Quantifying Costs of Drought Risk in Ethiopia : A Technical Note
Ethiopia’s ministry of finance and economic cooperation (MoFEC) has requested that the World Bank and the United Kingdom (UK) Department for International Development (DfID) provide technical assistance to MoFEC to develop a comprehensive disaster...
| Main Authors: | , , , |
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| Format: | Report |
| Language: | English |
| Published: |
World Bank, Washington, DC
2020
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/641881592991406186/Quantifying-Costs-of-Drought-Risk-in-Ethiopia-A-Technical-Note http://hdl.handle.net/10986/34192 |
| Summary: | Ethiopia’s ministry of finance and
economic cooperation (MoFEC) has requested that the World
Bank and the United Kingdom (UK) Department for
International Development (DfID) provide technical
assistance to MoFEC to develop a comprehensive disaster risk
financing framework for Ethiopia, in support of Government
of Ethiopia (GoE’s) interest in continuing to strengthen its
system for delivery of post-disaster aid. MoFEC has
requested that the analysis identify sources of funding for
past humanitarian response and include a forward-looking
analysis using statistical simulation techniques, taking
into account historical changes in population and
vulnerability. This document represents an effort to
quantify the historical needs and expenditures associated
with drought risks, with a view to supporting the dialogue
about ways to strengthen Ethiopia’s existing risk financing
framework by improving the cost-effectiveness of risk
management instruments used, and timeliness of response. The
report is structured as follows: section one provides an
analysis of the historic needs and expenditures associated
with droughts in Ethiopia. Section two provides a
forward-looking statistical analysis of disaster risks,
identifying the annual financial needs associated with
disasters, as well as a probabilistic analysis of the costs
associated with disasters of different frequency and
severity. Section three presents a way to view the financial
gap between the current sources of financing for drought
risks and expected annual losses related to droughts.
Section four concludes. |
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