Baku: Pakistan has announced a new initiative to integrate disaster risk financing into its broader strategy for addressing loss and damage due to climate change, a move aimed at bolstering resilience among vulnerable communities. The initiative was revealed by Romina Khurshid Alam, Coordinator to the Prime Minister on Climate Change, during a keynote address at the “Pakistan and the Global Shield” event at the COP29 climate summit.

According to Press Information Department, Alam emphasized the importance of integrating disaster risk financing with loss and damage efforts to manage the increasing costs associated with climate change impacts such as extreme weather events and rising sea levels. She highlighted that this approach combines innovative financial tools with inclusive, data-driven strategies to mitigate climate risks and support recovery efforts.

Aisha Humera Moriani, Secretary of the Climate Change and Environmental Coordination Ministry, underscored the need for viable financial protection for communities, noting that insurance penetration in Pakistan is currently less than 1% of GDP. She revealed that the ministry, in collaboration with national and international partners, has conducted an extensive assessment to identify gaps in financial protection and has received proposals to address these gaps.

Hamza Haroon, Regional Director for South Asia at the Climate Vulnerable Forum Vulnerable 20, stressed the importance of disaster insurance programs for vulnerable communities. Joerg Linke from GIZ Competence Center Climate discussed the potential of shock-responsive social protection systems to provide urgent relief and foster long-term resilience in Pakistan.