Worst earthquake in Turkey over the course of a century, he left behind disasters that could cost Ankara as much as $84.1 billion, according to business organizations, while a government official said the figure would top $50 billion.

The number of deaths in Turkey And Syria after the 7.8 magnitude earthquake last Monday it is approaching 36,000 and is expected to increaseas the focus of the response shifted from rescuing survivors trapped under rubble to providing shelter, food and psychological assistance.

A report released over the weekend by the Turkish Business Confederation puts the cost of damage at $84.1 billion, of which $70.8 billion is for the renovation of thousands of homes, $10.4 billion is a loss of national income and $2.9 billion is loss of working days.

It says how the main spending will be related to rebuilding homes, power lines and infrastructure, as well as meeting the short, medium and long term housing needs of hundreds of thousands of homeless people.

Erdogan said the state would complete the renovation of the houses within a year and that the government was preparing a program to “lift the country up again.”

About 13.4 million people live in the ten provinces affected by the earthquake, or 15% of Turkey’s population, and generate almost 10% of GDP.

Economic consequences of the earthquake

The earthquake’s impact on gross domestic product is unlikely to be announced, as was the case after the 1999 earthquake in northwest Turkey that affected industrial areas, International Monetary Fund Executive Director Mahmoud Mohieldin said on the sidelines of the Arab Fiscal Forum on Sunday. .

Mohyeldin added that after the initial effects that will appear in the coming months, public and private sector investment in reconstruction can lead to an increase in GDP.

However, according to economists and officials, the earthquake will reduce economic growth this year by two percentage points.

The government forecasts growth at 5% in 2022 and is estimated to reach 5.5% in 2023 before the quake.

Turkey is due to hold presidential and parliamentary elections later this year, the biggest challenge Tayyip Erdogan has faced in his two decades in power.

A three-month state of emergency has been declared in 10 affected provinces, and the central bank has suspended payments on some loans. The Ministry of Finance declared force majeure until the end of July and suspended tax payments in the region.

According to APE-MPE-Reuters