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Floods in Malawi and Mozambique trigger REPAIR’s parametric coverage

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Devastating floods in Malawi and Mozambique triggered the practical trigger of the Regional Emergency Preparedness and Inclusive Recovery (REPAIR) program, disbursing more than US$22.3 million within seven working days to support emergency national flood responses in these countries, allowing governments to mobilize immediate relief.

As REPAIR participating countries, Malawi and Mozambique subsequently triggered activation requests of US$2.375 million and US$20 million respectively to supplement their national relief and early recovery operations.

REPAIR is a collaborative initiative led by the World Bank, supported by the Global Shield Financing Facility (GSFF), and implemented by ARC Ltd., an affiliate of the African Risk Capacity Group. These are the third and fourth payments since the program was created in July 2024.

The funds will be used to purchase life-saving supplies, including food and medical kits, water storage and sanitation equipment, as well as emergency shelter and household supplies.

In the past two months, the two countries have continued to experience heavy rainfall, causing severe flooding, killing at least 115 people, displacing tens of thousands of people, and damaging important infrastructure in both countries. In Mozambique, strong winds, wildfires and a cholera outbreak have complicated the situation.

According to official data from the Malawi government, floods in Nkhotakota District and surrounding areas in late December 2025 directly affected more than 49,000 people (approximately 10,900 households), causing 12 deaths and 2,132 households displaced and having to relocate to temporary camps set up in schools, churches and medical centers.

The country’s flood response is coordinated by the Department of Disaster Management Affairs (DoDMA) and supported by the National Local Government Finance Commission (NLGFC), one of REPAIR’s pre-identified delivery channels.

Meanwhile, in Mozambique, flooding in the provinces of Maputo, Gaza and Sofala has partially or completely destroyed more than 15,000 homes, directly affecting more than 231,000 people. The death toll has reached 112. In addition, 2,145 cholera cases have been reported in the provinces of Zambézia and Nampula.

The national disaster response operation is led by the National Institute for Disaster Risk Management (INGD), which works with the National Water Supply and Sanitation Authority and the Ministry of Health to provide food, safe water and sanitation, and medicines to affected people. These efforts have been hampered by damage to the national highway N1, hampering the movement of people and goods across the country.

ARC CEO David Maslo commented: “In times of crisis, rapid support can make the difference between shocks and humanitarian emergencies. Through REPAIR, ARC Ltd is supporting Malawi and Madagascar to respond to these difficult situations, ensuring critical funds reach the government quickly, as evidenced by payments being made within seven working days of initiating requests, so that relief can be mobilized before the situation worsens.”

Caroline Cerruti, Principal Financial Sector Specialist and REPAIR Regional Lead at the World Bank, added: “REPAIR is committed not only to strengthening the financial preparedness of participating countries, but also to strengthening their operational readiness. Current launch activities in Malawi and Mozambique benefit from lessons learned and crisis simulation exercises from last year to ensure that Treasury can quickly launch the program and quickly transfer funds to benefit affected communities.

“Peer learning between countries is an essential feature of creating a regional disaster risk finance ecosystem, thereby enhancing the climate resilience of a region that is highly vulnerable to natural shocks. We thank participating countries for their active engagement in restoration efforts and our commitment to stand with them in times of crisis.”

REPAIR has previously supported rescue and recovery efforts in the Comoros and Mozambique following cyclones Chito and Jude respectively.

These activities allow participating countries to benefit from each other’s experience in obtaining and delivering funds, while ongoing simulation exercises continue to strengthen multi-hazard preparedness and response systems and procedures.

In mid-2025, Malawi joined the second phase of REPAIR along with Angola, Burundi, Seychelles and Zambia, while the first phase consisted of Comoros, Madagascar and Mozambique.

REPAIR has established a regional climate risk fund worth up to US$926 million to increase the climate resilience of participating countries by supporting timely and scalable responses to natural shocks based on their severity.

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