Disasters present a broad range of social, economic, fiscal, and environmental impacts, with potentially long-lasting, multi-generational effects. The economic costs of disasters are also likely to increase due to climate change and environmental degradation, population growth, and increase urbanization. In the absence of proper mechanisms to financing disasters, resources meant for long-term development are often diverted into disaster response. As such, the government of Malawi through the Ministry of Finance, Economic Planning and Development has developed a Disaster Risk Financing Strategy and Implementation Plan for 2019 to 2024.
This strategy highlights financial options that will be followed in the next five years to reduce fiscal vulnerability arising from disasters by amongst others ensuring that both ex-ante and ex-post instruments are being implemented and embracing the principle of timeliness of funds, layering of disaster instruments, effective disbursement and using of accurate data.
Read the full document below