Case Study: Hurricane Mitch

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Occured in 1998

Nicaragua

Impacts:

  • 3,000 people were killed
  • Crops failed and 50,000 animals died
  • Almost 24,000 houses were destroyed
  • 340 schools were either damaged or destroyed

How it set back development:

  • In 1998, the GDP only grew by 4%
  • Exports of rice and corn decreased as crops were damaged
  • This resulted in people earning less money, so they became poorer 
  • The government therefore had less money to spend on development
  • The total damage was estimated to be $1.2 billion
  • Cost of repairs took money away from development 

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