The Asian Development Bank’s (ADB) first catastrophe bond offerings have now been successfully priced in the market, with the result being a $160 million capital market-backed source of parametric earthquake and extreme precipitation disaster risk financing, evenly split between the Kyrgyz Republic and Tajikistan.
It’s an important first step in the catastrophe bond market for the Asian Development Bank (ADB) and its member countries, as the multilateral development bank has now proven the concept of issuing what it has termed Disaster Relief Bonds (DRB) to benefit two of its members, securing efficient disaster risk financing from institutional and insurance-linked securities (ILS) investors.
We first reported back in November 2025 that the ADB was planning its first catastrophe bonds for the Kyrgyz Republic and Tajikistan. Then in February 2026 we revealed that the cat bonds would be designed to cover earthquake and flood risks on a parametric trigger basis for the two countries.
FULL ORIGINAL PUBLICATION HERE