Bolivia will receive a 250-million dollars contingent loan from the Inter-American Development Bank (IDB), with the objective to build greater financial resilience against floods, droughts, forest fires and possible epidemic and pandemic outbreaks in the country.

This operation, together with a technical assistance program, will contribute to improving the country’s integrated disaster risk management in the following five strategic areas: i) governance and policy framework development, ii) risk identification and knowledge, iii) disaster risk reduction and adaptation, iv) disaster preparedness and management, and v) risk financial management.

Therefore, Bolivia will be able to quickly access resources in the event of natural disaster and public health emergencies to finance immediate care for the affected population, helping lay the groundwork for a rapid and sustainable recovery. If resources from the loan are disbursed in the event of an extreme event, the financial conditions that the financing would have are a 25-year repayment term, a 5-year grace period, and an interest rate based on the Secured Overnight Financing Rate (SOFR).