Damages from devastating earthquakes in Turkey and Syria have jumped to $84 billion, or nearly 10% of the country's gross domestic product, according to the Turkish Enterprise and Business Confederation (TÜRKONFED).
According to a report published by Bloomberg, the two earthquakes measuring 7.7 and 7.6 on the Richter scale are likely to have caused damage to residential buildings by about $70.8 billion, along with another $10.4 billion in loss of national income, according to what the confederation announced.
The union said the loss in the workforce could cost Turkey's economy $2.9 billion, as the quakes affected 10 provinces and severely affected 13.5 million people in the country's southeast, as well as in neighboring Syria.
The calculations of the confederation were based on the 1999 earthquake that was near Istanbul, which claimed the lives of about 18,000 people, as the death toll from the current disaster far exceeded the 1999 earthquake, while thousands are still missing.
The union's estimate is the highest so far of that of other economists, although many, including Barclays, stress that it is too early to assess the full impact of the disaster.
Moreover, the union's report estimated that damage to infrastructure, such as roads and electricity networks, as well as hospitals and schools, could push the budget deficit to more than 5.4% of GDP this year, compared to official estimates of 3.5%.
Separately, preliminary calculations by Bloomberg Economics show that costs associated with the disaster, including the rebuilding effort, could approach 5.5% of GDP.
Turkish President Recep Tayyip Erdogan has said his government will finish rebuilding housing within a year, initially allocating 100 billion lira ($5.3 billion) for disaster relief.
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