By Adeyemi Adekunle
To combat the escalating impacts of climate change, Zimbabwe has received a substantial insurance payout of $32 million from the African Union’s African Risk Capacity (ARC) agency. This payout follows the devastating El Nino-induced drought that wreaked havoc across the nation.
The event underscores the urgent call by the United Nations (U.N.) and the African Union (A.U.) for African countries to invest in natural disaster insurance as a critical measure against increasingly frequent and severe climate events.
Speaking at a press conference in Harare, Edward Kallon, the United Nations Resident Coordinator for Zimbabwe, emphasized the necessity of proactive investment in disaster preparedness.
“Given the increasing frequency and intensity of climatic shocks, investing in prevention, mitigation, and proactive strategies is no longer a choice but an imperative,” Kallon stated.
“Such investments yield substantial returns by mitigating disaster impacts, safeguarding lives, and ring-fencing developmental gains.”
Kallon highlighted that in Zimbabwe, the insurance payout would significantly benefit small farmers and small-to-medium enterprises (SMEs), which are the backbone of the nation’s agricultural sector.
The funds will also be used to implement advanced systems that provide timely alerts and to equip communities with education and training on disaster preparedness.
Zimbabwe, which has barely recovered from the drought caused by El Nino, is now bracing for the potential flooding anticipated with La Nina during the 2024/2025 rainy season.
Forecasters predict that these conditions could bring further challenges to the already vulnerable communities.
Anthony Mathae Maruping, Chairman of the African Risk Capacity Group Board, reiterated ARC’s commitment to enhancing Africa’s resilience against climate threats.
“ARC’s collective goal is to enhance Africa’s resilience by providing African Union member states with tailored services to cover risks such as drought, tropical cyclones, floods, and disease outbreaks and to devise sustainable risk financing solutions,” Maruping said.
He added that ARC will continue leveraging its continental stature, expertise, and robust partnerships to bolster Zimbabwe’s readiness to respond to these threats using cutting-edge early warning tools.
From the $32 million payout, the Zimbabwean government received $16.8 million, while approximately $15 million was allocated to aid organizations, including the Start Network and the World Food Program (WFP). Francesca Erdelmann, the WFP representative in Zimbabwe, noted the critical importance of the funds.
“The WFP’s $6 million ARC payout is a vital lifeline for communities in Zimbabwe facing the devastating impacts of the El Nino-induced drought,” she said.
“This timely support will enable us to provide essential food assistance and prevent negative coping strategies, ensuring that vulnerable populations can withstand these difficult circumstances.
We will be able to support 200,000 people in three districts.”
Mthuli Ncube, Zimbabwe’s Minister of Finance, assured that the government would extend support to other districts affected by the drought, demonstrating a unified effort to combat the climate crisis and safeguard the nation’s future.
