Author: Eugene GurenkoPublisher:
ISBN:
Category : Debt
Languages : en
Pages : 32
Book Description
Combining Insurance, Contingent Debt, and Self-retention in an Optimal Corporate Risk Financing Strategy
Author: Eugene GurenkoEnabling Productive But Asset-poor Farmers to Succeed
Author: Eugene GurenkoPublisher: World Bank Publications
ISBN:
Category : Agricultural credit
Languages : en
Pages : 22
Book Description
Sovereign Natural Disaster Insurance for Developing Countries: A Paradigm Shift in Catastrophe Risk Financing
Author: Francis GhesquierePublisher: World Bank Publications
ISBN:
Category : Banks and Banking Reform
Languages : en
Pages : 26
Book Description
Abstract: Economic theory suggests that countries should ignore uncertainty for public investment and behave as if indifferent to risk because they can pool risks to a much greater extent than private investors can. This paper discusses the general economic theory in the case of developing countries. The analysis identifies several cases where the government's risk-neutral assumption does not hold, thus making rational the use of ex ante risk financing instruments, including sovereign insurance. The paper discusses the optimal level of sovereign insurance. It argues that, because sovereign insurance is usually more expensive than post-disaster financing, it should mainly cover immediate needs, while long-term expenditures should be financed through post-disaster financing (including ex post borrowing and tax increases). In other words, sovereign insurance should not aim at financing the long-term resource gap, but only the short-term liquidity need.
The Macro Financing of Natural Hazards in Developing Countries
Author: Olivier MahulPublisher: World Bank Publications
ISBN:
Category :
Languages : en
Pages : 26
Book Description
The authors propose a financial model to address the design of efficient risk financing strategies against natural disasters at the country level. It is simple enough to shed analytical light on some of the key issues but flexible and realistic enough to provide some quantitative guidance on the ex ante financing of catastrophic losses. The risk financing problem is decomposed into two steps. First, the resource gap, defined as the difference between losses and available ex-post resources (such as post-disaster aid), is identified. It determines the losses to be financed by ex ante financial instruments (reserves, catastrophe insurance, and contingent debt). Second, the cost-minimizing financial arrangements are derived from the marginal costs of the financial instruments. The model is solved through a series of graphical analyses that make this complex financial problem easier to apprehend. This model captures and explains the main impacts of financial parameters (such as insurance premium, cost of capital) on efficient risk financing structures.
Catastrophe Risk Financing in Developing Countries
Author: J. David CumminsPublisher: World Bank Publications
ISBN: 0821377361
Category : Political Science
Languages : en
Pages : 299
Book Description
'Catastrophe Risk Financing in Developing Countries' provides a detailed analysis of the imperfections and inefficiencies that impede the emergence of competitive catastrophe risk markets in developing countries. The book demonstrates how donors and international financial institutions can assist governments in middle- and low-income countries in promoting effective and affordable catastrophe risk financing solutions. The authors present guiding principles on how and when governments, with assistance from donors and international financial institutions, should intervene in catastrophe insurance markets. They also identify key activities to be undertaken by donors and institutions that would allow middle- and low-income countries to develop competitive and cost-effective catastrophe risk financing strategies at both the macro (government) and micro (household) levels. These principles and activities are expected to inform good practices and ensure desirable results in catastrophe insurance projects. 'Catastrophe Risk Financing in Developing Countries' offers valuable advice and guidelines to policy makers and insurance practitioners involved in the development of catastrophe insurance programs in developing countries.
Assessing the Enabling Environment for Disaster Risk Financing
Author: Asian Development BankPublisher: Asian Development Bank
ISBN: 9292622668
Category : Business & Economics
Languages : en
Pages : 93
Book Description
Disasters damage and destroy infrastructure and disrupt economic activities and services, potentially delaying long-term development and hampering efforts to reduce poverty in the region. Countries require a strong enabling environment for disaster risk financing to ensure the timely availability of post-disaster funding. This report presents a comprehensive diagnostics tool kit that countries can apply to assess the financial management of disaster risk. The framework examines the state of the enabling environment and provides a basis to enhance financial resilience with insurance and other risk transfer instruments. It incorporates lessons from the country diagnostics assessments for Fiji, Nepal, Pakistan, and Sri Lanka that made use of the tool kit and methodology.
On the Use of Transparent Formulae to Allocate Federal Education Transfers
Author: Gladys Lopez AcevedoPublisher:
ISBN:
Category : Central-local government relations
Languages : en
Pages : 20
Book Description
The Macro Financing of Natural Hazards in Developing Countries
Author: Olivier MahulPublisher:
ISBN:
Category : Disaster relief
Languages : en
Pages : 32
Book Description
The authors propose a financial model to address the design of efficient risk financing strategies against natural disasters at the country level. It is simple enough to shed analytical light on some of the key issues but flexible and realistic enough to provide some quantitative guidance on the ex ante financing of catastrophic losses. The risk financing problem is decomposed into two steps. First, the resource gap, defined as the difference between losses and available ex-post resources (such as post-disaster aid), is identified. It determines the losses to be financed by ex ante financial instruments (reserves, catastrophe insurance, and contingent debt). Second, the cost-minimizing financial arrangements are derived from the marginal costs of the financial instruments. The model is solved through a series of graphical analyses that make this complex financial problem easier to apprehend. This model captures and explains the main impacts of financial parameters (such as insurance premium, cost of capital) on efficient risk financing structures.
Equitable Provision of Long-term Public Goods
Author: Franck LecocqPublisher:
ISBN:
Category : Equilibrium (Economics)
Languages : en
Pages : 46
Book Description
Temporary Sequestration Credits
Author: Kenneth M. ChomitzPublisher:
ISBN:
Category : Air
Languages : en
Pages : 20
Book Description