The frequency of disasters is increasing, leading to asymmetrical impacts on developed and developing countries. This chapter analyses the effects of disasters on high- and low-income nations, evaluating human and economic losses across country groups. It argues for the adoption of a risk-layering approach to efficiently allocate disaster risk capital. The chapter emphasises the importance of integrating disaster risk financing into national budgetary systems through various instruments. It highlights the necessity of pre-allocating disaster funds, enhancing financial inclusion, and mobilising underutilised financing mechanisms—such as Special Drawing Rights (SDRs)—to strengthen disaster resilience and facilitate rapid economic recovery in affected regions. This study advocates for stronger international cooperation to address disparities in disaster response and recovery efforts between high- and low-income countries.