Risk management for vibrant economic growth and sustained development

Purpose – The paper seeks to makes a correlation between poverty; and disaster‐induced losses and to clearly put forth a hypothesis for deepening poverty in India; the disaster – poverty cycle, and to suggest that India would perpetually remain a developing nation unless attempts are made to reduce the burden of disasters on the public exchequer. A practical strategy is put forth for disrupting the disaster – poverty cycle through appropriate risk management measures. This is envisaged to better compensate the disaster victims besides significantly reducing the burden upon public exchequer. The paper thus aims at contributing to economic growth and development of India.Design/methodology/approach – Based on the review of the practices in other nations as also in India a strategy is proposed for disrupting the disaster – poverty cycle so as to accelerate economic growth and development of the nation.Findings – Experience the world over suggests that risk management is the key for reducing the burden on the...