Source: UNISDR Disaster Risk Reduction
This case study was collected through a Call for Good Practices on Reducing Risk across SDG Transitions, launched by the UN DRR Focal Points Group in 2024.
SDGs addressed: 2 | 4 | 6
Costa Rica is exposed to earthquakes, floods, hurricanes and landslides. Historically, risk studies focused on direct physical losses, leaving indirect economic impacts invisible. In 2022-23 the National Commission for Emergencies (CNE), UNDRR and technical contractor ERN International completed an 18-month probabilistic, multi-hazard risk assessment-the first of its kind at national scale in the region. Through multi-sector data sharing and stakeholder workshops, the project produced validated loss curves for infrastructure, housing, water and sanitation, capturing supply-chain and public-service disruptions. The results now inform resilient-investment decisions and new disaster-risk-financing instruments.
Innovation & Success Factors
- Indirect-loss modelling revealed macro-economic ripple effects previously overlooked.
- Peril-agnostic methodology-the same framework can add hurricanes or landslides when data mature.
- Risk-literacy workshops turned complex outputs into decision-ready information for ministries and insurers.
Key impacts
- Authoritative national loss curves for earthquakes & floods (direct + indirect).
- Financial innovation – data underpin risk-transfer tools (e.g., catastrophe bonds, Global Shield discussions).
- Policy leverage – evidence feeds new regulations for resilient infrastructure and DRR financing.
- Capacity built – 80+ officials, academics and private-sector actors trained in probabilistic analysis.
- Replication path – same arithmetic can down-scale to provincial level, subject to data availability.
Lessons learned for replication or adaptation
- Include indirect impacts to expose hidden vulnerabilities.
- Organised national datasets accelerate modelling.
- Embed capacity-building for sustained use and updates.
- Engage finance stakeholders early so risk data translate into investment criteria.
- Start with high-impact hazards, expand incrementally as data improve.
Organisations involved
- Lead UN entity: UNDRR
- National lead: National Commission for Emergencies (CNE)
- Technical partner: ERN International
- Advisory group: RSTAG members in Costa Rica