It is predicted that the earthquakes in Kahramanmaras will bring a burden of more than $84 billion to the country’s economy. According to Bloomberg’s report, the total loss approached about 10% of Turkiye’s gross domestic product (GDP).
The American economy website Bloomberg wrote about the burden that the 7.7 and 7.6 magnitude earthquakes that occurred on February 6 will bring to the Turkish economy.
Bloomberg wrote that earthquakes can cause approximately $70 billion 800 million of damage to residences and a loss of $10 billion 400 million in national income. It was stated that the loss in the workforce could cost $2 billion 900 million. According to Bloomberg’s estimation, this means a total loss of $84 billion for Turkiye.
The calculation is based on the 1999 earthquake that killed approximately 18,000 people. Bloomberg predicted the total loss of life in the Maras earthquakes as approximately 80,000.
IT IS YET TOO EARLY TO GIVE NET NUMBERS
Although many economic institutions, including the British-based international bank Barclays, have emphasized that it is too early to calculate the full cost, this estimate by Bloomberg is much higher than other economists have calculated so far.
According to Bloomberg, damage to Turkiye’s infrastructure, including roads, power grids, as well as hospitals and schools, could push the country’s budget deficit above 5.4% of GDP this year, compared to the official estimate of 3.5%.
HOUSING WILL BE BUILT IN A YEAR
President Recep Tayyip Erdogan said that at the time of the disaster, ₺100 billion of funds were transferred to institutions and that they would complete the housing construction in the region within a year.
Source: Haber7 / Prepared by Irem Yildiz