Small Island Developing States (SIDS) are a group of countries located across the world in the Caribbean, Pacific, Africa, and Indian Ocean regions. They are all small in size, sparsely populated and geographically isolated, and their small economies are typically based on tourism, fisheries, agriculture, and small-scale manufacturing activities.
SIDS are among the most exposed and vulnerable countries to natural disasters in the world, and climate change is expected to exacerbate future risks, threatening development progress. Because of their location, small size, and topography, SIDS are exposed to severe hazards, including cyclones, extreme winds, storms, earthquakes, tsunamis, and volcanic eruptions. Compared to other countries, SIDS also suffer very high economic losses when extreme events strike, with average annual losses ranging between 1 and 10 percent of gross domestic product (Figure 1). Climate change will not only exacerbate disaster risks, but also have long-term impacts such as sea level rise, changes in rainfall patterns, and more extreme temperatures, which also require adapted management.
This report describes issues challenging SIDS, and how they can be addressed through asset management.