Welcome to the Discussion Room
The development process itself can be a major driver of risk. The relationship between risk and development works in both ways: the impacts of hazards and threats can slow or retard development achievements. In turn, decisions on development trajectories and investments can influence the generation of risk, for example, when they result in populations and economic assets being located in exposed geographic areas; or in the accumulation of risk in urban areas due to rapid and unplanned developments; when development activities place excessive strains on natural resources and ecosystems; or exacerbate social inequalities if income-generating opportunities for some population groups are curtailed.
This forms one of the core rationales for integrating risk reduction into development policy, planning and budgeting. Risk-informing development requires transforming the development agenda from within and cannot be achieved by treating risk merely as an add-on. The development practice needs to be able to address both ‘risks to’ and ‘risks from’ development.
To take this discussion forward, we propose the following guiding questions: Theme 1: RATIONALE & CONCEPTS
Theme 2: LESSONS LEARNED & SUPPORT NEEDS
Theme 3: OPPORTUNITIES
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Summary of Week 1: First of all, a big thanks to all those of you who have taken the time to post their comments! The first week of the RID consultation already brought out several interesting reflections. We have summarized the key points for you here.
Theme 1: Rationale & concepts
We need to start with the question of what we mean with risk-informing development. RID does not only focus on integrating risk considerations into development policies, plans and budgets, or making sure investments in infrastructure are risk informed. We also need to look at risk-informed social norms, culture, mindsets and behavioral patterns. (Rajeev Issar)
There are two sides of risk-informed programming, namely (i) to mainstream a risk-lens into UNDP’s programmes and operations; and (ii) to provide the same support to our government partners. (Nesreen Al-Hebshi, @Lars.Berrnd)
Development can only be sustained if potential risks are considered and managed, even when working in locations that are not exposed to significant risks, to ensure that this development does not generate or trigger new risks and that development gains are ‘safeguarded'. (Rajeev Issar)
Risk is usually depicted as negative, but risk can also bring opportunities. To tap on these opportunities, we need agility; foresight and flexibility; inclusiveness and engagement with stakeholders; and integrated solutions. (Nesreen Al-Hebshi)
The key challenges or barriers to risk-informed development comprise: Institutional and legislative frameworks not designed to identify and address risks; Technical capacities for analyzing current risks are not adequate and are not uniformly available across countries and sectors. Much of the education and development is siloed in disciplines and sectors who typically do not connect with each other in understanding and solving issues. Lack of coordination across countries in understanding the risks and addressing them systematically. Development is rapidly becoming more complex due to new technologies and rapid changes it is bringing in the communities and societies on social, economic, cultural, psychological fronts. (Rajesh Sharma)
Theme 2: Lessons Learned & support needs
We need to build the foundation for the RID Offer by investing in the creation of a UNDP digital knowledge and evidence base, where data on multiple risks are collected, analyzed and disseminated to be able to better support partners with both mitigating the impacts of threats as well as building resilience in the longer term. We need to continuously improve its understanding of the risks we face and the future risks we are likely to face in every area of development Reshmi Theckethil, Armen Grigoryan, @Lars.Bernd, Rajesh Sharma)
We need to support governments’ Macro Economic and Development Planning to embed RID as this is where the critical efforts around resource generation, allocation and management takes place. (Ronald Jackson, @Lars.Bernd)
We need to strengthen legal and institutional basis for systematic integration of risk aspects into decision making (Armen Grigoryan). Noting that we need to focus the RID support on both (i) the policy and (ii) programme support (application). We tend to overtly focus on the first and wait out till RID is institutionalized. (Rajeev Issar)
We need to develop longer-term RID financing solutions that blend public, private, domestic and international sources. Up-front investments are needed to fund data-gathering and analysis and the institutional infrastructure and capacities need to apply it. (Tim Scott)
We need to pursue a "multi-risk approach", also at the local level. This requires dedicated cross-sectoral teams both with UNDP and in the partners institutions we support to ensure that critical synergies are made. Reshmi Theckethil, @Lars.Bernd)
Risk-Informed Development should follow the same principles as articulated in UNDP’s Enterprise Risk Management policy as it forms the institutional backbone of UNDP's approach to risk management. (Nesreen Al-Hebshi)
We can build on many tools which UNDP already applies such as: economic modelling, cost-benefit assessments, and techniques such as Targeted Scenario Analysis, as well as national and community-level household survey data. Some of this information is captured in UNDP's Data Futures Platform, the PAGE COVID Observatory, and the UN Biodiversity Lab. nclusive Green Economy, Circular Economy, DRR, CCA and conflict-sensitive approaches were listed as useful entry points for RID.(Tim Scott)
As a good practice example, the SIDA-UNDP Global Programme on Environmental and Climate Change was mentioned which is advancing integrated programming in nine pilot countries: Colombia, Haiti, Bangladesh, Cambodia, Fiji, Myanmar, Nepal, Ethiopia and Uganda. (Tim Scott)
Theme 3: Opportunities
As regards UNDP’s comparative advantage, our expertise in governance and general normative frameworks was highlighted, as well as the ability to link the RID offer to the SDGs and related budgeting in support of the overall enabling environment for risk management. (@Lars.Bernd)
It was suggested to partner with IFIs on RID wherever possible, specifically on risk understanding and risk financing to join efforts in developing governments' capacities for risk informed decision making. (Zarko Petrovic)
Also partnerships with other agencies such as WHO, UNICEF, UNAIDS, UNFPA, UNWOMEN, which have all come up with ways to risk-inform their programmes and operations, need to be pursued to address some of our gaps in risk-informing other practices. (@Lars.Bernd)
Please share your feed-back on these points or add any additional reflections. We are still looking for the inputs from several other practice areas in UNDP who are engaged in risk management. We would love to hear from you! And of course we’d greatly welcome the views of our partners.
Holly & Angelika