Global Financial Crisis and Food Price Inflation

Abstract

The global financial crisis of 2008 triggered widespread economic disruptions, influencing trade, production, and price levels across nations. One of the most critical outcomes was the surge in global food prices, threatening food security and economic stability, particularly in developing economies like India. This paper examines the interconnection between the financial crisis and food price inflation, analyses their impact on India’s macroeconomic framework, and evaluates policy measures that insulated the Indian economy. Using secondary data from the FAO, RBI, and MOSPI, the study identifies the trends, causes, and consequences of price fluctuations and provides policy recommendations to mitigate similar future shocks.