Working Paper - The Costs of Inaction   - Calculating climate change-related loss and

loss of estimates of the impacts of extreme weather GDP, loss of revenues) and loss and damage due events due to climate change in SIDS over the to slow-onset events have not been included in past 23 years and projections of expected loss and the analysis. [...] Loss and damage implications and recommendations for the design estimates are calculated for loss of life (deaths), and development of a Loss and Damage Fund and affected people (including displaced and injured funding arrangements. [...] 6 ODI Working Paper 3 Climate change-attributed loss and damage in SIDS 3.1 Aggregate estimates of loss and Climate change is responsible for 39% ($41.3 damage billion) of total economic losses8 recorded (Figure 2), of which 65% are due to loss of life, Estimates of human and economic loss and measured as statistical loss of life (SLOL).9 damage from extreme weather events across all SIDS for the. [...] Following tropical storms and floods, SIDS face The effects of extreme weather on individual short-term contractions in economic output, as is GDP components vary in both direction and documented for the Caribbean SIDS (Benson and timing, which may explain some of the difficulties Clay, 2001; Bertinelli and Strobl, 2013; Campbell in identifying medium- and long-term aggregate and Spencer, 2021; Ca. [...] Given these effects on fiscal balances, and the Positive impacts of extreme weather were need to finance reconstruction, SIDS resort to detected in the construction sector in the domestic and foreign borrowing, which leads Pacific (Mohan and Strobl, 2017a) and in the to increasing public debt (Cavallo et al., 2023).