ASIATODAY.ID, WASHINGTON – The World Bank has released US$500 million on November 24, 2025, to support the Philippine Government’s recovery and reconstruction efforts in areas devastated by Typhoon Kalmaegi (locally known as “Tino”).
According to the National Disaster Risk Reduction and Management Council (NDRRMC), cited on Friday, December 5, 2025, more than 5 million people across over 400 cities and municipalities have been affected, with casualties, injuries, and extensive damage to properties, agriculture, and key public infrastructure such as roads, bridges, seaports, and airports.
Typhoon Kalmaegi made landfall on November 4, 2025. Five days later, the Philippines was struck again by Super Typhoon Fung-wong (local name “Uwan”), impacting nearly 8 million people in more than 900 cities and municipalities.
The funding is drawn from the US$500 million Disaster Risk Management and Climate Development Policy Loan with a Catastrophe Deferred Drawdown Option (DRM and Climate Cat DDO), approved by the World Bank’s Board of Executive Directors on November 16, 2023.
This instrument aims to strengthen the Philippines’ institutional and financial capacity to manage disaster and climate risks, with a particular focus on protecting schools, settlements, and health facilities.
As a contingent financing mechanism, the DRM and Climate Cat DDO enables the Philippines to quickly access funds to address the financial impacts of natural disasters and disease outbreaks.
Zafer Mustafaoğlu, Division Director for the Philippines, Malaysia, and Brunei, stated:
“In disaster situations, speed is critical. Having readily available contingent financing is essential to save lives, respond rapidly, and support the resilient recovery of the hardest-hit communities. As the country grapples with the severe impact of Typhoon Tino—compounded by a series of disasters since September, including major earthquakes in Cebu and Davao Oriental—the World Bank remains committed to supporting the Philippines’ recovery and reconstruction efforts.”
The Cat DDO is one of the World Bank’s key instruments designed to help countries strengthen institutional preparedness and planning capacity for natural disasters. It provides immediate access to financing after a major disaster, a period when available funds are often insufficient to meet reconstruction and recovery needs.
The facility may be drawn down over a three-year period and includes a revolving feature, allowing funds that have been repaid to be withdrawn again. It may be renewed up to four times, for a maximum total duration of 15 years.
Fides Borja, Senior Disaster Risk Management Specialist, emphasized:
“Our commitment extends beyond immediate disaster response—we aim to ensure that schools, hospitals, and communities are resilient and prepared for future emergencies. This approach safeguards the continuity of essential public services even during disasters. We must rethink our disaster risk management framework by supporting innovative, data-driven reforms that provide real-time and accurate information. Such advancements will empower decision-makers and local communities to more proactively manage disaster and climate risks across critical sectors.”
The release of the Cat DDO funds followed President Ferdinand Marcos Jr.’s declaration of a State of National Calamity on November 6, 2025, and the Philippine Government’s formal request to access the liquidity facility on November 18, 2025.
NDRRMC reported that the regions of Calabarzon, Mimaropa, Western Visayas, Central Visayas, Negros Island Region, Eastern Visayas, Northern Mindanao, and Caraga were among the areas affected by Typhoon Tino. (AT Network)
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