Climate change has recently been explicitly recognized as an important component of countries’ vulnerability. Three features characterise the countries eligible for the allocation of adaptation resources: they are more exposed to the negative effects of climate degradation because of their dependence on agriculture; because of market imperfections they are not insured against climate, which increase the probability of falling into poverty traps; finally they deserve more international development assistance as they are not responsible for most of the climate change that occurs. In this short policy brief we do not address the last point, which is about the principles behind the allocation of ODA and adaptation resources (see Guillaumont, 2013, for a recent proposal of aid allocation), but we examine two adjustment mechanisms to cope with weather shocks: internal migration and microfinance to insure farmers against negative climate events .
