Increasing the resilience of individuals, communities and societies in the face of extreme weather events through innovative financial solutions
The Climate Risk Finance Solutions team is dedicated to increasing resilience and improving the financial preparedness of the poorest and most marginalized individuals to cope with climate risks. To this end, we develop and facilitate the introduction and scaling up of sustainable and inclusive climate disaster risk finance and insurance (CDRFI) solutions, for example, parametric weather (or index) insurance products.
Evidence is at the heart of our approach. We link evidence with implementation to better understand the need for and impact of CDRFI solutions. Moreover, we strive to build and share evidence and expertise on available, affordable, and appropriate CDRFI solutions for the most vulnerable individuals, communities, and societies. Through knowledge-sharing and capacity-building initiatives, we empower stakeholders to adopt and implement these solutions effectively.
In addition, we actively engage in establishing and nurturing partnerships with public and private stakeholders, practitioners, and Academic partners. These partnerships are crucial in creating enabling environments conducive to the success and scalability of CDRFI initiatives. By fostering collaboration and collective action, we aim to maximize the impact of our efforts and create sustainable change at both local and global levels.
Current research questions and areas of work include
- Impact of CDRFI Solutions - What is the need for CDRFI solutions amongst the most vulnerable and low-income communities? Are they having the anticipated effect on building resilience and financial preparedness against climate risks?
- Inclusive Design of CDRFI Solutions - How can CDRFI solutions be designed in a way that they are available, affordable for, and address the needs of the most vulnerable communities dealing with the effects of climate-induced disasters? What are innovative and novel ways to make sure these solutions reach the most vulnerable and are accessible to them?
- Scaling up inclusive CDRFI solutions to close the protection gap - What does it take to scale up the implementation and offer of CDRFI solutions? What role can different stakeholders in the ecosystem play? What are the lessons and best practices from implementation?
