Disaster Risk Management Development Policy Credit with a Catastrophe Deferred Drawdown Option

The development objectives of Disaster Risk Management Development Policy Credit with a Catastrophe Deferred Drawdown Option Project is to strengthen Grenada’s (a) disaster and climate resilience policy framework, and (b) fiscal risk management associated with natural hazards. This objective will be achieved through reforms under two pillars: (i) Enhancing policy and institutional framework for improved disaster risk management and climate change, and (ii) Strengthening financial resilience against natural hazards and climate change. This operation contributes to the country’s overall objective of enhancing resilience in a comprehensive manner, as stated in the government of Grenada (GoG’s) programmatic agenda. The GoG’s medium-term agenda (MTA) for 2019-2021 and the NSDP 2020-2035 highlight Grenada’s inherent high vulnerability to natural hazards and macroeconomic risks as major sources of risk to the stability of the country's public finances. This Cat DDO operation aims at supporting the integration of disaster and climate risk considerations as a core element in the design and implementation of public policies that impact the sustainability of the country’s natural resource base and social and development gains.