Empirical research has aimed to substantiate the institution–food security nexus. However, institutional literature has largely overlooked the relationship between institutions and the sustainable development goal of zero hunger (SDG2). SDG2 is a multidimensional goal that extends beyond food security and requires comprehensive investigation. Therefore, this study explored the role of institutions in promoting SDG2 achievement using a panel dataset spanning 108 countries from 2000 to 2019. The institutional impact was evaluated using worldwide governance indicators, and the International Country Risk Guide (ICRG)’s political risk ratings. Simultaneous equation modeling was used as the estimation technique. According to the results, institutions showed a positive and highly significant association with SDG2 performance. All the dimensions of good governance promoted SDG2 performance. Except for maintaining law and order, all other dimensions of political risk indicators were found to improve SDG2 performance. This study also discovered significant evidence that voice and accountability, as well as the settlement and the prevention of conflicts, had the most substantial influences on SDG2 achievement. In developing countries, improving both the quality of governance and political stability had a comparatively higher impact on SDG2 performance than in developed countries. Furthermore, institutions showed a significant mediating impact on SDG2 performance via agricultural productivity and economic growth. Based on these findings, this study concluded that the pursuit of good governance and inclusive institutions could be instrumental in achieving SDG2.
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