26
2017 in Nha Trang and the APEC Senior Finance
Officials’ Meeting in May 2017 in Ninh Binh).
At the seminar on Disaster risk financing and
insurance (February 2017, Nha Trang), there
were 80 delegates who are experts, researchers,
policy makers from the APEC member economies
(Peru, New Zealand, Japan, Philippines, etc.)
and international organizations (WB, OECD),
Vietnamese representatives of the Ministry of
Finance, the Ministry of Agriculture and Rural
Development, the Central steering committee
for natural disaster prevention and control,
the Department of Finance of Da Nang and
representatives of insurance companies such as
Swiss Re, Bao Viet, Bao Minh and so on. The
seminar confirmed the importance of the disaster
risk financing and insurance initiatives and the
necessity to quantify and assess the fiscal risks
relevant to natural disasters. It also highlighted
that in addition to the other financial resources
such as the state budget and contingents, insurance
is an effective tool which eases the burden on
the government budget and tranfers risks to the
market. In conclusion, the seminar emphasized
the fact that it is necessary to establish a full and
comprehensive database system. It is particularly
important for public financial assest management
due to its important role in the APEC member
economies. Furthermore, an Action Plan for
implementing the Disaster risk financing and
insurance inititive in 2017 was proposed.
At the APEC Finance and Central Bank
Deputies Meeting (held in February, 2017 in Nha
Trang), APEC member economies focused on
discussing a number of issues such as developing
RECOMMENDATIONS FORDISASTER RISK FINANCE
AND INSURANCE TO APECMEMBER ECONOMIES
DANG NGUYEN MANH, MA.*
Based on the achievements and progress of implementing the Disaster Risk Financing and Insurance
Initiative in 2017 and reviewing the experiences of the APEC member economies, a number of solutions
for disaster risk financing and insurance at the meetings, conferences and the seminars in process of the
APEC Finance Ministers’ Meeting were recommended.
Keywords: Developing financial, APEC, insurance initiative
Received: November 1
st
, 2017
Revised: November 2
nd
, 2017
Accepted for publication: December 5
th
, 2017
T
he Asia-Pacific region is one of areas most
likely to be affected by natural disasters; in
which, a number of countries often suffer
from earthquakes, hurricanes, floods leading to
major damage of national property.
The topic ondevelopingfinancial and insurance
solutions in response to natural disaster risks and
compensating natural disaster loss was heatedly
discussed at the APEC Finance Minister’s
Meetings of previous years. The disaster risk
financing and insurance initiative (DRFI) was
established on the basis of the requirements and
needs of proper financial policies and strategies to
ensure a more active and stable risk management.
The APEC Working Group also established on
disaster risk financing and insurance (including
9 APEC member economies and 4 international
organizations).
Progress and activities implementing
the disaster risk financing and insurance
To implement the disaster risk financing
and insurance initiative within the support of
international organizations (World Bank (WB),
Organization for Economic Co-operation and
Development (OECD),etc.), there were a number
of seminars chaired by the Ministry of Finance of
Vietnam with the participation of APEC member
economies including a seminar on Disaster risk
financing and insurance policies in February 2017
in Nha Trang and two meetings (theAPEC Finance
and Central Bank Deputies Meeting, in February
* Email:
