Innovations in disaster and climate risk financing for Africa

One of the most innovative financing initiatives to come out of the African continent in recent times in terms of development insurance is the African Risk Capacity. It is seen as a pioneer in terms of risk pooling which has emerged in the context of loss and damage. Through this mechanism, ARC Development Insurance plays a role in helping countries better manage their risk. However, insurance is not a silver bullet to cover all risks, which begs the question - what offerings must this be paired with to meet the needs of African countries. To this end, the value proposition of the ARC mechanism will be highlighted indicating its various offerings to African governments.