Kathmandu, Oct. 16
Nepal and the World Bank signed a
mandate agreement to explore the development of a catastrophe bond to help Nepal access funds quickly in
case of a major earthquake.
"The agreement marks the
beginning of a collaboration to assess how capital markets can support Nepal's
broader disaster risk management strategy," read a joint statement issued
by the two.
As one of the world's most
disaster-prone countries, Nepal is working to better prepare for, withstand,
and recover from future natural disasters through a combination of risk
reduction, preparedness, and financial protection measures, it said.
Under the agreement, the World Bank
Group Treasury will work with the Government of Nepal and market participants
to assess the feasibility and potential structure of such a transaction.
This initiative is part of the World
Bank Group’s established catastrophe bond programme, which has helped countries
access international capital markets to transfer disaster risk and secure
financial protection against natural hazards.
Published in The Rising Nepal on 17 October 2026.
No comments:
Post a Comment