How to unlock US$1.3 trillion in resilience finance: using risk assessment to drive investment and impact
This report demonstrates how resilience can be transformed from a perceived cost into an investable asset, in line with extensive evidence that resilience investments delivers economic and fiscal returns. Through risk analytics and engineering expertise of the insurance sector, avoided losses can be quantified, and resilience-building opportunities identified to together demonstrate financial returns.
This report concludes that governments should leverage risk analytics to build credibility with markets and rating agencies, MDBs should integrate probabilistic risk modelling across their operations and private investors should reward projects that demonstrate quantifiable risk-reduction measures. Such an integration can turn resilience from an undervalued priority into a mainstream, finance-ready asset that is investable at scale. This will be key to achieving the ambition of The Baku to Belém Roadmap to 1.3T - to mobilise US$1.3 trillion annually by 2035 for adaptation and resilience.