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World Bank on notice for Philippines CAT-DDO after typhoon, but not for cat bond yet

December 21, 2021

We understand that the World Bank has been put on notice as the Philippines government hopes to trigger the $500 million catastrophe contingent line-of-credit it can receive through its Catastrophe-Deferred Drawdown Option arrangement, dubbed the CAT-DDO 4.

The Philippines government signed up to the $500 million catastrophe contingent line-of-credit back in November, as we reported at the time.

The financing facility is designed to proivde US $500 million of capital to the Philippines government to help it manage the financial impacts of natural or man-made disasters and disease outbreaks and can be triggered, or activated, on a state of emergency declaration.

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