Contingent loan (or credit) and grants
A type of pre-arranged financing whereby a loan or grant is approved in advance of a crisis and is guaranteed to be provided to a specific implementer when a specific pre-identified trigger condition is met (Centre for Disaster Protection).
This working paper presents a framework that compares contingent loans, grants from multilateral development banks, catastrophe bonds, and insurance provided through regional risk pools.
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This working paper asks what is required for social protection systems to deliver timely, predictable, well-targeted and cost-effective shock response to disasters.
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This insight paper provides an overview of the key features of debt pause clauses, also known as climate resilient debt clauses.
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This brief forms part of a cross-country study on the opportunity cost of reallocating budgets in response to disasters.
Read moreTotal crisis financing
Development funding focused mainly on crisis prevention, preparedness and response activities.
Risk transfer
When disaster risk is shifted to insurers or capital markets.
Index
A measurable indicator used to estimate losses and trigger financial payouts.
Social protection
Policies and programmes designed to reduce and prevent poverty and vulnerability throughout the life cycle.
Trigger
A predefined threshold that activates payments or actions within risk financing mechanisms.
Fragility
High exposure to risk combined with weak capacity to cope, often leading to crisis.
