When a disaster strikes, such as a hurricane or a major earthquake, relief efforts are often hampered by destroyed or damaged ground infrastructure, mostly roads, bridges, and railway networks. In the days following such a disaster, relief efforts hinge on air transport capacity, which only depends on a clear runway or landing sites for helicopters. First responders, who focus on saving lives, are primarily aviation units of the armed forces or law enforcement.
Like the massive earthquake in Japan earlier this year, the floods in Thailand are again exposing the vulnerabilities of fragmented global supply chains.
Last month, a team of economists from PREM's International Trade Department encountered some flooding side-effects during a visit to the Indonesian production site for ECCO, a Danish company that manufactures footwear. The news from Thailand: the ECCO production site there was under three meters of water, a problem for shoe-making. In order to transfer production to the factory in Indonesia, the workers needed the specific shoe molds used in the Thai factory. These specialized molds would have taken several weeks to manufacture, which would have further delayed production. So ECCO hired scuba divers to enter the Thai factory and recover the molds. They then shipped them via air to other factories around the region, including ECCO Indonesia.
A World Bank report released on July 30 finds that poverty in Pakistan fell by an impressive 17.3 percentage points between 2001 and 2008 (from 34.5 percent in 2001-02 to 17.2 percent in 2007-08). Three out of Pakistan’s four major provinces – Khyber Pakhtunkhwa (formerly NWFP), Punjab, and Sindh – saw significant declines in poverty during this period. The largest fall in poverty was in Khyber Pakhtunkhwa (KP). According to the Bank report “high level of remittances, both foreign and domestic, seem to have facilitated” the decline in poverty in KP.
|UN Photo/WFP/Amjad Jamal|
|For 24 hours last Saturday, Typhoon Ondoy dumped 455 millimeters of rain on Luzon, causing massive floods and destroying lives and property in Metro Manila. (Photo courtesy of IRRI Images under a Creative Commons license)|
Muelmar Magallanes, an 18 year-old construction worker, had already saved 30 people from the raging floodwaters last Saturday. Shivering and exhausted, he dived back into the murky waters to save a mother and a baby girl who were bobbing up and down among the floating debris and brought them to safety. Then he was gone, swept away by the torrents. His body was found the following day.
Magallanes is one of the more than 240 casualties caused by Tropical Storm Ondoy (international name: Ketsana). For 24 hours last Saturday, Typhoon Ondoy dumped 455 millimeters of rain (double the volume brought to New Orleans by Hurricane Katrina) on Luzon, causing massive floods in Metro Manila and the adjoining regions, destroying lives and property, and creating anguish and devastation in the metropolis.
|Photo © iStockphoto.com|
Floods, earthquakes and hurricanes cause significant loss of life and destruction of property in many countries. The incidence of such disasters has increased in recent years. There is a growing consensus, however, that being better prepared against natural disasters can be equally or more effective than immediate aid and relief.
Several studies have shown that migrants send additional remittances after severe shocks. However, there is little evidence of whether and how they help households prepare for natural disasters. In a recent paper for a forthcoming World Bank-UN assessment of the economics of disaster risk reduction, we analyze cross-country macroeconomic data as well as a number of household surveys to examine the "ex-post" response of remittances to natural disasters and their contribution to "ex-ante" preparedness.
|The 2006 earthquake killed Tito Judi's adopted son and destroyed his house. He feels the cheerful colors of his new home help to lift his spirits.|
On an early morning in 2006, an earthquake struck Special Province of Yogyakarta and Central Java in Indonesia. The place, known for its heritage, culture, scenery and humble life of its people, was devastated. The 6.2 Ricther Scale quake killed about 5,700 people and left more than 150,000 families homeless and 50,000 injured. But given the many life hardships that most of people have had to face since losing their homes and loved ones from the disaster, beneficiaries of the Java Reconstruction Fund (JRF) – managed by the World Bank – seem to have beaten the odds and have since long moved on with their lives.
What I found most interesting during my visits to the locations is the sense of style and creativity of the house owners. Especially in the villages of Bantul, Yogyakarta – the hardest struck area – people can easily identify houses that were funded by JRF through the outstandingly colored, newly constructed houses, painted in cheerful tints of pink, yellow, green, blue, red, or somewhere in between. How it all started was never revealed, but it seems everyone wanted to get away from the conservative colors of white, crème and grey.