NDF - Financing for climate change and development projects

Climate change and disaster management in Nicaragua

10.06.2010

In Nicaragua, storms and floods have had great human impact in recent years. In addition, economic losses for the period 1997­–2006 averaged 2.7 per cent of GDP annually.

Higher temperatures associated with climate change will likely exacerbate this situation and will increase both frequency and intensity of severe weather conditions and related natural disasters. The 2010 Global Climate Risk Index (CRI) rates Nicaragua as the fifth most vulnerable country to impacts of extreme weather events. NDF will provide a grant of EUR 2.5 million for a project that will reduce the vulnerability of rural populations to disasters associated with climate change and increase the resilience of rural communities by improving disaster risk management, prevention and mitigation in priority watersheds.
The project will reduce vulnerability and future risks for the local population, particularly small and medium-sized agricultural producers. Also, the project puts emphasis on institutional and managerial strengthening at the local level in watershed management and climate change associated actions. This is complemented by a range of studies of future risks related to climate change and development of strategic approaches to adaptation actions. Special attention is given to women and their vulnerability in disaster situations.
The project will be implemented by the Ministry of Environment and Natural Resources (MARENA), and NDF will co-finance together with the Inter-American Development Bank. The project will be implemented over a five-year period and the total project cost amounts to EUR 11 million. The intervention will build on results and lessons learned from the Environment and Social Forestry Program, previously supported by NDF.
More information
Disaster Management and Climate Change Program