Fiscal Risk Assessment Study of Critical Infrastructure Sectors in India
Implementing Partner: Build Change
Project name:Fiscal Risk Assessment (FRA) Studies in Critical Infrastructure Sectors due to Disasters at the National and State Levels in India
This study develops robust tools and frameworks for assessing both direct and indirect disaster-related infrastructure losses through econometric and probabilistic risk assessments.
It compares infrastructure losses with fiscal resources to identify funding gaps and policy priorities. The Risk Assessment tools and Disaster Risk Finance (DRF) framework developed through this study serve as a public good and are shared with the government to integrate risk assessment into budget management, thereby strengthening government decision-making and financial planning.
The study identifies and promotes layered DRF interventions at sub-national and national levels, encompassing both pre-disaster preventive measures and post-disaster recovery measures, to strengthen fiscal stability and financial resilience.
Location: India (Gujarat, Himachal Pradesh, Odisha, Tamil Nadu)
Mauritius, Nepal, Fiji)
(4 states in India)
Impact
1
The capacity of national and sub-national governments is enhanced to systematically assess, quantify, and manage the fiscal implications of disaster risks, enabling more resilient public finance planning and informed decision-making for long-term economic stability.
2
A customizable Disaster Risk Finance framework empowers governments to fortify public finances by prioritizing budget allocations objectively, guided by the criticality and vulnerability of assessed indicators and sectors, ensuring targeted, risk‑informed fiscal planning and resilience.
3
Scalable, open‑access Disaster Risk Finance tools empower countries at national and sub‑national levels to strengthen fiscal resilience, streamline risk‑informed budgeting, and replicate adaptable solutions for disaster preparedness and financial protection across diverse governance systems.
