Remittances and natural disasters: ex-post response and contribution to ex-ante preparedness
Policy research working paper 4972:
This study makes an evaluation of the relationship between remittances and natural disasters. It relies on macro- and micro-economic evidence to suggest a positive role of remittances in preparing households against natural disasters and in coping with the loss afterwards.
The paper examines three inter-related questions using survey data from several developing countries (Bangladesh, Burkina Faso, Ethiopia and Ghana): (1) how do remittances respond ex-post to natural disasters; (2) do remittances help recipient households to maintain consumption expenditure in the aftermath of disasters; and (3) are remittance-receiving households ex-ante better prepared for rapid-onset disasters such as earthquakes and floods.