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Flooding is one of the most common, wide-reaching and destructive natural perils, affecting tens of millions of people around the world each year and causing, on average, more than USD 200 billion in damages. The financial management of flood risk presents a significant policy challenge in many countries, requiring careful consideration of the relative effectiveness various tools to manage flood risk, from investments in risk prevention and public awareness, to the use of risk transfer tools to protect against significant post-disaster costs.

This preliminary edition applies the lessons from the OECD’s analysis of disaster risk financing practices and the development of guidance to the specific case of floods. The report provides an overview of the approaches that economies facing various levels of flood risk and economic development have taken to managing the financial impacts of floods.

Documents and links

Final edition of the publication

Conference on the financial management of flood risk, 12-13 May 2016

Financial instruments for managing risks related to climate change

Disaster Risk Financing: A global survey of practices and challenges

Disaster Risk Financing in APEC Economies: Practices and Challenges

G20/OECD Methodological Framework on Disaster Risk Assessment and Risk Financing

Seine Basin, Île-de-France, 2014: Resilience to Major Floods