World Bank Supports Strengthening Health Emergency Preparedness and Reducing Vulnerability in Honduras

WASHINGTON – The World Bank Board of Executive Directors approved today two new projects, totaling US$185 million, to support Honduras strengthen the delivery of adolescent, maternal and child health services, improve its public health capacities for emergency preparedness and consolidate its framework to manage disaster and climate-related risks, including disease outbreaks.

“The Government of Honduras prioritizes protecting the health, well-being and lives of the entire Honduran population and these two new projects will support the national efforts to provide better health services, especially to vulnerable populations, and prepare to better respond in case of emergencies,” said Rixi Moncada, Minister of Finance of Honduras.

The first operation, the US$75 million Restoring Essential Services for Health and Advancing Preparedness for Emergencies (RESHAPE) Project, aims to improve utilization of reproductive and child health services in priority regions and strengthen public health capacities for emergency preparedness and, in case of a crisis or an emergency, respond promptly and effectively.

The project will directly benefit an estimated 3 million women of childbearing age, 640,000 children under five years and 600,000 adolescents aged 15-19 years with improved maternal, newborn, children and adolescent health services. Improving the capacity of the Honduran health system to prevent, detect and respond to health emergencies will benefit all residents of Honduras, around 10.1 million people.

The RESHAPE project, to be implemented by the Ministry of Health, will be financed by a US$60 million credit from the International Development Association (IDA) and a US$15 million grant from the Global Financing Facility for Women, Children and Adolescents (GFF) specifically to restore and protect essential health services amid multiple crises, including COVID-19.

The second operation, the US$110 million Second Disaster Risk Management Development Policy Credit with a Deferred Drawdown Option (Cat DDO), aims to further support the substantive efforts of Honduras to manage its exposure and vulnerabilities to adverse natural and health events, following the compound crises of the COVID-19 emergency and the Eta and Iota Tropical Storms, and to provide financing that can be mobilized quickly in the aftermath of future emergencies.

The objective of the Second Cat DDO is to consolidate and expand Honduras’ institutional, regulatory, policy and financial framework to manage disaster and climate-related risks, including disease outbreaks, and to mainstream disaster risk management and climate resilience in priority sectors. Following the full disbursement of the First Cat DDO (US$119 million) in 2020 during the COVID-19 emergency, the second Cat DDO provides access to fast disbursing resources as bridge financing for future emergencies.

“The provision of quality health services to vulnerable populations will improve the quality of life of families in Honduras and will contribute to the accumulation of human capital. Also, strengthening the country’s capacities to better prepare for and respond to emergencies will help mitigate negative impacts on people’s livelihoods and economic growth,” said Boris Weber, World Bank Resident Representative in Honduras.

The US$60 million credit granted by IDA for the Restoring Essential Services for Health and Advancing Preparedness for Emergencies (RESHAPE) Project has a final maturity of 30 years, including a grace period of 5 years. The US$110 million credit granted by IDA for the Second Disaster Risk Management Development Policy Credit with a Deferred Drawdown Option (Cat DDO) has a final maturity of 30 years, including a grace period of 5 years.

IDA

The World Bank Group’s International Development Association (IDA) helps the world’s poorest countries. Established in 1960, IDA aims to reduce poverty by providing zero to low-interest loans (called “credits”) and grants for programs that boost economic growth, reduce inequalities, and improve people’s living conditions.

GFF

The Global Financing Facility (GFF) is a multi-stakeholder partnership hosted at the World Bank that supports countries with the world’s highest maternal and child mortality burden and financial needs. The GFF uses small amounts of grant financing linked with larger amounts of World Bank operations to catalyze a country-led process to target the most effective interventions for women, children and adolescents including on sexual and reproductive health, nutrition and helping to build resilient and equitable health. Since the GFF was founded in 2015, partner countries have made significant progress to improve maternal and child health.