15:24, 18 ноября
The Asian Development Bank (ADB) has approved a $56.4 million program to help the Kyrgyz Republic and Tajikistan boost their capacity to respond to disasters.
Both countries are vulnerable to disasters, such as earthquakes and floods, but lack the fiscal capacity and risk transfer mechanisms to effectively respond to hazards. The Risk-Layered Disaster Relief Finance Program will enhance their financial preparedness through a combination of two pre- arranged ADB financing instruments targeting different layers of disaster risks.
The program combines the Contingent Disaster Financing (CDF), a budgetary support financing in the event of medium-severity natural hazards and health emergencies; with the Disaster Relief Bond (DRB), a catastrophe bond issued into the international capital market to provide quick liquidity to the countries should high-severity disasters occur.
“The program will help reduce fiscal strain for both countries in the aftermath of disasters, which include geophysical hazards, extreme weather events, and health emergencies,” said ADB Director General for Central and West Asia Leah Gutierrez. “By integrating…
