Nepal’s only billionaire says rebuilding after floods to cost $6.3b

KATHMANDU – Efforts to rebuild Nepal’s infrastructure after devastating floods this week could cost at least US$5 billion (S$6.3 billion), according to the country’s only billionaire.“I wouldn’t be surprised” if the eventual costs climb to that level, Binod Chaudhary, chairman at Chaudhary Group, said. “It is not only the money, but the amount of time it takes and the difficult geography.”The Chaudhary Group spans 12 business verticals, from food and telecom to infrastructure and banking.“It is a huge issue in front of us,” he said of the rehabilitation process and also getting the economy going again.Nepal’s Finance Minister Swarnim Wagle gave the same assessment, saying Nepal will need at least “a few billion dollars”.“Cumulatively, I think the losses and damages, when they will be finally quantified in a week or so, will amount to at least a few billion dollars,” Wagle said. “Preliminary estimates are quite worrying.”The floods tore through Nepal’s mountainous border region with China on Aug 26, engulfing villages and washing away roads and bridges.At least 469 people have been confirmed dead, according to police, with about 1,200 missing, including hundreds of foreign tourists.Early investigations suggest melting glaciers may have triggered the disaster.“We have been seeing complete disruption,” Chaudhary said, noting that power stations were also damaged.The Chaudhary Group is working with the government, local partners and the army, and has mobilised its staff to set up rehabilitation centres for displaced people within the next two days. It will then begin building homes and supporting affected businesses and schools.Chaudhary said the amount his group will be spending on this effort will be higher than it did in 2015, when a deadly earthquake sparked similar nationwide reconstruction work. BLOOMBERG