Initial Ditwah economic cost likely to reach 1-3% of GDP: First Capital CEO

Calls for bold capital-market solutions, issuance of national Infrastructure Bond to rebuild Sri Lanka Suggests investment banks should collaborate on effort at zero fee, placing national interest above commercial returns

- By CHARUMINI DE SILVA

FIRST Capital Holdings PLC Managing Director and CEO Dilshan Wirasekara yesterday said the initial estimates for the economic cost of the disaster range from $ 200 million to $ 2.9 billion, whilst warning that the final tally is likely to reach 1-3% of GDP.

“This is a massive undertaking. What we did during the tsunami or the 2016 floods will not move the needle here. We must think out of the box,” he stressed, speaking during a panel discussion on corporate financing needs in the aftermath of Cyclone Ditwah.

Wirasekara outlined three major categories of impact requiring attention which include; infrastructure damage, agricultural output losses and supply-side disruptions and the human toll, including loss of life and community-level hardship.