Asian economic integration monitor

April 2014:

This issue of the Asian Economic Integration Monitor includes the thematic chapter: Insuring against Asia’s Natural Catastrophes. This chapter includes the following highlights:

• Over the past 20 years, Asia has borne half the estimated global economic cost of natural disasters—about $53 billion annually; this could potentially wipe out gains from economic growth in many economies.
• The gap between total economic losses and insured losses can be so wide that it may outstrip government’s ability to act as insurer of last resort. Regional cooperation along with better and more effective national policies to offer disaster risk financing instruments is therefore critical.
• Key priorities for developing disaster risk financing markets and strengthening financial resilience should include business continuity planning, enhancing technical and institutional capacities, and coordinating various governmental authorities across all levels.