MANILA: The Asian Development Bank approved a second $500 million loan for the disaster-prone Philippines on Wednesday, allowing the country quick access to financing during natural calamities or health-related emergencies.
Last year, the Philippines was ranked by the World Economic Forum as the country with the highest risk of suffering from a disaster.
The Southeast Asian country experiences around 20 typhoons and up to 150 earthquakes of at least a 4.0 magnitude annually, the bank said in its funding announcement.
“The Philippines is one of the fastest growing economies in Southeast Asia but is at high risk for earthquakes, volcanic eruptions, typhoons, rising sea levels, and flooding,” ADB country director Pavit Ramachandran said in a statement.
“With this programme, we aim to help boost the country’s capacity for disaster risk reduction and management nationally and locally,” he added.
ADB says it has 7 projects for this year, 16 for the next
The ADB granted the Philippines a first tranche of $500 million in September 2020, making this the “Second Disaster Resilience Improvement Programme”.
The multi-year loan is designed to ensure funds can be disbursed immediately after a disaster triggered by a natural hazard and the declaration of a state of emergency.
Around 60 percent of the country’s land area is exposed to multiple hazards, with nearly three-quarters of the population of around 120 million living under threat of a disaster.
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