The present study deals with climate risk management by the use of weather derivatives and the issue of bonds. The study will focus on the Greek agricultural economy, which is affected by weather conditions. In more detail, this is a presentation of the Greek agricultural economy and of the practices followed for managing the risks faced by farmers. Also included are the reasons why current practices can no longer be applied and thus this present study proposes a solution for climate risk management. Finally, the project presents the parties that take a direct interest in the management of the risk arising from natural disasters and a detailed description of weather derivatives. This project is co-funded by the European Union - European Social Fund & National Resources - EPEAEK.