MANILA, PHILIPPINES (3 May 2026) — The Asian Development Bank (ADB) issued its first Disaster Relief Bond (DRB) offerings, also known as catastrophe bonds, as part of its regional Risk-Layered Disaster Relief Finance Program which aims to reduce the financial impact of natural hazards and climate-related shocks. The bonds are designed to protect against severe disasters and provide quick liquidity to the Kyrgyz Republic and Tajikistan following a qualifying event.
“When a major earthquake or flood strikes, it can set back development by years,” said ADB Vice-President for Finance and Risk Management Roberta Casali. “With this inaugural sovereign catastrophe bond, our developing member countries in Central Asia gain rapid, committed financing when disaster hits, so they can build back faster. This bond will pave the way for future issuances, and over time deepen investor engagement in this dynamic region.”
The DRBs will provide rapid and targeted financial support following severe earthquake or flood events, based on predefined and independently verified parametric triggers. After a qualifying disaster in either country, proceeds will be disbursed through national social protection systems to support affected populations, particularly the most vulnerable.
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