The Anatomy of A Silent Crisis The Anatomy of A Silent Crisis

A global challenge — Goals missed
Cost of humanitarian relief is expected to grow exponentially in the next 20 years
Climate change also threatens the ability of the international community to deliver humanitarian
relief. The financial requirements for humanitarian assistance are projected to increase by up to
1600 percent over the next 20 years, in large part due to climate change. 28 Already today, the funds
available for disaster preparedness and disaster relief are inadequate. Bilateral funds for disaster relief
amount to less than $10 billion per year, 220 leaving many disasters with little or no support.
Only a very small proportion of global humanitarian assistance goes into disaster preparedness
even though this is a crucial and worthwhile investment. Some experts estimate that for every dollar
invested in disaster preparedness, six dollars could be saved in reconstruction costs. 221 Ultimately,
the ability of individual households to protect themselves against the physical and economic shocks
of disaster is the best way to assure survival.
Costs of adaptation to climate change
Climate adaptation refers to individual or governmental action to reduce present adverse effects
or future risks of climate change. This activity will be critical to coping with the human impact of
climate change in the future. However, to date, investments have been very limited.
Many new plans and adaptation projects in developed countries
Many developed nations have already realized that ignoring climate change is too costly
and is taking action by means of insurance solutions and state funding. Here are some recent
prominent examples:
• The Netherlands has an overall budget of $3 billion to protect against flooding. 36
• Australia is investing more than $13 billion222 to counter the impact of climate change. 223
• The UK government is discussing whether to invest $42 billion to upgrade the Thames Flood
Barrier to protect London from rising sea levels. 223
• On the US California coastline, a $14 billion investment topped up with annual maintenance fees
of $1.5 billion is suggested to combat climate change related to sea level rise and increased
storms to shore up levees and build sea walls. 215
Adaptation needs to be scaled up 100 times to avert worst outcomes
Developing nations have also realized the enormity of the climate change challenge, but the
commitments to invest funds in climate adaptation in developing countries amount to very little. The
multilateral funds that have been pledged for climate change adaptation across developing countries
currently amount to about $400 million. 226 This amount is less than the German state of Baden-
Württemberg is planning to spend on strengthening flood defense. 36 The funds needed for adaptation
in developing countries stand in sharp contrast to this current level of commitment. Experts and aid
agencies estimate that the true cost of adaptation in developing countries ranges from $4 to $86 billion
annually225 with an average of $32 billion annually. 36,52 The African Group, comprising more than 50
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