Economics Of Post-Disaster Loss And Damage
Summary
A flash flood in the Bhote Koshi–Trishuli corridor has caused massive physical damage and exposed gaps in how post-disaster losses are measured. The article argues that Nepal must account for long-term income, employment and livelihood losses, not just replacement costs, when assessing climate-related disasters.
Key Points
- The 26 August flash flood in the Bhote Koshi–Trishuli corridor caused severe damage to homes, roads, bridges, hydropower facilities, farms and businesses, with preliminary economic losses estimated at around Rs. 400 billion.
- The article says conventional disaster assessments miss “flow losses” such as lost income, wages, tax revenue, production and livelihoods that follow destruction of productive assets.
- It argues that Nepal should refine its loss-and-damage methodology to better support reconstruction, insurance, social protection, livelihood recovery and climate finance negotiations.
- The author frames the issue as one of climate justice, saying Nepal needs evidence for claiming the full economic damage caused by climate-induced disasters.
