The World Bank has estimated the physical damage caused by the June 24 earthquakes in Venezuela at a staggering $19.6 billion. This assessment, reported by the EFE agency, represents the most comprehensive evaluation to date of the disaster's impact.
Using the Global Rapid Post-Disaster Damage Estimation (GRADE) methodology, the World Bank warned that without proper funding, reconstruction efforts could hinder Venezuela's economic recovery for the next decade.
Breakdown of Damage and Economic Impact
The report detailed that nearly half of the financial impact fell on housing, with damages totaling $9.3 billion, representing 47% of the overall loss. Infrastructure faced losses of $5.2 billion (27%), while non-residential buildings accounted for $5 billion (26%).
Geographical Concentration of Destruction
The devastation was heavily concentrated in specific regions. La Guaira and the Capital District experienced about 47% of the total economic damage, with Miranda and Carabobo also suffering significant losses. Collectively, these areas accounted for 85% of the estimated damage.
This figure far exceeds the initial international benchmark set by the United Nations Development Program, which had estimated direct damages at $6.7 billion just four days after the earthquake, equating to roughly 6% of Venezuela’s GDP.
Financial Risks of Reconstruction
The World Bank also cautioned about the financial risks associated with rebuilding. If reconstruction efforts are funded solely by reallocating resources from other investment projects, without increasing public and private investment, they could remain incomplete for a decade. In such a case, Venezuela's productive capacity, GDP, and consumption levels may not return to pre-disaster figures until at least 2036.
The World Bank is collaborating with the Venezuelan government, the Inter-American Development Bank, and the Development Bank of Latin America and the Caribbean to outline the necessary technical and financial support for the upcoming stages of evaluation, recovery, and reconstruction.
Rebuilding Bridges of Cooperation
This report coincides with a significant institutional moment: the World Bank had suspended its relations with Venezuela in 2019 amidst international disputes over the government led by Nicolás Maduro. Just three months before the earthquake, in April 2026, the organization announced the resumption of ties under the government of Delcy Rodríguez, paving the way for the cooperation now underway.
The human toll of the disaster also continued to rise, with the official death toll reaching 5,398 after adding 52 new fatalities, as announced by National Assembly President Jorge Rodríguez. The dual earthquakes—measuring 7.2 and 7.5 in magnitude and occurring just 39 seconds apart—are among the most destructive in the country’s recent history.
“Effective recovery begins with reliable information,” stated Susana Cordeiro Guerra, the World Bank’s Vice President for Latin America and the Caribbean. She emphasized that the evaluation provides the Venezuelan government and its partners with an objective foundation for planning reconstruction and reiterated the institution’s commitment to supporting this process.
Understanding the World Bank's Role in Venezuela's Recovery
What methodology did the World Bank use to estimate the earthquake damage in Venezuela?
The World Bank utilized the Global Rapid Post-Disaster Damage Estimation (GRADE) methodology to assess the physical damages caused by the earthquakes in Venezuela.
How will Venezuela's economic recovery be affected by improper reconstruction funding?
Without adequate funding, reconstruction efforts might remain incomplete for a decade, potentially keeping Venezuela's productive capacity, GDP, and consumption below pre-disaster levels until at least 2036.
Which regions in Venezuela were most affected by the earthquakes?
La Guaira, the Capital District, Miranda, and Carabobo were the regions most affected, accounting for 85% of the total estimated damages.