Strengthening Tunisia's Resilience to Climate Risks

Addressing Climate Vulnerability

Tunisia is exposed to increasing climate risks, including floods, droughts, and coastal erosion. Floods alone account for 60% of disaster-related economic losses and impacted over 560,000 people. Without adequate mitigation measures, the economic impact of climate-related challenges could reach 6.5% of GDP by 2030 and 9.4% by 2050. The urban expansion and current infrastructure further heighten vulnerability, particularly in coastal cities housing 70% of economic activities are concentrated.

To address these risks, Tunisia is advancing efforts towards a more integrated Disaster Risk Management (DRM) and Disaster Risk Financing (DRF) framework. However, challenges remain, particularly in transitioning from a response-oriented approach to a comprehensive strategy that integrates risk reduction and resilience-building. Strengthening coordination across institutions and sectors is essential, along with enhancing financial mechanisms that support disaster preparedness and long-term recovery.

Strengthening Disaster Risk Management and Financing through Technical Assistance

Recognizing these challenges, the Tunisia Economic Resilience and Inclusion (TERI) Umbrella Program is supporting national efforts through targeted technical assistance in DRM and Disaster Risk Financing (DRF). TERI’s support focuses on strengthening Early Warning Systems (EWS), improving financial protection strategies, and enhancing institutional coordination to reinforce Tunisia’s ability to anticipate, mitigate, and recover from disaster risks.

A Strategic Response

Building on these efforts, the Government of Tunisia, with support from the World Bank and the French Development Agency, launched the $125 million Tunisia Integrated Disaster Resilience Program (IDRP/ResCat) in December 2021. The program focuses on:

• Flood risk reduction: Infrastructure projects protecting 90,000+ people in Nabeul, Bizerte, and Monastir.
• Enhancing disaster preparedness: Strengthening hazards preparedness through the implementation of multihazards local EWS preparedness.
• Financial protection: Financial policies and instruments available on time and at the minimal cost for targeted beneficiaries to enhance financial resilience against disasters. Solutions are informed by advanced risk analytics and leverage the insurance sector to mobilize private capital.
• Institutional coordination: Institutionalize DRM governance by establishing a Permanent Resilient Structure (SPR) and a DRM platform to oversee DRM efforts and coordinate multi-sectoral efforts.

To reinforce this strategy, an 18-month DRF roadmap, adopted in July 2024, outlines Tunisia’s strategic orientations, leveraging public and private sector financing for financial protection against disasters and will inform the upcoming National DRF Strategy.

TERI Umbrella Program’s Contribution

The TERI Umbrella Program plays a crucial role in advancing DRM and DRF efforts by:

• Supporting the Modernization of hydrometeorological services and implementing EWS in collaboration with key national agencies.
• Enhancing institutional capacity through structured capacity-building for the future SPR core staff, including the development of 25 job descriptions for the SPR.
• Facilitating knowledge-sharing initiatives, such as study tours to Switzerland and EWS conferences, to enhance disaster risk preparedness and response expertise.
• Strengthening financial resilience, including support for the development of Tunisia’s first financial exposure database of vulnerable populations and public/private assets against disasters; the DRF roadmap, the national DRF Strategy, technical training, and a national conference attended by 100+ stakeholders.
• Laying the groundwork for a catastrophic insurance market, ensuring rapid compensation mechanisms for affected populations.

A Path Forward

Tunisia, with the support of the World Bank and TERI Umbrella Program, is advancing efforts to enhance disaster resilience through coordinated strategies and investments. With improved Early Warning Systems, risk financing solutions, and institutional reforms, the country is better prepared to safeguard both lives and economic stability against climate-related shocks.