Financial instruments to strengthen women's economic resilience to climate change and disaster risks

This publication explores good practices in the use of financial instruments to enhance women’s economic resilience to disasters caused by natural hazard events and extreme weather conditions. Although natural hazards are gender neutral, differences in the socioeconomic status, ability to access resources, and prevailing social and cultural norms between men and women impact the way they respond to and are affected by disasters. Financial inclusion enhances women’s economic resilience to disasters by providing them access to various types of financial products and services. Use of relevant and appropriate financial instruments enables women to prepare for and cope with the effects of disasters.

The report finds that while most financial instruments available are designed to cater to both men and women, very few are designed to cater to the unique and specific needs of women. Policymakers, regulators, development partners, and financial service providers therefore need to work together to facilitate and encourage the development, design, and promotion of relevant and appropriate financial products and services that will enhance women’s resilience to disasters. This includes identifying distribution channels that are appropriate and familiar to women, particularly those in the low-income sector, and which are resilient against disasters.