NICARAGUA Earthquakes and Hurricanes RISK PROFILE What is a country disaster risk profile? Snapshot An estimation of the potential economic losses to property caused by adverse natural hazards. The earthquake risk in Develop key baseline data Nicaragua is more significant Country Disaster Evaluate impact of disasters Risk Profile than the hurricane risk. Promote and inform risk reduction Applications Inform disaster risk financing Annual Average Loss (AAL) from earthquakes Country At-A-Glance is US$ 89M (0.75% GDP US$ Population Total Building Exposure US$ (Replacement Value) of GDP) and from 11.8 billion 6.2 million 22.1 billion hurricanes is US$ 26.35M (0.22% of Population Gross Capital Rural 42% Stock Public 37% GDP). The Probable Maximum Urban 58% Private 63% Loss for earthquakes (250 year return period) is US$ 1.4B (12% of GDP) Two representations of earthquake risk and for hurricanes (250 year return period) is US$ Provinces by ratio (AAL/Province Exposure) 748M (6% of GDP). lowest ratio nnnnn highest ratio Single-family, residential AAL (in millions US$) houses constructed with 13-41 0.99-12 reinforced masonry bearing 0-0.98 walls are the buildings most vulnerable to earthquakes, Relative Risk: The darker the color, the accounting for over higher the ratio of AAL/Province Exposure. The darkest color represents the province 34% of AAL. of Rivas which has a higher proportion of vulnerable structures due to construction types and/or potentially higher earthquake intensity. Absolute Risk: The larger the circle, the higher the Annual Average Losses that the province could potentially incur over the long term. NICARAGUA What is at risk in Nicaragua? Economic assets such as residential and non-residential buildings are at risk. These assets that are exposed to natural disasters are referred to as a country’s Legend Building Exposure. Exposure (in millions US$) The map illustrates the value and n<8 n 8 – 30 distribution of residential and n 31 – 65 non-residential buildings in Nicaragua at n 66 – 110 risk from earthquakes and hurricanes. n > 110 What are the potential losses in Nicaragua? These charts show the estimated potential future losses to Nicaragua that could be caused by earthquakes and hurricanes that could occur within a given return period. In 1972, a magnitude 6.2 earthquake struck Nicaragua. If this historical event were to happen in 2015, it would cause losses of US$ 550M amounting to 5% of GDP. Estimated Losses Due to EARTHQUAKES Estimated Losses Due to HURRICANES $3,000 $1,500 Millions (US$) Millions (US$) $2,000 $1,000 $1,000 $500 $0 $0 Historical 50 100 250 500 1,000 50 100 250 500 1,000 Return period in years Return period in years How can earthquake risk 70% 1.4% be reduced? AAL as a % of exposed value (risk indicator) 60% 1.2% Risk reduction measures could be AAL as a % of its total 50% 1.0% prioritized in the highest risk ranked province of Rivas (see map on previous 40% 0.8% page).  At an estimated additional 30% 0.6% cost of US$ 21M, most single family mud walled buildings in Rivas could 20% 0.4% be retrofitted up to the standards of 10% 0.2% reinforced concrete buildings which 0% 0.0% would reduce the earthquake risk of Adobe Wood Masonry Concrete Critical Other those mud walled buildings by over 80%. Infrastructure Generalized construction type This would also reduce the country’s n AAL as % of its total n AAL as % of exposed value AAL by 5%. To learn more, visit: collaboration.worldbank.org/groups/cdrp or email cdrp@worldbank.org In Collaboration with Financed by NICARAGUA © 2016 International Bank for Reconstruction and Development / The World Bank 1818 H Street NW Washington DC 20433 Telephone: 202-473-1000 Internet: www.worldbank.org This work is a product of the staff of The World Bank with external contributions. The findings, interpretations, and conclusions expressed in this work do not necessarily reflect the views of The World Bank, its Board of Executive Directors, or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of The World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries. Rights and Permissions The material in this work is subject to copyright. Because The World Bank encourages dissemination of its knowledge, this work may be reproduced, in whole or in part, for noncommercial purposes as long as full attribution to this work is given. Any queries on rights and licenses, including subsidiary rights, should be addressed to World Bank Publications, The World Bank Group, 1818 H Street NW, Washington, DC 20433, USA; fax: 202-522-2625; e-mail: pubrights@worldbank.org.