Background
Despite political stability and security, Senegal suffers from high poverty and severe climate shocks. Nearly half of the Senegalese population can be considered poor and the Human Capital Index stands only at 42 percent, which is lower than the average for Senegal¡¯s lower middle-income group (though higher than the average for Sub-Saharan Africa).
Climate change exacerbates the situation, causing more frequent shocks and disasters that affect the Senegalese population. Droughts, floods and fires are the most prevalent climate-related shocks. The country¡¯s vulnerability to drought is due to its heavy reliance on rain-fed agriculture, especially in the arid and semiarid regions of Northern Senegal. About 70 percent of households are still practicing agriculture and 40 percent are engaged in livestock rearing, making them vulnerable to climate variability. In a context of limited use of technology and improved practices, rainfall deficits lead to decrease in food production and food intake of the household¡¯s members. Recent estimates suggesting that Senegal could lose up to 8% of its gross domestic product by 2030 due to climate change.
The COVID-19 pandemic has severely affected Senegal¡¯s economy and population and is reinforcing vulnerability related to climate shocks. The crisis halted years of strong economic performance and threatens to reverse half of the last decade¡¯s poverty reduction.