Glossary

Risk transfer

When disaster risk is shifted to insurers or capital markets.

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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

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other key terms

Disaster risk management

Policies and actions to reduce disaster risks, manage impacts and strengthen resilience.

Social protection

Policies and programmes designed to reduce and prevent poverty and vulnerability throughout the life cycle.

Official development assistance (ODA)

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

Risk layering

Using different financial instruments for different disaster frequencies.

Development bank

A public financial institution providing loans, grants and expertise to support development goals.

Adaptive social protection

Social protection systems that adjust to shocks, helping vulnerable people prepare, cope and recover over time.