PUBLICATIONS CENTRE
CRISIS PROTECTION 2.0: FUTURE-PROOFING OUR WORLD
The High-Level Panel on Closing the Crisis Protection Gap formed in January 2024, comprising 20 expert members from across sectors and geographies, united by the conviction that national and international crisis, climate and development financing architectures are at a critical juncture. This report delivers the High-Level Panel on Closing the Crisis Protection Gap’s call to action - that now is the time to comprehensively rethink how the world financially prepares itself for and responds to crises. The Crisis Protection 2.0 report outlines ten strategic recommendations and an ambitious roadmap for the next decade.
Emerging lessons on pre-agreed financing for shock-responsive social protection in Mozambique
This study, conducted by the Centre for Disaster Protection in collaboration with the Social Protection Technical Assistance, Advice, and Resources (STAAR) Facility, investigates the potential opportunities, benefits and risks when linking disaster risk financing (DRF) and shock-responsive social protection (SRSP) in Malawi. The report contributes to a broader study that includes research across three country case studies (Jamaica, Malawi, and Mozambique) to consider the opportunities, potential risks, and benefits of channelling disaster risk financing instruments through national social protection systems. The focus of this report is Mozambique.
Emerging lessons on pre-agreed financing for shock-responsive social protection in Malawi
This study, conducted by the Centre for Disaster Protection in collaboration with the Social Protection Technical Assistance, Advice, and Resources (STAAR) Facility, investigates the potential opportunities, benefits and risks when linking disaster risk financing (DRF) and shock-responsive social protection (SRSP) in Malawi. The report contributes to a broader study that includes research across three country case studies (Jamaica, Malawi, and Mozambique) to consider the opportunities, potential risks, and benefits of channelling disaster risk financing instruments through national social protection systems. The focus of this report is Malawi.
Emerging lessons on pre-agreed financing for shock-responsive social protection in Jamaica
This study, conducted by the Centre for Disaster Protection (hereafter, the Centre) in collaboration with the Social Protection Technical Assistance, Advice, and Resources (STAAR) Facility, investigates the potential opportunities, benefits and risks when linking disaster risk financing (DRF) and shock-responsive social protection (SRSP). The report contributes to a broader study that includes research across three country case studies (Jamaica, Malawi, and Mozambique) to consider the opportunities, potential risks, and benefits of channelling disaster risk financing instruments through national social protection systems. The focus of this report is Jamaica.
Making Social Protection Shock-Responsive through Disaster Risk Finance Mechanisms: Synthesis Report
This study, conducted in collaboration with the Social Protection Technical Assistance, Advice, and Resources (STAAR) Facility, addresses gaps in evidence on the potential to integrate disaster risk finance (DRF) and social protection systems. The research includes three case studies – Jamaica, Malawi and Mozambique. The study puts forward six lessons and 12 recommendations for donors interested in supporting this agenda.
COST MULTIPLES FOR PRE-ARRANGED FINANCING: A COMPARISON OF INSTRUMENTS FROM INTERNATIONAL FINANCIAL INSTITUTIONS
With growing fiscal constraints, governments and development partners face increasing pressure to maximise the impact of every dollar spent. To address this, the UK Government Actuary’s Department and the Centre for Disaster Protection developed an analytical framework to evaluate the cost-effectiveness of various instruments offered by international financial institutions. This working paper presents a framework that compares contingent loans, grants from multilateral development banks, catastrophe bonds, and insurance provided through regional risk pools. The analysis reveals that while some instruments are more cost-effective for frequent events, others perform better for less frequent, high-impact shocks.
DEMYSTIFYING PRE-ARRANGED FINANCING FOR GOVERNMENTS: A STOCKTAKE OF FINANCIAL INSTRUMENTS FROM INTERNATIONAL FINANCIAL INSTITUTIONS
As the toolkit for pre-arranged financing expands, it is becoming increasingly challenging for governments to determine which instrument, or combination of instruments, best meets their needs. There is no silver bullet or single ‘best’ PAF instrument. To help governments and international partners better prepare for disasters, this report offers an in-depth assessment of pre-arranged financing tools using seven key criteria for ensuring pre-arranged financing reduces the human and financial costs of disasters.
THE STATE OF PRE-ARRANGED FINANCING FOR DISASTERS 2024
The State of Pre-arranged Financing for Disasters 2024 is a unique source of data and analysis on the level of effort of international development donors to support a shift towards arranging financing for disasters, before shocks happen. In its second year, the Centre’s annual analysis of trends and patterns in international development financing for pre-arranged financing for disasters also presents the latest available data on coverage and payouts provided by these instruments.
RETHINKING PREMIUM SUPPORT: ENHANCING THE IMPACT AND SUSTAINABILITY OF CLIMATE RISK INSURANCE
This insight paper aims to support policymakers and practitioners as they seek to scale up financial protection against climate-related shocks through sovereign insurance solutions. It explores the complexities of international premium support and identifies core problems with current approaches to the allocation and design of premium subsidies. It proposes some basic but vital shifts needed in the way premium support is designed, allocated and provided to create a more inclusive, transparent and sustainable approach.
METHODOLOGY FOR CALCULATING PRE-ARRANGED ODA FUNDING
We explore the key issues in developing a methodology for calculating pre-arranged funding, including what sort of funding would ‘count’ as pre-arranged, and starts to unpack the challenges of calculating this. This note supports the dialogue on this issue, and as a contribution to donors and IFIs who are considering how best to calculate pre-arranged funding.
THE FUTURE OF CRISIS FINANCING: A CALL TO ACTION
The Future of Crisis Financing: A Call to Action sets out a new vision for international crisis financing, based on planned approaches and appropriate financing packages and instruments.
MAPPING FINANCIAL FLOWS FOR DISASTERS
This paper aims to identify available data and methodologies, explore whether these could support a global database to track disaster-related financial flows, and map financial flows to three events in order to outline the scope and limitations of available information: Typhoon Haiyan in the Philippines; the 2015/2016 El Niño-induced drought in Malawi; and Hurricane Maria in Dominica.
BEYOND BANKING: CRISIS RISK FINANCE AND DEVELOPMENT INSURANCE IN IDA19
This paper charts the evolution of the World Bank’s approach to crisis risk financing. It acknowledges significant progress in recent years, but identifies a number of actions that could be taken to accelerate the proposed ‘pivot to prevention and preparedness’.
FINANCING EXPLICIT CONTINGENT LIABILITIES THROUGH IDA
This paper proposes an innovative approach to financing contingent liabilities using IDA to purchase a contingent loan with hard triggers, on concessionary IDA terms. The payout is used to buy down the cost of a commercial loan (such as IDA’s Scale-Up Facility) to concessionary IDA terms.
ENSURING IMPACT: THE ROLE OF CSOS IN STRENGTHENING WORLD BANK DISASTER RISK FINANCING
Drawing on examples from around the world, this paper argues that civil society organisations play a vital role in ensuring that crisis financing approaches are designed and delivered effectively. It concludes that in IDA19, CSOs should be more actively engaged in its crisis financing work.
MANAGING THE FINANCIAL COST OF DISASTERS
Lessons for IDA from the UK Government’s approach to explicit contingent liabilities. This paper draws on learning from the UK’s Contingent Liability Approval Framework to consider how IDA could better support the systematic identification and management of contingent disaster liabilities for its client countries.