WASHINGTON, November 28, 2025 – On November 24, 2025, the World Bank released US$500 million to support the Philippine Government’s recovery and reconstruction efforts in areas battered by Typhoon Kalmaegi (locally known as “Tino”).
According to the National Disaster Risk Reduction and Management Council (NDRRMC), more than 5 million people in over 400 municipalities and cities are affected, causing injuries and deaths, and damage to properties, agriculture, and public infrastructure including roads, bridges, seaports, and airports.[1] Typhoon Kalmaegi made landfall on November 4, 2025. Five days later, the Philippines was struck by Super Typhoon Fung-wong (locally known as “Uwan”) affecting almost 8 million people in over 900 cities and municipalities.[2]
These funds come 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 to strengthen the Philippines’ institutional and financial capacity to manage disaster and climate risks, with a particular focus on protecting schools, human settlements, and health facilities. As a contingent financing instrument, the DRM and Climate Cat DDO enables the Philippines to quickly draw funds to help manage the financial impacts brought about by natural disasters and disease outbreaks.
“During calamities, time is of the essence and having a readily available contingent financing is crucial in saving lives, responding quickly, and facilitating the resilient recovery of those hardest hit by disasters,” said Zafer Mustafaoğlu, Division Director for the Philippines, Malaysia and Brunei. “As the country reels from the devastating impact of Typhoon Tino, compounded by series of disasters since September including major earthquakes that hit Cebu and Davao Oriental, the World Bank is committed to support the country’s swift recovery and reconstruction efforts.”
The Cat DDO is one of many forms of assistance available from the World Bank Group to help countries boost their institutional preparedness and planning efficiencies to respond to natural disasters. It provides immediate access to funds after a major natural disaster, a time when available funds are often not adequate to meet the needs for reconstruction and recovery.
The Cat DDO financing is available for drawdown over a three-year period and includes a revolving feature whereby amounts repaid are available for subsequent withdrawal. The instrument may be renewed up to four times, for a total maximum period of 15 years.
Fides Borja, Senior Disaster Risk Management Specialist, emphasized, “Our commitment extends beyond immediate disaster response—we are dedicated to ensuring that schools, hospitals, and communities are resilient and well-prepared for future emergencies. This approach safeguards the continuous delivery of essential public services, even during disasters.” Borja emphasized, “We need to fundamentally rethink our approach to disaster risk management by supporting innovative reforms that deliver real-time, accurate, and evidence-based data. Such advancements will empower decision-makers and communities to proactively manage disaster and climate risks in critical sectors.”
The release of the Cat DDO funds followed President Ferdinand Marcos’ declaration of a State of National Calamity on November 6, 2025, and a request from the Philippine Government to access the liquidity facility on November 18, 2025. The National Disaster Risk Reduction and Management Council reports that the regions Calabarzon (Cavite, Laguna, Batangas, Rizal, Quezon), Mimaropa (Mindoro, Marinduque, Romblon, Palawan), Western Visayas, Central Visayas, Negros Island Region, Eastern Visayas, Northern Mindanao, and Caraga were affected by Typhoon Tino.
[1] National Disaster Risk Reduction and Management Council, Situation Report No. 30 for the Effects of Tropical Cyclone TINO (2025), November 26, 2025.
[2] National Disaster Risk Reduction and Management Council, Situation Report No. 24 for the Effects of Tropical Cyclone UWAN (2025), November 26, 2025.
