Costa Rica: Cat DDO

Costa Rica Catastrophe Deferred Drawdown Option (Cat DDO): providing countries with rapid access to funds after a natural disaster (English)
ABSTRACT
The Catastrophe Deferred Drawdown Option (Cat DDO) is a contingent line of credit offered by the World Bank to help IBRD countries take a proactive stand towards reducing exposure to catastrophe risk and access funds immediately after a natural disaster. Costa Rica was the first country to request a Cat DDO and to draw down on its loan after a 6.2 magnitude earthquake struck the country in 2009. The Cat DDO complements other financial instruments and disaster risk management measures in place in the country.