This archive report was first published on 8 August 2019.
Published on August 8, 2019, a report by the World Bank Group's Sustainable Infrastructure Series revealed that power outages, water shortages, and transport disruptions in Tanzania are costing firms up to $668 million annually.
According to the report, power disruptions are the most significant contributor to these losses, with an estimated $216 million in annual losses.
The report, which assessed the cost of disruptions from natural and man-made hazards to firms and households worldwide, found that transport disruptions in Tanzania cause an average loss of $325 million, with rain and floodwater being the primary causes.
Interestingly, the report noted that water supply disruptions, which cost up to $127 million annually, are less affected by natural hazards.
The report focused on four main areas - power, water and sanitation, transport, and telecommunications - that are vulnerable to natural hazards.
A pilot survey in Tanzania, which sampled 800 local firms across various economic sectors, highlighted the severe consequences of disruptions caused by natural or man-made disasters.
The report concluded that human-caused disruptions, combined with natural hazards, can stretch public infrastructure budgets, making Tanzania less attractive to investors.
According to the report, the global average loss from natural hazards is $30 billion annually, with low- and middle-income countries shouldering $18 billion of this amount.
