The devastating earthquakes that hit Turkey last week can result in Loss of up to 1% of This country’s gross domestic product (GDP). yearsaid the European Bank for Reconstruction and Development (EBRD) on Thursday.
in that latest In the report, ERBD said this is a “reasonable estimate” due to the expected boost from reconstruction efforts later this year yearwhich will offset the negative impact on infrastructure and supply chains.
Its magnitudes of 7.7 and 7.6 hit the nine hours separate in southeastern Turkey, severely hit Northern Syria on February 6, thousands destroyed of and severe damage to buildings on infrastructure.
authorities on Revise Thursday death The disaster’s toll is 36,187.
The provinces affected by the earthquake are home to about 13.5 million people, or 15% of Turkish population. the region accounts for close to 10% of The country’s gross domestic product.
“The earthquake greatly affected agricultural areas and well-known areas for light “Manufacturing, so the ramifications for other sectors are limited,” Beata Javorcik, chief economist at the European Bank for Reconstruction and Development, told Reuters.
growth for Turkey, the biggest beneficiary of EBRD funds have been adjusted down to 3% from 3.5% in 2023, without considering the impact of earthquake in estimates.
the bank added That growing external funding requirements and associated political uncertainty with The upcoming elections create significant economic vulnerabilities.
as depreciation of The Turkish lira has outpaced inflation since 2015, and Turkey’s exports have grown fastand take advantage of lower expressed costs in American dollar ” added.
earthquake impact on GDP is not likely to have the same impact as after the 1999 earthquake in Northwest Turkey, the heart of the industry, has been hit, said Mahmoud Mohieldin, Executive Director of the International Monetary Fund on Sunday.
Muhyiddin added It after the initial impact over the next few months , public And private sector investments in Rebuilding can boost GDP growth Going forward.
However, economists and officials estimated that the earthquake would depress the economy growth by up to two percent points this year. the government weather forecast growth at 5% in 2022, estimated growth by 5.5% in 2023 before the earthquake.
Status report published at the weekend by the Turkish Business and Enterprise Confederation (TÜRKONFED) cost of $84.1 billion in damage – $70.8 billion in repair of thousands of homes$10.4 billion in losses of national income and $2.9 billion in losses of workdays.
He said main The costs will be to rebuild housing, transport lines and infrastructure; and meet short, medium and long-term shelter needs of hundreds of thousands left homeless.
