MANILA — The Asian Development Bank (ADB) on Friday said it has approved $41 million in contingent disaster financing to help the Cook Islands, Marshall Islands, the Federated States of Micronesia (FSM), Tuvalu, and Vanuatu respond to disasters triggered by natural hazards and health emergencies.
The support comes from the fifth phase of the Pacific Disaster Resilience Program. It will provide the Cook Islands with a 20-million-dollar loan, the Marshall Islands with a 6-million-dollar grant, the FSM with a 6-million-dollar grant, Tuvalu with a 4-million-dollar grant, and Vanuatu with a 5-million-dollar grant, reports Xinhua news agency.
The ADB said all five countries have made significant progress in strengthening their capacity to manage and reduce disaster risks, prepare for and respond to disasters triggered by natural hazards, and respond to health emergencies, which builds on the previous phases of the programme.
The programme fills a financing gap in the Pacific region while supporting policy reforms that align with budgetary planning for recurring and emerging disasters and health emergencies.
The project is financed by a 20-million-dollar concessional loan from the ADB's ordinary capital resources and a 21-million-dollar grant from the Asian Development Fund (ADF).
"In the event of a disaster, the ADB-supported Pacific Disaster Resilience Program will provide the participating countries with quick disbursing, flexible budget support to expedite the recovery process," said ADB Director General for the Pacific Leah Gutierrez.