Indian coasts are highly vulnerable to tropical cyclones and consequent recurrent loss of life and properties. It is now well recognized that by taking long and short term mitigation measures, the loss of life and properties can be minimized. Hazard risk mitigation is key to sustainable development and this has been the policy of Government of India, which lays greater emphasis on prevention, preparedness and mitigation. With this in view, Ministry of Home Affairs (MHA), Government of India conceptualized a comprehensive National Cyclone Risk Mitigation Strategy through several consultations, ending with a National workshop, "Developing Strategy for Cyclone Mitigation in the Coastal & Island Regions of India", held during Feb. 4-5, 2003 at the Administrative Training Institute, Kolkata. This strategy will be a part of the Multi-hazard Mitigation Plan being developed at the National level. To give effect to the strategic interventions, the Ministry of Home Affairs decided to put in place the "National Cyclone Risk Mitigation Project". After the formation of National Disaster Management Authority (NDMA), the management of the Project was transferred to NDMA in September, 2006.

The overall objective of the National Cyclone Risk Mitigation Project ('NCRMP') is to minimize vulnerability to cyclones and make people and infrastructure disaster resilient in harmony with the conservation of the coastal eco-system in the cyclone hazard prone States and Union Territories of India. National Disaster Management Authority ('NDMA') under the aegis of Ministry of Home Affairs (MHA) will implement the Project in collaboration with Governments of Andhra Pradesh and Orissa, and the National Institute for Disaster Management in the first phase. The Project costing Rs 1496.71 crores (US $ 308.60 million) is to be funded by the World Bank (International Development Association credit) as an Adaptable Program Loan to be scaled up to US $ 969 million for covering the other States and UT's based on their readiness to implement the Project. The Project is proposed as a Centrally Sponsored Scheme with 75% contribution (for Component B of the Project) by the Central Government, as grant-in-aid and a matching 25% contribution by the State Governments. Other components will be funded 100% by the Central Government, as grant-in-aid. Planning Commission has given in principle approval for the Project and the Project is included in the 11th five year plan.