Mozambique has secured a $2 million drought insurance premium for the 2025–2026 agricultural season, reinforcing its resilience against climate shocks through the Africa Disaster Risk Financing (ADRiFi) Programme.
This marks the country's third consecutive year in the initiative led by the African Development Bank (AfDB), which has mobilised over $150 million for 16 African nations to safeguard more than six million people.
Mozambique's $2 Million Drought Insurance Signals Regional Shift
Mozambique received its $2 million insurance premium at the Climate and Disaster Risk Financing Forum in Maputo, a pivotal event to strengthen disaster preparedness across Africa.
This coverage, delivered under AfDB's ADRiFi Programme, provides rapid payouts when climate events strike, empowering governments to protect vulnerable citizens and maintain stability.
Africa's Climate Risk Fund Grows – Protection for Millions
The ADRiFi Programme is now supporting 16 African countries, with the climate risk fund surpassing $150 million.
Mozambique's approach, integrating insurance into national policy and partnering with ARC and donor nations, showcases how strategic financial planning is safeguarding food security and development gains amid mounting climate threats.
Key ADRiFi Players and Impact
| Country | Year Joined | Premium Received | Coverage Population |
|---|---|---|---|
| Mozambique | 2023 | $2 million | Over 2 million |
| Senegal | 2023 | $1.5 million | 1.1 million |
| Malawi | 2024 | $1.2 million | 800,000 |
| Madagascar | 2024 | $1.1 million | 750,000 |
Total ADRiFi Impact: $150 million mobilised, 16 nations, 6 million people covered
From Risk to Resilience – Why Early Action Matters
Permanent Secretary Albertina Fumane calls the insurance "a strategic instrument of anticipation."
AfDB and ARC highlight the power of parametric insurance: rapid response, reduced economic loss, and social stability.
World Food Programme's Claire Conan stresses the moral imperative: "Early action in disaster risk management saves lives and costs."
Infographic: ADRiFi's Climate Action Model
- Insurance Pool: $150+ million
- Countries Covered: 16
- Rapid Payouts: Triggered by drought/thresholds
- Vulnerable Groups Protected: Food security, livelihoods, social stability
Scaling Up Africa's Disaster Risk Financing
Forum leaders urge pan-African governments to deepen ADRiFi integration, expand disaster risk modelling, and secure multi-donor support.
Mozambique's example of three straight years of successful coverage sets a benchmark for climate-resilient planning.
The push is for broader adoption, improved capacity, and innovative risk financing across the continent.
Path Forward – Mozambique & ADRiFi Priorities
| Priority | Objective | Expected Impact |
|---|---|---|
| Drought Insurance | Rapid Payouts | Stability, Social Safety Nets |
| Capacity Building | Policy Integration | Enhanced Disaster Preparedness |
| Regional Expansion | Multi-Country Access | Greater Resilience |
