|Stage||Stage 2: Research & Development, Stage 3: Proof of Concept and Stage 4: Transition to Scale|
|Country||Comoros, Congo, Democratic Republic of the, Botswana, Angola, Mauritius, Malawi, Namibia, Mozambique, Lesotho, Seychelles, Zimbabwe, Zambia, Tanzania, Swaziland, South Africa and Madagascar|
The agricultural financial tool will need to explain the linkage between three main elements below in order to create a tool that will allow the development of probability estimates for financial losses.
Hazards – the categorization and modeling of the weather risk being considered (rainfall, temperature, wind, etc.) plus any additional risk (food price, shocks, animal/plant health risks)
Vulnerability – an estimation of what the impact of the realized risk would be, given the assets affected by the event and considering the current ability to manage the. The vulnerability is heavily influenced by many local variables, such as soil, crop varieties, cultural practices, household income/poverty levels, and access/availability of irrigation, drainage, grain storage, weather info/advisory, and other infrastructure services. It should also be noted that the agricultural risk assessment is particularly dependent on the relationship between the timing of the loss event and the agricultural calendar.
Exposure – assessment of assets and communities “at risk”, from various perspectives, such as:
o Type of crops by location
o Livestock population and composition, by location
o Farm holdings/producers that may be directly impacted by hazard
o Agro-climatic zones
o Topography, vegetative cover, soil types, watersheds
o Crop yield levels
o Land use maps, irrigated zones
o Weather stations, other infrastructure