The Government of Jamaica is on course to developing its first ever catastrophe bond through a partnership with the World Bank.
Jamaica’s Finance and Public Service Minister Nigel Clarke spoke at the Jamaica Stock Exchange (JSE) disaster risk financing seminar, where he said the vehicle would help generate funding to help the country respond to the damage caused by natural disasters.
Clarke added that the Inter-American Development Bank has provided access to a pre-approved credit facility of nearly $300 million to the Jamaica government. Following a catastrophic event, Jamaica would have immediate access to the funds.
The World Bank provided much of the support needed to help the government begin developing the cat bond, which is an investable capital market instrument.
Jamaica, Cat bond, ILS, Caribbean