Costa Rica’s SAI forwarded a report to the Legislative Assembly analyzing the impact of climate variability and change on public finances, and the attending challenges to the quality of life of citizens.
The report describes how the increase of the average global temperature, changes in rainfall patterns, the rise in sea level and increasingly frequent and intense climatic events affect public infrastructure and the health and well-being of the population, which in turn put public finance at risk.
The study quantifies the cost to the state of repairs and reconstruction of assets affected by extreme weather and hydrometeorological phenomena between 1988 and 2010. It also shows how spending on these types of matters has been increasing, and makes projections up to the year 2025.
Based on its findings Costa Rica’s SAI draws attention to the need to create a fiscal climate framework for Costa Rica, including mechanisms to identify and designate resources to finance mitigation, adaptation and response to hydrometeorological phenomena and extreme weather.
The report also explains the main challenges to efficiently addressing future needs linked to climate change, with a view to instituting initiatives to reduce the burden in line with the country’s development.