The Philippines is pushing to make member-economies of the Asia-Pacific Economic Cooperation (Apec) more resilient to the threat of natural disasters, and will cite its success in the area of microinsurance in ensuring that the poorest members of society are protected against the disasters.
Finance Secretary Cesar V. Purisima said the Philippines should be able to share its experience in the area of disaster-risk finance, it being a country frequently hit by natural disasters and thus, has a lot of experience in rebuilding infrastructure and the economy after such devastations.
“Our focus on disaster-risk finance springs deep from our personal experience. We want the region to have solid financial structures to buttress against disasters. Growth is only meaningful for our people if it remains robust after each shock,” Purisima said. “It is true that environmental issues are, in fact, issues of social justice. The region protects its most vulnerable citizens best if we give them the means to stand right back up in the wake of devastation.
The Philippines will discuss these issues at the Apec meeting in Bacolod on April 29 and 30 with the theme “Disaster Risk Finance—Apec Roadmap for Resilient Economies.”
The meeting will also discuss remedies available to Apec member-economies in preparing for natural disasters and rehabilitating areas affected, such as measures to provide insurance to communities prone to disasters, credit and finance to the people, and disaster risk mitigation measures.
“Natural disasters are capable of easily wiping out gains from poverty-reduction and development efforts of any economy. As such, concrete plans to boost resiliency are indispensable,” said Finance Undersecretary Gil S. Beltran, who serves as chairman of the overall coordinating and planning committee of finance-related meetings of Apec 2015.
Discussions will also touch on strategies to widen the penetration of microinsurance products, which are seen effective in raising resiliency of low-income households and micro enterprises to natural disasters. In the area of microinsurance, the Philippines was expected to share its efforts that led to its success in providing microinsurance to the poorest Filipinos.
According to the Insurance Commission, around 28 million Filipinos have some form of insurance coverage, and around 19 million of those insured have microinsurance that protects them from adverse effects of natural disasters and other contingencies that result in loss of income.