GREAT BAY--The establishment of a Disaster Reserve Fund (DRF) is a central feature of a newly approved project between the Government of St. Maarten and the World Bank aimed at protecting the country against future shocks while strengthening the long-term impact of Trust Fund investments.
The new Sustaining Program Effectiveness and Advancing Resilience (SPEAR) Project has been approved by the Government of St. Maarten and the World Bank to strengthen public sector systems, deepen institutional capacity, and safeguard jobs and the long-term sustainability of Trust Fund investments that have supported the country’s recovery and resilience since Hurricane Irma.
As part of its portfolio, the SPEAR Project will support the establishment of the Disaster Reserve Fund to manage risks and, once sufficiently financed, ensure that when the next shock occurs, a resilient St. Maarten can finance its initial response from its own resources. The fund is intended to strengthen the country’s financial preparedness and reduce vulnerability during the early stages of a future crisis. How exactly that will work has not been divulged.
In addition to supporting the Disaster Reserve Fund, the SPEAR Project will strengthen how decisions are made, how resources flow, and how accountability is enforced in St. Maarten. It will also modernize budget preparation systems and embed monitoring and evaluation tools across government operations. These measures are aimed at ensuring that gains made through Trust Fund projects are institutionalized and strengthened over time, supporting sustained results throughout the Trust Fund’s extended implementation period and beyond.
Stressing the importance of sustainability, the Honorable Marinka J. Gumbs, Minister of Finance of St. Maarten, said: “The SPEAR Project represents a major step forward in how Sint Maarten builds and sustains resilience. By strengthening our governance systems and operational capacity, we are making sustainability a core part of our recovery. SPEAR provides essential fiduciary support for ongoing projects and drives better services across government, particularly through improved budgeting and modernized procurement.”
The World Bank also underscored the broader institutional value of the initiative. Lilia Burunciuc, World Bank Director for the Caribbean, said: “The SPEAR Project shifts Sint Maarten’s recovery from project delivery to institutional strengthening. Sint Maarten will be better equipped to manage risks, allocate resources efficiently and sustain the impacts of transformational investments financed under the Trust Fund.”
By strengthening government systems, the SPEAR Project is also expected to help create and sustain long-term jobs by supporting local firms, building skills, and enabling smoother project delivery in St. Maarten.
Overall, the project is designed to move the country beyond recovery project implementation toward stronger institutions, better governance, and greater long-term resilience, while ensuring that the investments made through the Trust Fund continue to deliver benefits well into the future.
https://tribune-site.webflow.io//articles/disaster-reserve-fund-at-center-of-new-st-maarten-world-bank-spear-project
