Economic and fiscal impacts of disasters in the Pacific

This publication seeks to support governments in the Pacific in planning policies and allocating resources to reduce the economic impacts of disaster events. It describes the potential direct and secondary effects of natural disasters on Pacific developing member countries, and explains how climate change may affect risk profiles. It also provides an overview of existing resources that stakeholders in the Pacific can use to assess risk and plan for disaster events. The Tool Kit for Financial Resilience (pages 16–21) provides an overview of key instruments that policy makers can use to transfer risk and reduce the economic and fiscal impacts of disasters.

The Pacific developing member countries (DMCs) of the Asian Development Bank (ADB) comprise geographically dispersed island nations, spread across a vast ocean area. Pacific DMCs typically have small economies, and narrow resource bases. These factors compound challenges associated with restoring economic and national development activities following disaster events. Sound policy and resource management can significantly reduce the impacts of disasters on people and economies across the region.