Strengthened resilience to economic and climate-related shocks, and reduced vulnerability to non-communicable diseases targeted in World Bank support
WASHINGTON, November 29, 2018 ¨C ľ¹ÏÓ°Ôº¡¯s Board of Executive Directors today approved US$13.7 million for Samoa¡¯s Second Resilience Development Policy Operation with a Catastrophe-Deferred Drawdown Option, which supports reforms to strengthen Samoa¡¯s resilience to economic shocks and reduce its vulnerability to the impacts of climate change, natural disasters, and non-communicable diseases.
The reforms should particularly benefit Samoa¡¯s poor and vulnerable by reducing those risks that have a disproportionate impact on them. They will, for instance, reduce the risk of the Government being unable to fund essential public services after an external shock; the risk of a disruption to remittance flows; and the risk of extreme impacts on livelihoods, or a lack of access to key services after a natural disaster.
¡°The government of Samoa is continuing to deliver on reforms that will strengthen our economy, enhance our resilience to climate change and natural hazards, and reduce the scourge of non-communicable diseases,¡± said Samoa¡¯s Minister of Finance Hon. Sili Epa Tuioti. ¡°We are pleased to partner with the World Bank as we work for Samoa¡¯s people, guided by our Strategy for the Development of Samoa.¡±
This operation provides upfront budget support and includes an innovative Catastrophe-Deferred Drawdown Option (Cat DDO), which provides quick financing in the aftermath of a natural disaster. For Samoa, the inclusion of a Cat DDO will specifically support the government¡¯s efforts to reduce Samoa's vulnerability to natural disasters and the effects of climate change, not only by providing substantial financing immediately after a disaster hits, but also by supporting key policy reforms to boost the resilience of homes, public infrastructure, and communities.
¡°The Samoan government is laying the foundations for a stronger, more resilient and healthier Samoa by continuing to implement a range of policy reforms to reduce vulnerabilities, including those reforms supported by this operation,¡± said Michel Kerf, World Bank Country Director Papua New Guinea and the Pacific Islands.
More concretely, the operation aims to:
¡¤ raise government revenues, and manage risks to remittance flows by ensuring compliance with international anti-money laundering and anti-terrorist financing standards;
¡¤ ensure the implementation of climate-resilient building standards for homes; improve the management and resilience of public infrastructure; and strengthen the resilience of communities to the effects of climate change and natural disasters;
¡¤ limit the negative impacts of alcohol consumption and improve the procurement and management of medicines.
The operation provides US$5 million as an upfront development policy grant from the International Development Association (IDA), the World Bank¡¯s fund for the most in-need countries, and an IDA grant of US$8.7 million available for disbursement under the Cat DDO in the event of a natural disaster.
Contacts:
Sydney: Ben Brighouse, +61 433 028 405, bbrighouse@worldbank.org
Washington: Marcela Sanchez-Bender, +1 (202) 473-5863, msanchezbender@worldbank.org
