Loss and Damage, Caused by Cyclones Sidr, Aila and Mahasen: Coping Strategies, Adaptation and the Role of Microfinance

This study attempted to assess household level loss and damage resulting from three cyclones –Sidr, Aila and Mahasen – in Khulna, Patuakhali and Satkhira districts for a sample of households, the coping strategies they adopted, the determinants of these coping strategies, and the role of microfinance in coping and adapting in the aftermath of natural disasters. The impacts of microfinance on coping were studied by comparing the coping strategies of households that participated in the PRIME program with a control group. The affected households employed a wide range of coping strategies. The bi-variate analysis shows that the PRIME program participants on average relied more on current income and savings for coping than non-PRIME members, however PRIME participation does not appear to have an impact on the sale of assets and others as a coping strategy. Across all three cyclones, the percentage of PRIME households resorting to borrowing from informal lenders for coping is a lot lower than for non-PRIME households.