Annual Natural disasters economic loss reaches $300 bn: UN

The global economic losses from natural disasters in the world have continued rising to reach an average of $250 billion to $300 billion annually, according to a U.N. report released Wednesday.

The 2015 Global Assessment Report on Disaster Risk Reduction (GAR15), prepared by the UN Office for Disaster Risk Reduction (UNISDR) estimates that an investment of US$6 billion annually in disaster risk management would result in avoided losses of US$360 billion over the next 15 years.

“The 2015 Global Assessment Report demonstrates clearly that many countries face significant challenges because of their inability to manage the fiscal burden created by large-scale disaster events,” Margareta Wahlström, head of UNISDR, said.

The report Disaster Risk Reduction highlights that in many countries, climate change is magnifying risks and increasing the cost of disasters.

The 2015 Global Assessment Report on Disaster Risk Reduction (GAR15) was launched by UN Secretary-General Ban Ki-moon.

The insured losses from natural catastrophes and man-made disasters totalled USD 34 billion in 2014, the preliminary estimation by a leading wholesale provider of reinsurance, insurance and other insurance-based forms of risk transfer, Swiss Re’s sigma research unit, had shown.

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