Regional Conference: Disaster Risk Financing and Insurance in Central Asia

The countries of Central Asia—Kazakhstan, Kyrgyz Republic, Tajikistan, Turkmenistan, and Uzbekistan—share a similar disaster risk profile with intense seismic risk and climatic hazards. A 2023 World Bank risk assessment estimates that, on average, earthquakes across the region cause $2 billion in losses per year, while floods result in losses ranging from $1.5 billion to $2.2 billion annually. On average, earthquakes alone affect four million people each year.

Financial resilience in Central Asian countries is insufficient, as available funding does not fully cover post-disaster costs. World Bank analysis highlights a funding gap across the region. For example, in Tajikistan, the gap can exceed $400 million annually and reach up to $1.5 billion for large disasters. In Uzbekistan, this gap may exceed $1 billion each year and rise to $15 billion for major events. With underdeveloped or nearly non-existent insurance markets in Central Asia, such gaps will have to be covered through budget reallocation, borrowing, donor aid, or may remain unfunded.

Objectives

The regional conference hosted in Astana on November 12-13 aims to bring together key stakeholders, policymakers, and the private sector to discuss solutions that Central Asian countries can adopt to improve financial preparedness for rising disaster risks.

This conference will serve as a platform for participants to share experiences, best practices, and innovative approaches in disaster risk financing, exploring strategies that could help the region address escalating disaster costs, accelerate recovery times, and support better rebuilding after disasters.

Participants

Proposed conference participants include:

• Government bodies: Ministries of Finance and Debt Management Offices, Ministries of Disaster Management and Planning.
• Financial regulators: central banks, insurance regulators.
• Private sector: local insurance companies, regional and global reinsurance companies, credit institutions.
• Academia: researchers, universities, and experts in disaster risk financing and related fields.
• International organizations focused on disaster risk finance in the region.