Glossary

Pre-arranged financing

Financing that has been approved in advance of a crisis and that is guaranteed to be released to a specific implementer when a specific pre-identified trigger condition is met. The trigger may be based on data or models related to impact, forecasts, or projections of need, or a declaration of emergency (or similar) by the specified respondent. The funding may be used for anticipatory action or in response to a crisis, either linked to a clear plan for a very specific purpose or general budget support (Centre for Disaster Protection).

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This is the third year that the Centre for Disaster Protection has published its flagship report, and this year it goes further than ever before.

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Analysing the level of effort of international development donors to support a shift towards arranging financing for disasters, before shocks happen.

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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.

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This Disaster Risk Diagnostic supports The Gambia’s efforts to strengthen disaster risk financing and recommends ways to build a clearer risk profile.

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This data-led report assesses the state of pre-arranged financing supported with international development financing in low-and middle-income countries.

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This report synthesises research exploring the feasibility of producing quantitative estimates of the costs of crisis protection across a variety of geographies and crisis types.

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This study analysed international financial flows to nine countries for the 18 months after recent crises to understand funding timelines and other features.

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We explore the key issues in developing a methodology for calculating pre-arranged funding.

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This paper examines the evidence on how to prepare better for disasters.

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This guidance note sets out some questions to help ensure that DRF is most directed to those who are least able to withstand shocks.

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other key terms

Official development assistance (ODA)

Public aid supporting development and welfare in eligible countries, usually on concessional terms.

Fragility

High exposure to risk combined with weak capacity to cope, often leading to crisis.

Crisis

A situation where severe needs overwhelm local and national capacity to respond effectively.

Vulnerability

Conditions that increase how severely people or communities are affected by hazards.

Covariate shocks

Shocks affecting many households at once where losses are shared across the same community.

Climate resilient debt clause or 'debt pause clause'

A provision in sovereign debt contracts that enables the borrower to temporarily stop repaying debt service for a pre-agreed period when a predefined event occurs.