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Dealing with Disasters: The Global Facility for Disaster Reduction

and Recovery

Dr. Josef LeitmannDisaster Management Coordinator

World Bank/Indonesia

ASEAN REGIONAL FORUMASEAN REGIONAL FORUM6 December 2008, Banda Aceh, INDONESIA6 December 2008, Banda Aceh, INDONESIA

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Evolution of GFDRR Overview of GFDRR’s operational structure Financing disaster recovery Q & A

Outline of Presentation

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Evolution of GFDRR

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Disaster Risk Reduction

Disaster are increasing– Main driver is growing social, economic and environmental

vulnerability– Disasters impact economic growth– Average GDP loss in disasters: 2-15% (WB case studies)

Poverty link– Vulnerability to disasters is at the core of the fight against poverty,

as poor are consistently most affected– Poverty outcomes not met in disaster-prone countries (WB case

studies)

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Disasters and Climate Change

Climate change effects occurrence of natural hazards and vulnerability to disasters

Early impacts of climate change felt in least developed countries through increase in extreme climate events

Global agenda driven by climate change while national concerns grounded in disaster events and climate variability

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Strategic Framework for risk reduction and sustainable recovery

• Drivers of Bank’s Strategic Framework- Analytical studies demonstrate evidence of disaster-development-

environment nexus- Lessons of experiences (more than 605 projects with $32 billion in

disaster recovery and mitigation)- IEG evaluation of natural disasters

assistance (1984-2003)- Hyogo Framework for Action (2005-15)- EC-WB-UN Joint Declaration on Post-Crisis Assessment and

Recovery Planning (Sept 2008)- UN-WB Partnership Framework for Crisis and Post-Crisis Situations

(Oct 2008)

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Client-Centric Framework

Speedy, flexible and innovative financing – For disaster recovery and risk mitigation– New Operations Policy (Board approval in March 07)– Longer term approach to vulnerability reduction

Technical assistance for client countries

Serve borrowers’ needsForging stronger partnerships

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Client-Centric Framework

Speedy, flexible and innovative financing

Technical assistance for client countries– To identify risks, and to develop and implement disaster

risk reduction strategies– Upstream attention through CASs and PRSPs– Focus on Current and Emerging Risks

Serve borrowers’ needsForging stronger partnerships

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Client-Centric framework

Speedy, flexible and innovative financing

Technical assistance for client countriesServe borrowers’ needs

– Benefit from Bank’s expertise in disaster needs assessment and reconstruction planning

– Catastrophe Risk Financing (e.g. CAT DDO ) – Quick Reaction Team for Natural Hazards

Forging stronger partnerships

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Client-centric framework

Speedy, flexible and innovative financing

Technical assistance for client countriesServe borrowers’ needs

Forging stronger partnerships - Support global and regional functions of the ISDR

system to make Hyogo Framework a core development agenda

- Closer cooperation with donors, UN, IFRC and CSOs

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Launched in September 2006 DFID, SDC, Sweden, Australia, UNISDR and WB

are founding partners Make DRR central to global fight against poverty Unique financing mechanism to meet this global

change at all levels Opportunities to identify climate change impacts

and to develop adaptation strategies

Global Facility for Disaster Reduction and Recovery (GFDRR) established to mainstream disaster risk reduction and climate change adaptation in country development strategies

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GFDRR’s operational structure

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3 Tracks of GFDRR

Integrated package of support

– Support ISDR system to develop a coherent and coordinated approach to risk reduction thru partnerships and increased cooperation (TRACK I)

– Assist natural disaster hotspot countries to mainstream disaster risks in development strategies (TRACK II)

– Speedy and predictable financing for disaster recovery in low income countries (TRACK III)

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Update on GFDRR Tracks

Track I– Supports Global and Regional Cooperation in DRR– Development of tools and methodologies for DRR– Fully developed and operational; $ 5 million in ’07 and

additional $ 5 million in ’08– WB is the donor– Managed by UN ISDR Sec.

Track IITrack III (SRFF)

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Update on GFDRR Tracks

Track ITrack II

– Fund for Mainstreaming DRR and CCA in PRSPs Fully developed and operational; $ 65 million in Technical Assistance contributed by donors; Programs in 51 hotspot countries planned for FY 07-11

– Fund for South-South Cooperation in DRR and CCA Sharing expertise and resources Fund established Work program for inter-country partnerships

Track III (SRFF)

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Update on GFDRR Tracks

Track ITrack II

Track III (SRFF)– Standby fund for bridging relief and development– A global recovery fund- Standby Recovery Financing

Facility– Fund operational

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Financing Disaster Recovery

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SRFF – Standby Recovery Financing Facility (Track III of GFDRR)

The Global Need– There is no financing window that links the humanitarian

phase to the long-term reconstruction phase

The Global response– A global disaster recovery fund for low–income countries that

is: Quick, Predictable, Effective and Reduces Future Risks

Management– A partnership between World Bank, UN, Donors and

Recipient Countries

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SRFF Operations

1. Technical Assistance Fund

Global Disaster Recovery Protocols and Coordination

Tool, Knowledge and Capacity Development

Country level support for disaster recovery planning, this includes deployment of a Standby Recovery Team

2. Callable Fund

Fund in readiness that is activated when disaster strikes

Finances post-disaster recovery and risk reduction projects

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SRFF Applications

1. Technical Assistance Fund

Finances activities that strengthen preparedness and contingency planning

2. Callable Fund

Is activated in case of a major disaster

Supports post disaster recovery and financing plans

Finances disaster recovery and risk reduction projects

Applications (both funds) and Applicants

Through project proposals using SRFF Application Guidelines and Format (www.gfdrr.org)

Governments, World Bank, IFI, Regional Organizations, UN

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Examples of Recovery Assistance

Supporting damage and loss assessments following cyclones (Myanmar, Madagascar, Bangladesh, Haiti), floods (Ghana, Bolivia, India, Nepal, Lao PDR), and the earthquake in China

Deploying experts and specialists to support the ASEAN field office in Yangon after Cyclone Nargis

Preparing “good practice” notes on damage and loss assessment, recovery and earthquake reconstruction to help government of China develop its recovery plan

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Thank you/Terima kasih

www.gfdrr.org