Private Enterprise and Financial Markets > Environment > Disaster Risk Management
From Disaster Response to Prevention: Companion Paper to the Disaster Risk Management Policy
By Kari Keipi, Niels Holm-Nielsen, Stuart Miller (03/07, ENV-150, En)
Latin America and the Caribbean are experiencing two trends that should make disaster risk management an important concern for development planners and governments in the region. First, the number and severity of natural hazard are rising. Second, the vulnerability to these hazards is increasing, mainly due to unplanned urbanization, demographic growth in risky areas and insufficient environmental management. Consequently disaster losses have risen much faster than average economic growth over the last two decades. Some countries have paid attention to this situation and are already planning actions in order not to place their development options at risk. Many others have yet to take note of it. Disaster risk must be managed proactively to reduce vulnerability and prepare for reconstruction, as well as to bridge the gap between losses and available funds for post-disaster reconstruction.
Currently, disaster risk management in the region relies largely on an ex post strategy that is based on the expectation of external assistance. There are some exceptions, but for the most part prevention to reduce risk and preparation for potential disaster losses have been inefficient.
Until recently, IDB activities have also consisted chiefly of financing after a disaster. While ex ante mechanisms exist and, in some cases, have been used quite effectively, on the whole disaster risk management has been incorporated only partially into the Bank's dialogue with its borrowing member countries and the programming cycle. As a result, opportunities to reduce risk and to protect the effectiveness of the Bank's development financing have been lost.
The aim of the Policy on Disaster Risk Management favorably reviewed by the Board of Execution Directors of the IDB on February 28, 2007 is to provide clear directives for the Bank to ensure that its assistance supports proactive disaster risk management. It represents the Bank's continued commitment to protect and help generate economic and social development in the region.
This paper provides background and context for the new policy. It underscores the need for reducing vulnerability in Latin American and the Caribbean and establishes the merits of a shift to proactive disaster risk management embodied in the policy.
Last updated: 06/12/07
