1 Abhilash Panda, Regional Programme Officer, UNISDR Tracking DRR Investments from National Income accounts First Meeting in 2011 ISDR Asia Partnership (IAP), Jakarta, Indonesia

2 Background The 2009 GP chair summary asked to invest at least 2% of GDP on DRR. In AMC declaration asked to increase GDP investment but also allocate 10% from humanitarian funds. Why 2% ( why not x%?). What is the totality we are asking the govts to invest in? How are governments investing now?

3 Challenges Do we know how much is required? What is DRR allocation? How do governments allocate? what constitutes effective national and local investments ? Lack or inadequate data on DRR investments mainly at sub-national, provincial and sectoral levels. Inconsistency in definitions to track investments and expenditure on DRR Tracking ‘implicit’ investments in DRR

4 Types 1.National Budget (Depending on Size of GDP) – Sectoral allocation for Social, Infrastructure, Productive and Cross-cutting 2.Official Development Assistance (ODA) South-South economic assistance –from Better-off developing countries (China – biggest aid donor to Cambodia; India to Bhutan…) 3.Workers’ remittances – from labour migrants ($169 billion in 2008) 4.Private Capital Inflows – FDI - $389 billion in 2008, Insurance.. 5.Development Aid, Innovative Source of Financing..UNDAF, Investments for Development Investments for DRR I.‘Stand-alone’ Sectoral DRR investments II.Vulnerability-reducing investments which may not be directly lebeled as DRR investments (Closely linked to investments in MDG sectors) III.Mainstreaming DRR in development

5 Bilateral investments

6 Multilateral investments Multilateral investment from : 138, 791, 489 USD (EC, UNDP, IFAD, ASDB)

7 Indicators - Aiddata Disaster prevention and preparedness, activity unspecified (Will capture any generic disaster related aid which can not be classified into other categories. ) Institutional Consensus, awareness and Capacity Building (Will also include training provided and advocacy, technical courses, awareness campaigns ) Disaster risk assessment & monitoring Knowledge, Innovation and Education (Including research, training in schools, translating research into practice, knowledge sharing exercises) Disaster Risk Financing (Catastrophe risk financing, disaster insurance related aid) Strengthening Early Warning Systems (aid for strengthening early warning systems, national hydro meteorological systems etc. ) Protecting Critical Infrastructure (aid for strengthening schools, hospitals and public buildings) Response preparedness and sustainable recovery Macroeconomic Analysis (aid provided for economic analysis and research )

8 Is there a specific allocation of budget for DRR in the national budget?

9 Pilots Pilot : Indonesia & Philippines Period: 01 May – 31 July Focal points: NEDA ( Philippines), BAPPENAS (Indonesia) Outcomes will be shared in the 2 nd IAP 2011 (Will include the outcomes from the High-level plenary organized at the GP)

10 What the pilots will do - A. Classify, measure and account the current investments: - Document existing financial mechanisms at the national, local and community levels, for the following: - allocating & tracking investments on DRR with regard to stand-alone (explicit) DRR investments ( for example - early warning, preparedness, risk assessments etc) - mainstreamed (implicit/embedded) investment on risk reducing measures imbedded in infrastructure as well as investment measures related to development sectors such as transport, health, education and agriculture - Identify lessons learnt/good practice regarding what constitutes effective financing of disaster risk reduction at national– – current status and gaps in knowedge.

11 B. Recommend and develop for future: -Propose indicators adaptable to Planning and Finance to ensure effective DRR investments at national level - Recommend a framework for allocating & tracking both the types of investments (stand alone & embedded) What the pilots will do -

12 Longer term outcome: Assist the governments in allocating/defining both the stand alone and implicit investments Assist the governments in tracking reporting Assist the Bilateral & Multilaterals to know what is being invested (prioritize) COULD (possibly) help indicate the total requirement Include in the MDG achievement/reporting process