Estimated Direct Damage from Turkey Earthquake at $25 Billion: JPMorgan

JP Morgan Bank said today, Thursday, that the direct damage to facilities in Turkey due to the devastating earthquake that occurred on February 6, could reach 2.5% of GDP growth, or 25 billion dollars.

The total death toll from the earthquake in Turkey and Syria has risen to more than 41,000 and millions are in need of humanitarian aid, with many survivors left homeless in winter temperatures close to freezing zero.

“The earthquake in Turkey has led to tragic loss of life and has severe economic repercussions,” said Fatih Akçelik, economist, in a note to customers.

The bank said it also expects the central bank to cut interest rates another 100 basis points at next week’s meeting, to 8%.

“The political leadership has indicated further interest rate cuts even before the earthquake… We do not rule out further interest rate cuts before the elections scheduled for June 18,” Akçelik said.