REVIEW
of
FINANCE -
Jan. 2018
27
relevant to the legal framework on disaster risk
financing and insurance, financial resources and
technical solutions for disaster risk management.
Based on the discussions at the Meetings and
results of the APEC Working Group on Disaster
risk financing and insurance, it highlighted a
number of challenges in financial risk assessment
which some APEC member economis have been
facing such as a lack of synchronization of the
data update cycle, capacity and methodology
for data analysis, the assessment framework, etc.
Consequently, it needs the technical supports,
the portal providing knowledge on financing
in response to disaster risks, a set of standards
for data collection and management in order to
assess financial risks relevant to natural disasters.
Besides, experiences from different economies
suggested that it is important to diversify
financial resources in response to disaster risks,
including the state budget, insurance, state budget
allocation, financial funds and other resources.
In addtion to the seminar and Meetings
above, the Ministry of Finance in collaboration
with the WB made a survey on public asset
management related to disaster risks in the
APEC member economies. The survey aimed
to improve experience and knowledge sharing
among members on the policies and pactices
relevant to public asset management in order
to enhance financial resilience to natuaral
disaster risks. As a result, we received a variaty
of useful information and feedback from the
survey of 11 member economies including:
Vietnam, Philippines, New Zealand, the United
States, Australia, Taiwan, Mexico, Peru, Japan,
Indonesia and Canada.
During the implementation of activities
national strategies on disaster risk financing and
sharing experiences ondevelopingpublic financial
asset and disaster risk insurance database. The
Meeting affirmed that it is necessary to develop a
comprehensive strategy on disaster risk financing
in association with regional and national solutions
in order to timely and effectively mobilize
financial resources in response to natural disaster
risks when it occurs; in which, the development of
public financial asset database is the foundation
of the strategy. On the sidelines of the Meeting
in February 2017, the APEC Working Group on
Disaster risk financing and insurance decided that
Philippines is the chair of the Working Group for
the year 2017-2018. Based on the Action Plan for
implementing DRFI Initiative in 2017 concluded
at the Finance and Central Bank Deputies
Meeting (February, 2017), a discussion session
on DRFI was held at the APEC Senior Finance
Officials’ Meeting (SFOM) in May, 2017. The
participants from the APEC member economies
(Vietnam, New Zealand and Mexico) shared
their experiences on disaster risk financing and
insurance, specifically these issues relevant to the
legal framework, policies and the implementation
of risk management. The meeting also focused
on these topics: (i) updating and evaluating the
results of APEC cooperative activities related
to disaster risk financing and insurance such as
results of the APEC Working Group on Disaster
Risk Financing and Insurance, a report on
researching and supporting activities of World
Bank, a report on the collaborative research
activities of OECD; (ii) discussing the issues
The technical supports, the portal providing
knowledge on financing in response to
disaster risks, a set of standards for data
collection and management in order to assess
financial risks are relevant to natural disasters.
Besides, experiences fromdifferent economies
suggested that it is important to diversify
financial resources in response to disaster
risks, including the state budget, insurance,
state budget allocation, financial funds and
other resources.
TABLE 1: TOP NATURAL DISASTERS IN VIETNAM FOR THE
PERIOD 1900 TO 2014 SORTED BY NUMBERS OF KILLED
Disaster
Date
No Killed
Storm
Sep-64
7000
Storm 2/Nov/1997
3682
Storm
26/Sep/1953
1000
Storm 23/Oct/1985
798
Storm
25/May/1989
751
¡Flood 25/Oct/1999
622
Epidemic
1/Jan/1964
598
Storm
24/Jul/1996
585
Storm
Sep-83
578
Flood
Jul-00
460
Source:
