Financing DRR

Τhis theme covers economic analysis supporting risk-informed investments, better investment planning and financing strategies for disaster risk reduction, cost-benefit analysis and other DRR investment appraisal techniques, and ex-ante/ex-post financing.

This theme at the moment also addresses post-event economic loss and impact assessments.

When Guatemala analysed how public money was spent on disaster risk and climate action, a clear picture emerged: prevention was underfunded — and opportunity was being missed.

Latest Financing DRR additions in the Knowledge Base

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Extreme weather resilience: why it matters and how we’re building it thumbnail
Documents and publications
Extreme weather resilience: why it matters and how we’re building it

This paper examines why extreme weather resilience is becoming a core priority for infrastructure investors and how it should be built into investment decisions.

Actis
Wetland
Research briefs
Calculating the costs of wetland loss

Wetlands protect communities and ecosystems from flooding. A study quantifies their financial importance.

Eos - AGU
The credit channel of acute vs chronic climate change-related risk thumbnail
Documents and publications
The credit channel of acute vs chronic climate change-related risk

This working paper (No. 1048) investigates how banks adjust credit supply in response to temperature-related climate risk, using a firm-bank level panel of French single-establishment micro and SME firms from 2010 to 20

Banque de France
Early warning systems and anticipatory action: the fiscal case for pre-disaster financing thumbnail
Documents and publications
Early warning systems and anticipatory action: the fiscal case for pre-disaster financing

The guide, previously published in 2023, expanded its coverage to include an analysis of anticipatory action and early warning systems and the fiscal case for pre-disaster financing.

Risk-informed Early Action Partnership (REAP)
Update
Resilience projects need funding. Green banks could help them reach new investors, one researcher says

A hybrid institutional capital model could package small infrastructure resilience projects to make them attractive to institutional investors, a new research paper proposes.

Smart Cities Drive
A Cyclone Preparedness Programme (CPP) volunteer, during an early warning drill in Chila village, Bangladesh
Update
Ready before the river rises: a new public-private financing model for protecting communities in Bangladesh

The government has designed what it calls a "continuum of support", a two-instrument financing package that layers government resources on top of existing humanitarian delivery systems.

Financial Protection Forum (World Bank)
Training course
Online
Handbook for Financial Institutions: Climate Adaptation Finance
To support Financial Institutions globally, GCA developed the Handbook on Climate Adaptation Finance, a practical resource designed to help them integrate climate adaptation into their strategies, operations, and financing activities.
  • Global Center on Adaptation
Close-up of a senior adjusting a digital smart heating thermostat at home
Update
People are getting financial incentives to use less electricity during heat waves

Smart thermostats and connected devices are helping some utilities reduce strain on the grid.

Yale Climate Connections
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