The recent earthquakes that hit Turkey’s southeast region have caused significant damage, according to an official report by the Turkish government. The report, which covers the damage to buildings, infrastructure, industry, insurance, and the macroeconomic impact, estimates that the total cost of the damage caused by the earthquake is about 2 trillion liras ($103.6 billion). The presidency’s strategy and budget office stated that this amount equates to around 9% of this year’s gross domestic product.
The report further stated that the 11 provinces that were affected by the earthquakes accounted for 9.8% of the national economy and 8.6% of exports in 2022. The textile industry, in particular, suffered greatly, with its exports accounting for 35% of the industry’s total exports. In comparison, the World Bank’s preliminary assessment estimated physical damages of $34.2 billion, while a business group’s assessment predicted costs of over $84 billion
The earthquake, which measured 7.7 and 7.6 on the Richter scale, struck on February 6th and caused more than 50,000 deaths in Turkey and Syria. Hundreds of thousands of people were also left homeless as a result. President Erdogan, facing an upcoming election on May 14th, pledged to rebuild 319,000 homes within a year.
The European Commission and the Swedish Presidency of the Council of the EU will host an International Donors’ Conference on March 20th in Brussels to raise funds and support those impacted by the earthquakes. The Turkish government’s estimate of the damage is significant, and the cost of reconstruction will be a considerable challenge for the country. However, the government’s commitment to rebuilding and international aid offer hope for a better future.
