How we work
NDRMF is providing a common mechanism to pool various contributions and serve as a vehicle for donor coordination on disaster risk management by the government. NDRMF is supporting existing government entities and civil society organizations, involved in disaster risk management, including the National Disaster Management Authority (NDMA), Provincial Disaster Management Authorities (PDMA), District Disaster Management Authorities (DDMA), academia and research institutions, etc.
Overall Implementation Arrangement
The Economic Affairs Division (EAD) of the Ministry of Finance is the Executing Agency for NDRMF. A special purpose company has been established under Section 42 of the Companies Ordinance for managing NDRMF. The NDRMF is regulated by the Securities and Exchange Commission of Pakistan (SECP) and has an extensive statutory governance and reporting requirement under the ordinance.
The Government has received a $200 million loan from the Asian Development Bank and grants of $3.4 million by the Government of Australia and $1.5 million by the Swiss Agency for Development and Cooperation (SDC) to contribute to the financing of the NDRMF and draft the National Flood Protection Plan IV (2016-2025). The Government will make regular (annual) budgetary contributions of not less than 20% of the amount made available by co-financiers and the Asian Development Bank (ADB) through the loan.
It is expected that more international donor agencies will support NDRMF by pooling in more funds to comprehensively address key issues in Disaster Risk Reduction (DRR) and Disaster Risk Financing (DRF).
NDRMF has robust governance and management structures which work as highlighted by the following flow chart:
Figure: Flow Chart
The Fund administration is the sole responsibility of NDRMF Board and Management, and oversight will be performed by the regulator (SECP) and the government as stipulated under the law and articles of associations of the Fund.