St. Vincent and the Grenadines will receive 50-million U.S. dollars from the World Bank, following approval by its Board of Executive Directors of Supplemental Financing for the Second Fiscal Reform and Resilience Development Policy Credit (DPC).
In a statement on Friday, the international lending agency said that this quick-disbursing operation aims to help the country cover a large unexpected financing gap and address emergency needs caused by the La Soufrière volcano eruption.
The original DPC was approved in June 2020.
World Bank Country Director for the Caribbean, Tahseen Sayed said the eruption began as Saint Vincent and the Grenadines was still coping with the devastating socio-economic effects of the COVID-19 pandemic
Sayed noted that the eruption displaced close to a quarter of the island’s population and severely impacted livelihoods. She said the Bank values its strong partnership with St. Vincent and the Grenadines, and remains committed to supporting the people in their efforts to manage the impacts of both Covid 19 and this crisis
The statement added that the volcanic eruption, and the ensuing ashfall, mudslides, and pyroclastic flows have had a devastating impact on people’s livelihoods and the economy of St Vincent and the Grenadines.
According to the Bank — the supplemental financing to the DPC approved last year will help the government address emergency response and recovery needs, while also supporting long-term development goals.
