A new Inter-American Development Bank (IDB) $600 million contingent credit facility will be available to help countries in Latin America and the Caribbean better cope with natural disasters.
[...] All member countries will be eligible to receive facility loans of up to $100 million or 1% of their gross domestic product, whichever is less. Countries are required to have an adequate integrated disaster risk management program.
The integrated disaster risk management program should include measures on risk analysis, prevention, mitigation, emergency preparedness and disaster response, as well as provisions for adequate and sustainable financing of the remaining risks, and should be executable in a period of no more than five years.
Earthquakes, floods and landslides, drought, tornadoes and volcanic eruptions are some of the natural disasters Latin America and the Caribbean must deal with on a regular basis.
The funds could be used to repair and rebuild damaged roads and bridges, potable water and sewage facilities, and electric power and gas networks, among others.