Glossary

Development bank

Financial institution that offers financing (typically in the form of loans and grants) and complementary technical assistance, tied to explicit development objectives (Centre for Disaster Protection).

Learn more
other key terms

Official development assistance (ODA)

Public aid supporting development and welfare in eligible countries, usually on concessional terms.

Hazard

A natural or human process that can cause injury, damage or disruption.

Fragility

High exposure to risk combined with weak capacity to cope, often leading to crisis.

Catastrophe bond

A catastrophe bond (cat bond) is a risk-transfer financial instrument that allows governments or insurers to transfer disaster risk to capital market investors.

Sustainable development

Meeting today’s needs without limiting future generations’ ability to meet theirs.

Cost multiple

The cost multiple measures the average amount a government pays to receive USD 1 of payout from a financing instrument over its lifetime.