Strengthening Infrastructure Governance for Climate-Responsive Public Investment

Abstract

of private insurers. This scheme was introduced for the Ministry of Finance’s buildings in 2019 and extended to buildings belonging to other ministries in 2020. The estimated insurance value of the government buildings to be covered by this scheme amounts to IDR371 trillion, approximately 13 percent of GDP. The insurance premium for disaster risks is estimated to be 0.2 percent of building values. The overall scope of assets to be covered in future includes buildings, bridge, transportation modes, and other government properties. The assets covered have to be located in disaster-prone areas, have high probability to be damaged or lost in case of natural disaster, and have significant contribution to public services. options in response to climate challenges, focusing on adaptation. It also provides guidance on incorporating climate change risks into baseline and sensitivity analysis.