TF012954-KCP II - WDR 2014 Managing Risk for Development
Summary: In recent years, the world has suffered a multitude of crisis. Financial and economic turmoil have disrupted the world economy through loss of income, jobs, and social stability. Intense natural disasters have devastated entire communities from Haiti to Japan, leaving a trail of fatalities and economic losses. Concerns about global warming have grown, as have fears about the spread of deadly contagious diseases. Managing risk effectively is, therefore, absolutely central to the World Bank's mission. This report demonstrates that effective risk management can be a powerful instrument for development - it can save lives, avert economic shocks, and help people build better, more secure futures. It serves as a valuable guide both for mainstreaming risk management into the development agenda, and for helping countries and communities strengthen their own risk management systems. This report also offers important insight for changing the approach to risk in the Bank's own operations. The report focuses on the process of risk management, addressing following questions: why is risk management important for development, how should it be conducted, what obstacles prevent people and societies from conducting it effectively, and how can these obstacles be overcome? The World development report (WDR) 2014 argues that risk management can be a powerful instrument for development not only by building people's resilience and thus reducing the effects of adverse events but also by allowing people to take advantage of opportunities for improvement. Focusing on the process of risk management allows the WDR 2014 to consider the synergies, trade-offs, and priorities involved in addressing different risks in different contexts, with the single motivation of boosting development.
Official, scanned versions of documents (may include signatures, etc.)