 | | The city, having lost 85% of its building, appears to be almost flattened |
March 2, 2004—Last December, the ancient city of Bam, in southern Iran, was hit by an earthquake that killed more than 43,000 of the 100,000 residents and injured another 25,000. The city also lost 85 percent of its buildings and a 2,000-year-old citadel, Argo-e-Bam, when the quake struck at 5:30 on the morning of December 26, while most people were still asleep. Total damage was estimated at US$1.5 billion. Housing was hit worst, with damages reaching more than $700 million. Agriculture, commerce and manufacturing—key economic sectors in Bam—are expected to sustain combined losses totaling approximately $300 million. Hedi Larbi has just returned from Iran where he was a member of the Bank's team working with Iranian authorities to help design a post-recovery strategy. Mr. Larba, sector manager in Urban and Transport Sectors for the Middle East and North Africa region, spoke with DevNews about what he saw and how recovery efforts, which Iranian authorities say will take 24 to 36 months, are proceeding. What has been the Bank's role in Bam's post-recovery?  | | Commerce losses are expected to exceed US$200 million |
The Iranian authorities requested our assistance for damage assessment and planning of reconstruction program. A Bank multi-sectoral team went to Bam to carry out a comprehensive damage assessment with them. We prepared a thorough damage assessment report that details losses in all areas-the impact on the economic sector, infrastructure, social services, etc., and estimates the costs of reconstruction. We shared this report with the authorities who are now reviewing it. Now we are assembling a multi-sectoral team to prepare the reconstruction program alongside the authorities on the scope and implementation arrangement for recovery and reconstruction. The team just left for Bam, where they will stay there until March 20 or so. They will agree with the authorities on the scope of reconstruction. They'll outline a program, as well as its costing and financing. Then, we'll put in place appropriate institutional arrangements to help the authorities implement the program expeditiously. So after the team returns from Bam, we'll prepare an emergency loan that we plan to negotiate in May. What have the authorities been doing so far?  | | It could take up to two years to rebuild homes and other structures. |
The authorities have been doing extremely well. Since the earthquake, they've managed to provide first emergency services to people. They've provided food and emergency health care. They've put up people in makeshift shelters, and are now procuring temporary-prefabricated housing. They are putting in place a temporary sanitation system. They hope to soon set up emergency schools in tents to resume education. They are also looking at ways to help the population rekindle economic activities to both reduce the population's dependence on aid and to occupy them. They have also organized teams to provide psychological help. One important feature in Bam, and more generally the province of Kerman, is the wealth of cultural heritage, especially the unique citadel, Argo-e-Bam. People are very emotionally attached to this cultural patrimony. The citadel is source of pride these people. This cultural heritage is also a source of tourism, a major revenue for Bam, so reconstruction is important. That's why the restoration holds an important place for people in their reconstruction priorities. How long will the reconstruction take? The Iranian authorities estimate that reconstruction activities will take between 24-36 months. We think it will probably take a bit longer. The basic infrastructure should be completed within 24 months, but the rest will take longer because of complexity and sale of activities involved. However, the authorities seems to have secured enough resources and should be able to follow through on all recovery fronts. The bulk of financing will come from their own resources, along with the Bank's emergency loan to other types of financing. Related Stories
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