抄録
The purpose of this study was to introduce Trinity Financial Instrument (TFI): micro-insurance, micro-credit and micro-savings, to Thai rural households and policy-makers. TFI provision aimed to increase the long-term financial capacity of Thai rural low-income households that tend to be affected by floods. The study focused on identifying household financial vulnerability for funding house restoration caused by floods, and investigating financial instruments used for the house restoration. A financing gap was adapted from the CATSIM model to indicate the funding proportion of reactive finances to the total house restoration cost that shows the relation between financing gap and the financial vulnerability. In addition, a comparison of household preferences in financial instruments between the previous financial statement and the financial plan explained how households changed their preferences after introducing TFI.
The study divided the respondents into three groups based on their financial vulnerability in the 2006 severe flood. The results showed that households in different vulnerability groups had different preferences for taking sub-options of TFI. However, the most interesting financial instrument was the micro-insurance program. In addition, the study found that pillar-house owners tended to cover their house restoration costs more easily than the non-pillar house owners did because damages to the pillar-house structure were lower than that of non-pillar house structure.
JEL Classification: G32, D14
