News

  • Do more with your content!Discover PreventionWeb Services
  • Parametric sovereign cat bonds: the way to insure the Belt and Road
    https://www.preventionweb.net/go/73671

    Email sent!

    An email has been sent to the email addresses provided, with a link to this content.

    Thank you for sharing!

    OK

Parametric sovereign cat bonds: the way to insure the Belt and Road

Source(s):  Intelligent Insurer, Newton Media Ltd

Countries in Central Asia and Eastern Europe that have been recipients of Chinese investment via projects associated with its Belt and Road Initiative (BRI) should use parametric sovereign cat bonds to insure themselves against the risk of natural disasters.

That is the view of Kirill Savrassov, an insurance-linked securities (ILS) and sovereign risk transfer specialist.

[...]

“China has spent tens of billions of dollars in infrastructure across the region but practically none of it is properly insured against physical damage, despite the region being at high risk from earthquakes and other natural disasters.

“In countries such as Uzbekistan, Kazakhstan or Tajikistan it is not a question of if an earthquake will hit, but when—and how devastating it will be.”

[...]

Emerging markets governments are therefore looking for innovative ways to increase their access to finance to enable disaster response, recovery, and rebuilding—and Savrassov believes parametric sovereign cat bonds are the most logical and effective way for emerging markets to resolve their risk financing challenges.



Add this content to your collection!

Enter an existing tag to add this content to one or more of your current collections. To start a new collection, enter a new tag below.

See My collections to name and share your collection
Back to search results to find more content to tag

Log in to add your tags
  • Publication date 17 Sep 2020

Please note:Content is displayed as last posted by a PreventionWeb community member or editor. The views expressed therein are not necessarily those of UNDRR PreventionWeb, or its sponsors. See our terms of use

CONTRIBUTED BY: A PreventionWeb user