Africa’s economic and social fabric is disproportionately affected by climate change. Over 95% of Africa’s food production depends on rainfed agriculture, with over 70% of the continent’s population relying on it for their livelihoods, making them highly vulnerable to erratic weather patterns. Disasters like droughts and floods exacerbate food insecurity, damage infrastructure, and erode decades of developmental progress. Current humanitarian aid systems are reactive, slow, and insufficient, and many African nations lack the financial and technical resources to respond effectively to such disasters, leaving countries to face delays that deepen human suffering and economic loss.
To help address this gap, Norway, through the Norwegian Agency for Development Cooperation (Norad) has provided NOK 50 million (about $4.5 million) to African Risk Capacity Limited (ARC Ltd.) to implement the Supporting Adaptation Capacity Through Increased Parametric Insurance Penetration in Africa (SACPIP-Africa) initiative. The partnership was made official during a signing ceremony in the CARICOM Pavillion at COP29 on 13 November 2024, marking the significant contribution this initiative will have in addressing climate change issues.
