According to reports from Nepalese news sources, the country’s government Council of Ministers has approved signing a Mandate Agreement for the Nepal Earthquake Catastrophe Bond project with the World Bank.
Back in July, we reported that the World Bank had begun working on a proposed project to deliver a parametric earthquake catastrophe bond for Nepal, targeting between US $80 million and up to US $190 million of fully-collateralized disaster risk financing from the capital markets for the South Asian country.
We also said at the time that the proposed project envisages delivery of the design, structuring, and issuance of a three-year parametric catastrophe bond for Nepal.
The proposed parametric earthquake cat bond would provide Nepal with valuable disaster risk financing and protection in the event of major losses from quakes hitting the South Asian country.
FULL ORIGINAL PUBLICATION HERE