Understanding climate and disaster risk finance and insurance solutions in the Asia Pacific

To gain a deeper understanding of the role of the Climate and Disaster Risk Finance and Insurance (CDRFI) in the Asia-Pacific region, WFP undertook a study to explore the challenges and opportunities associated with the use of various macro-level instruments to support government disaster response strategies. This factsheet summarises the key findings and recommendations of the study.

Despite countries’ high vulnerability to weather- and climate-related disasters most disaster response finance across the Asia Pacific region is arranged and provided post-disaster, typically using budget reallocations, emergency borrowing and humanitarian aid.  

There is, however, a wide range of instruments that could potentially be arranged in advance of a shock. WFP is one of the leading UN agencies and a key partner to governments globally, promoting the use of CDRFI to respond before, during and after weather- and climate-related disasters with a focus on getting risk finance out to the people who need it most.