Working paper

Innovative risk finance solutions – Insights for geothermal power development in Kenya and Ethiopia

Geothermal development is on the rise in many regions of the world. However, the high costs of field development, coupled with the high risks associated with resource exploration and drilling, still pose a significant barrier to private sector financing.

Insurance can mitigate the risks to investors and increase flows of private finance to the industry.

A project by Parhelion, a private sector insurance and risk company focused on climate finance, funded by CDKN, aimed to improve the technical capacity of Kenya’s and Ethiopia’s local insurance industries for using geothermal risk mitigation instruments.

Impact of climate change on fisheries and aquaculture in the developing world and opportunities for adaptation

This paper reviews the importance of fisheries and aquaculture, with particular reference to poor people in the developing world, and the likely impact of climate change on these activities and on food security. It highlights some practical measures that can be taken to adapt to the expected effects of climate change.

Climate variability and climate change: implications for chronic poverty

The focus of the paper is on India. It looks at projections of climate change under different climate models and at how these changes will alter India’s vulnerability to the climate. In particular it notes that it is not necessarily those poorest states which are the most vulnerable to future projected changes. The paper then focuses on the current coping strategies for climate variability by the chronically poor and highlights some of the barriers to and opportunities for successful adaptation.

Social impacts of climate change in Bolivia: a municipal level analysis of the effects of recent climate change on life expectancy, consumption, poverty and inequality

This paper analyzes the direct evidence of climate change in Bolivia during the past 60 years, and estimates how these changes have affected life expectancy and consumption levels for each of the 311 municipalities in Bolivia. Contrary to the predictions of most general circulation models, the evidence shows a consistent cooling trend of about 0.2°C per decade over all highland areas, slight and scattered evidence of warming in the lowlands, and no systematic changes in precipitation.

Climate change, disaster, displacement and migration: initial evidence from Africa

Although there is not a mono-causal relation between climate change, disasters, displacement and migration, the existence of a clear link between the phenomena is increasingly recognized. This paper presents some initial empirical findings regarding the links between climate change, disasters, displacement and migration, as well as protection challenges and responses in this context, focusing on two African countries: Somalia and Burundi.

Climate change, agriculture and poverty

Although much has been written about climate change and poverty as distinct and complex problems, the link between them has received little attention. Understanding this link is vital for the formulation of effective policy responses to climate change. This paper focuses on agriculture as a primary means by which the impacts of climate change are transmitted to the poor, and as a sector at the forefront of climate change mitigation efforts in developing countries.

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