BRIDGETOWN, Barbados – The Executive Director of the Fund for Responding to Loss and Damage (FRLD), Ibrahima Cheikh Diong, has said that Caribbean Community (CARICOM) countries susceptible to natural disasters, can expect a speedy disbursement of grant financing from a recently-launched multilateral funding agency.
Executive Director of the Fund for Responding to Loss and Damage (FRLD), Ibrahima Cheikh Diong, speaking to CMC on Tuesday (CMC Photo)Diong told the Caribbean Media Corporation (CMC) that CARICOM and other Small Island Developing States (SIDS) will benefit from the initiative as they prepare to face another active Atlantic hurricane season that officially starts in June.
Diong, who is in Barbados for a two-day regional workshop, which ends on Wednesday, said that it is even more critical for an urgent response to requests from vulnerable countries in light of the pending hurricane period.
The Fund recently launched its US$250 million package of early interventions under the Barbados Implementation Modalities (BIM), a pivotal moment for developing countries most vulnerable to the adverse effects of climate change.
The workshop here will, among other things, accept funding requests from governments, with Diong urging countries to submit their priority areas before the June 15 deadline.
“An important innovation also in the early intervention, is that a minimum 50 per cent is dedicated to the SIDS and LDCs (lesser developed countries) recognizing how vulnerable they are.
“So, the idea is that June 15 is the cut off date, unless our board decides to extend the deadline. We go to July, I believe to the end of July, for our next board meeting which ones access support,” Diong said.
“Then from there, it’s just a process of managing our relationship with our trustee, which is the World Bank; and the trustee will basically disburse the funds based on the decision made by the board. So, it’s very straight forward, because loss and damage is such a dire situation to be in.
“Rapid response in getting the funds is what is needed. It’s very important; that is why tomorrow, I am going to be visiting the same areas where we have seen the impact of hurricane Beryl, just to se how the rebuilding has been taking place; just to understand the sense of urgency by intervention,” Diong stated.
He said that initial funding which will take the form of grants at this stage, will be between five million and US$20 million.
However, Diong told CMC that the financial assistance is not only about the immediate climate change requests, but a long-term goal to have the fund topped up with billions of dollars.
“We also are looking at the future of the fund, the BIM that we are launching. The BIM was designed with a couple of interesting features. Focusing on the conditions. Secondly, grant only at this stage; we are not looking at any other financial instrument; US$5 million to US$20 million per initiative; that is range to which we financing. A minimum of 50 per cent going to SIDS and LDCs.
“So, it’s up to the countries, based on their needs, how much they would like to come to FRLD for funding, or other funds as well; ultimately, knowing that when you put that US$5 million to US$20 million it will be enough to meet their demands. So, we are looking at the gaps we are filling in, and making sure that what we provide can be put to use very quickly, so we can respond,” said the FRLD executive director.
He explained that the financing is being sourced from global pledges, noting that of the US$820 million promised, US$440 million has already been released.
Diong also assured that the process by which countries are able to access funding that is affordable and non-burdensome, will be free of “red tape.”
