Disaster Risk Reduction Fund and Local Resilience: Evidence from Cities in the Philippines

Abstract

This study investigates the relationship between disaster risk reduction and management (DRRM) budget allocations and local government resilience in Northern Mindanao, Philippines. Using secondary data from the Cities and Municipalities Competitiveness Index (CMCI) and reported Local DRRM Fund (LDRRMF) allocations, the study covers a five-year period from 2019 to 2023 across nine cities in Northern Mindanao Region (Region 10). A quantitative approach was employed, involving correlation and simple linear regression analyses to determine whether financial investments in DRRM are associated with improvements in institutional resilience. Findings reveal a strong and statistically significant positive correlation (r = 0.851, p = 0.0036) between the average LDRRMF allocation and the mean CMCI resiliency score. The regression analysis further confirms this association, with results showing that approximately 72.5% of the variance in resiliency performance can be explained by variations in DRRM budget allocation (R2 = 0.725, p < 0.01). These findings are consistent with current literature, which stresses the need for ongoing, targeted investment in local resilience capacity. While the study confirms that fiscal capacity serves a role in strengthening the local resilience, it is suggested that the policy direction should be shifted towards the increased use of funds, participation in planning, and mainstreaming of DRRM into higher political and development agenda. Future research should include qualitative research and compare across regions in order to deepen the local resilience policy insights.