Litia Cava 
Pacific countries must strengthen their financial preparedness for disasters as climate change drives up the cost of recovery.
Pacific Catastrophe Risk Insurance Company (PCRIC) Chief Executive Officer Aholotu Palu pointed this out and stated that natural disasters are placing increasing pressure on Pacific economies.
Climate-related events, he explained, are estimated to cost the region about five per cent of its GDP, around US$1.1 billion.
He says the scale of these losses underscores the need for faster, more reliable financing options for governments when disasters strike.
PCRIC was established in 2016 after Pacific finance ministers identified the need for a regional mechanism that could provide immediate funding following major disasters.
A decade on, PCRIC Chairman Siosiua Utoikamanu says the organisation has demonstrated that disaster risk financing can deliver results for the Pacific.
Palu says the focus now is expanding the organisation’s reach, improving technical support and developing new financial tools to respond to changing climate risks.
Utoikamanu adds that the opening of PCRIC’s new regional headquarters in Fiji reflects the organisation’s growing role in supporting Pacific-led solutions.
The next decade, according to PCRIC, will require stronger regional cooperation as countries face increasing climate threats.
