This report examines how improving risk management can lead to larger gains in development and poverty reduction. It argues that improving risk management is crucial to reduce the negative impacts of shocks and hazards, but also to enable people to pursue new opportunities for growth and prosperity. It calls for individuals and institutions to move from being “crisis fighters” to becoming “proactive and systematic risk managers,” stating that there is substantial evidence that recognizing and preparing for risk can pay off abundantly. It is intended to serve as a valuable guide both for mainstreaming risk management into the development agenda, and for helping countries and communities strengthen their own risk management systems. It also offers important insight for changing the approach to risk in the World Bank’s own operations.