The Potential of Earth Observation, Big Data, Artificial Intelligence, and Machine Learning to Improve Financial Risk Management

This report presents a taxonomy on the potential of Earth Observation (EO), Big Data (BD), Artificial Intelligence (AI), and Machine Learning (ML) to improve financial risk management. First, the document explains the criteria used to develop this taxonomy and classifies the potential of the technologies to contribute to Disaster Risk Finance (DRF). Second, based on the analysis of several case studies, the most promising technologies and data sources are presented. Finally, the limitations, challenges, and ways forward are presented to ensure these solutions can be implemented and further strengthen the financial resilience of developing economies.