What are we funding?
GRANT AMOUNT | ENDORSEMENT DATE | ACTIVITIES | INSTRUMENTS SUPPORTED | WB PROJECT |
US$9 million | May 10, 2022 | Cofinancing a US$102 million World Bank project to strengthen Bangladesh’s flood management capacity |
| Jamuna River Sustainable Management Project 1 (P172499) US$ 102 M (approved on September 19, 2023) |
- Bangladesh has developed numerous microinsurance programs but has limited experience developing macro/sovereign products, where the government is the insurance policyholder and any payouts increase its financial capacity to respond to shocks.
- A US$9 million GSFF grant is cofinancing a US$102 million World Bank project to strengthen Bangladesh’s flood management capacity. Approved in September 2023, the World Bank project invests in risk reduction and risk financing measures. The GSFF grant will finance the development of the country’s first macro/sovereign risk transfer product linked to a community protection (contingency) fund.
- The macro/sovereign risk transfer instrument, still in development, will provide an estimated US$30 million in coverage over three years to approximately 400,000 people in the event of catastrophic flooding.
- The proposed US$1.4 million contingency fund, capitalized by the government budget, will offer three years of coverage and provide relief to approximately 56,000 people for specific eligible events that are not covered by the macro/sovereign insurance mechanism.
Useful links
- Jamuna River Sustainable Management Project 1 (P172499)
- World Bank helps Bangladesh Improve Riverbank Protection and Navigability of the Jamuna River