When natural disasters hit the Sub-saharan countries between 2008 and 2011, it led to a major humanitarian crisis that left millions in urgent need of food and financial assistance.
Climate change is a risk to developments in African countries. Two-thirds are already warming faster than the global rate. Climate projections show that this will continue in the coming decades, bringing in more droughts and floods that lead to food insecurity and cascade to other problems like conflicts, human devastation, and displacements.
The crises in African countries vary in type, duration, and magnitude, but droughts are the most impactful hitting the poorest households in the region.
A country’s financial preparedness and the ability to distribute financial support promptly could lead to further problems and force women and girls to resort to harmful coping mechanisms, which could devastate their welfare.
However, governments in these most affected countries lacked post-disaster plans and access to immediate funding for recovery efforts. Emergency humanitarian assistance is slow to come and seriously underfunded.
National and local governments have to reallocate budgets to address emergency needs, disrupting the country’s long-term development efforts.
The Disaster Risk Financial and Insurance Program (DRFIP) help African countries become more financially prepared to face these disasters and ensure their populations are financially protected.
“DRFIP is a leading partner of developing countries seeking to develop and implement comprehensive financial protection strategies. A joint initiative of the World Bank Group’s Finance, Competitiveness, and Innovation Global Practice and the Global Facility for Disaster Reduction and Recovery (GFDRR), DRFI was established in 2010 to improve the financial resilience of governments, businesses, and households against natural disasters.”Disaster Risk Finance, 2021
DRFIP interventions in African countries have been tailored to their context. Each risk financing project in 22 African countries differed in scope, design and duration.
The DRFIP report, Disaster Risk Finance in Africa, Lessons Learnt from Engagements, shares insights gained through implementing effective and lasting risk finance solutions for governments in the Africa region.
The note also offers a hands-on guide to planning and implementing risk financing projects and creating effective and lasting solutions for partner governments.
The report aims to distil the lesson learned to identify fundamental principles that drive the project’s success.
Read the full report here:
Disaster Risk Finance in Africa, Lessons Learnt from Engagements. (2021 November). Disaster Risk Financing & Insurance Program. Retrieved from https://www.financialprotectionforum.org/publication/disaster-risk-finance-in-africa-lessons-learnt-from-engagements
Disaster Risk Financing and Insurance (DRFI) Program. (2022). The World Bank. Retrieved from https://www.worldbank.org/en/programs/disaster-risk-financing-and-insurance-program