World Bank Group2016-06-032016-06-032016-04https://hdl.handle.net/10986/24405This disaster risk financing country note for Serbia provides an overview of the way its government currently finances the costs imposed by natural disasters. Meanwhile, poverty deepened after the financial crisis and during the recessions of 2012 and 2014, mainly because of losses in employment and labor income. In an effort to overcome its fiscal challenges, the government of Serbia adopted an ambitious fiscal consolidation and structural reform program to halt the rise in public debt and send it on a downward trajectory by 2017. This program is supported by a three-year stand-by arrangement from the International Monetary Fund (IMF). Because of the growing frequency and severity of disasters, the government has faced the rising costs of responding to disasters as well as the challenges of financing emergency response and reconstruction costs. Having sufficient access to financial instruments and resources in order to respond to disasters is crucial for building the financial resilience of the country and minimizing the negative impact of natural disasters on Serbia’s economic growth. In this report, chapter one gives introduction. Chapter two provides the background and country context, including the recent economic impacts of disasters. Chapter three reviews the current institutional and legal framework for disaster risk management and financing. Chapter four is a review of the public financial management of disasters in Serbia, including ex ante and ex post disaster risk financing and insurance (DRFI) instruments currently in use for budget mobilization, and it looks at the 2014 floods in more detail. The chapter concludes with a summary of financial resources available and a look at the potential resource gaps.en-USCC BY 3.0 IGOFLOODINGLINE OF CREDITCONTINGENT LIABILITIESRISKSBORROWERMETEOROLOGICAL ORGANIZATIONLIABILITYEQUIPMENTACCOUNTINGSTORMEARLY WARNINGLOCAL INFRASTRUCTURERISK REDUCTIONFINANCIAL MANAGEMENTSTOCKINTERESTINTERNATIONAL FINANCIAL CRISISGUARANTEESSTORMSOPTIONLOCAL GOVERNMENTSLIQUIDITYDEVELOPING COUNTRIESGOVERNMENT BORROWINGMORTGAGEFISCAL POLICYINSURANCE POLICIESBONDSLOANCAPACITY BUILDINGFLOOD PROTECTIONLOAN AGREEMENTDISASTERDAMAGESGOVERNMENT ASSETSPUBLIC ASSETSTAXINCOME TAXRESERVEPENSION FUND CONTRIBUTIONSPENSIONDISASTER EVENTSEARTHQUAKESINSTRUMENTSINSURANCE MARKETINSURANCE COMPANYBUDGETDISASTER RELIEFPREDICTABILITYBENEFICIARYRELIEFLEGISLATIVE FRAMEWORKLEGAL PROVISIONSNATURAL DISASTERDISASTER RESPONSEINSURANCE MARKETSPUBLIC FUNDSFLOODSPERSONAL INCOMEFINANCESFLOODEDBOND ISSUANCEOPTIONSMONETARY FUNDEMERGENCY SITUATIONSNATURAL DISASTERSFINANCIAL INSTITUTIONSMARKETSDEBTHOUSEHOLD INCOMEDISASTERSINSURERSEMERGENCY RESPONSEFIRELOANSLANDSLIDESFARMERSRESERVESGROSS DOMESTIC PRODUCTPENSION FUNDSLEGAL FRAMEWORKFINANCEPUBLIC INVESTMENTINTERNATIONAL FINANCIAL INSTITUTIONSTAXESCONTINGENT LIABILITYEXPENDITUREFLOOD INSURANCEDEBT FINANCINGINTERNATIONAL BORROWINGSNOWSTORMREINSURANCEINVESTORSDROUGHTSEMERGENCYEARTHQUAKEOPPORTUNITY COSTINCOME SECURITYGOODDISASTER REDUCTIONGOVERNMENT BUDGETDISASTER RISKDROUGHTTRANSPARENCYSOVEREIGN RISKFINANCIAL CRISISFUTUREEMERGENCY RECOVERYBANKEXTREME EVENTSCREDIT ARRANGEMENTSBUDGETSRESERVE FUNDSFINANCIAL INSTRUMENTSBOND MARKETEXPENDITURESDAMAGEFINANCING REQUIREMENTSPROPERTYISSUANCEIMPACT OF DISASTERSDISASTER INSURANCEINSTITUTIONAL CAPACITYOPPORTUNITY COSTSDISASTER MANAGEMENTMARKETFOREST FIREEXPLOSIONFLOODSECURITIESPUBLIC DEBTCREDIT RISKINSURANCEINSURANCE PREMIUMSSECURITYLANDSLIDEFINANCIAL MARKETHAILSTORMNATIONAL BANKINVESTMENTRISKBONDPOVERTYDISASTER RISKSEMERGENCY MANAGEMENTDISASTER RISK REDUCTIONTAX POLICYINVESTMENTSFINANCIAL SUPPORTRISK MANAGEMENTPENSION FUNDFINANCIAL RISKINSURANCE COMPANIESINSTRUMENTREMITTANCESLIABILITIESGOVERNMENT ACCOUNTINSURANCE PENETRATIONNATURAL HAZARDSSMALL BUSINESSESCREDIT LINESRISK ASSESSMENTSWAPRECONSTRUCTIONCONTAMINATIONReportWorld Bank10.1596/24405