Guyana: Venezuela Faces Estimated US$6.7 Billion in Economic Losses from Earthquakes, UNDP Reports

On June 24, Venezuela experienced significant earthquakes that have resulted in considerable human suffering and loss of life, alongside severe impacts on livelihoods, infrastructure, and essential services. The United Nations Development Programme (UNDP) has provided a preliminary estimate indicating that the direct physical damage could amount to approximately US$6.7 billion, which is roughly 6% of the country’s GDP.

The assessment utilized seismic modeling, satellite imagery, and population data, conducted shortly after the earthquakes. The quakes, which registered magnitudes of 7.2 and 7.5, struck near Venezuela’s northern coast and were felt in major population centers and economically significant regions, including Caracas and the states of La Guaira, Carabobo, Miranda, Yaracuy, and Aragua.

According to UNDP, around 1.7 million structures were located in the affected areas, with a significant concentration in the hardest-hit states. The analysis revealed that approximately 8.6 million individuals experienced above moderate shaking, with around 2.1 million exposed to stronger tremors. As of June 26, the official death toll stands at 920, though this number is expected to increase as rescue operations continue.

The estimated direct physical damage of US$6.7 billion, with a range between US$4.7 billion and US$8.7 billion, is primarily attributed to losses in housing and economic assets. This figure does not encompass infrastructure damage, broader economic disruptions, or long-term reconstruction costs. The total impact is likely to be calculated as 1.5 to 3 times the direct damage as more information becomes available.

Luis Francisco Thais, UNDP Resident Representative in Venezuela, emphasized the importance of rapid assessments for effective crisis response. He stated, “The speed and accuracy of early assessments are essential for an effective response. Tools like RAPIDA help us make faster, evidence-based decisions to support affected communities.” He also noted that crises present opportunities to rethink development strategies with resilience at their core, ensuring recovery not only restores what was lost but also fosters a sustainable future.

Additionally, satellite data indicates potential power outages in regions such as Carabobo, La Guaira, Caracas, and Aragua, as evidenced by reductions in night-time lighting following the earthquakes. UNDP’s AI-powered Rapid Digital Assessment, RAPIDA, employs satellite imagery and Geographic Information Systems (GIS) technology to provide immediate situational awareness. This high-resolution imagery aids in detecting damage, identifying vulnerable populations, and facilitating coordinated interventions within 72 hours of a crisis. Further satellite analysis is ongoing as clearer imagery becomes available to assist authorities in evaluating casualties and displacement.

Source: demerarawaves.com