announce awards in January 2027. - The program’s webinars and FAQ page will guide applicants during the window. - The funding round will be one test of whether donor-backed agricultural grants can still scale in a period of shrinking development aid.

The bottom line: - GAFSP is using a fresh $163 million grant call to steer scarce capital toward the poorest and most fragile farming economies at a moment when global hunger is rising and aid is falling.