Building Resilience in the Age of Disasters

Abstract: The consequences of climate change and increasing disasters jeopardise the livelihoods and resilience of some of the world’s most vulnerable countries. Strengthened international efforts to mobilise and allocate additional climate and disaster resilience financing are required to address the needs of the countries that have least contributed to climate change and who currently are at the forefront of its implications. Multilateral Development Banks (MDBs) are well-positioned to promote climate and disaster resilience financing, and the internationally agreed political decision to reform the banks to align with the Paris Agreement concluded at COP27 could further incentivise this purpose. The study aims to uncover the advantages of MDBs’ stakeholder engagement as a means to enhance the reform agenda and strengthen climate and disaster resilience in Small Island Developing States (SIDS) and Least Developed Countries (LDCs). The methodology of the study involves 11 expert interviews with representatives of the banks and their stakeholders, and the empirical data is analysed through stakeholder theory. The study finds various advances in MDBs extending their stakeholder engagement activities in the process of achieving the reform objectives and enhancing the provision of climate and disaster financing. It suggests a further dialogue between the banks and their stakeholders can lead to a deeper understanding of each other’s perspectives and thus promote collective action. Moreover, the study finds that increased financial, technical, social, and public policy support from the MDBs, together with adopting a more democratic and equitable model for the banks, may advance climate and disaster resilience in the most affected countries.