IDB to Provide $500m for Natural Disasters

The IDB is working with 13 countries in LatAm and the Caribbean to improve disaster risk management and is expected to provide over $500m in financing in 2011 to help meet natural disaster needs. The IDB has already approved a $100m loan for the Dominican Republic under its contingent credit facility. It will consider further contingent loans for Peru, Ecuador, Costa Rica, Panama and Honduras, totaling $500 million. The IDB is also expected to provide a $24 million loan to structure and launch an Insurance Facility for catastrophic natural disaster emergencies for the Dominican Republic. The insurance facility will provide the government with 5-year $100 million coverage for earthquakes and hurricanes of catastrophic magnitude.