Four countries in Southeast Asia, Cambodia, Indonesia, the Philippines, and Vietnam have suffered 9 billion U.S. dollars economic loss annually due to poor implementation of sanitation, about 2 percent of their combined GDP, a recent study conducted by the World Bank has said.
The study said that Indonesia, the biggest Southeast Asia economy, had suffered the most losses of 6.3 billion U.S. dollar per year.
Indonesia has struggled to save its state budget from the impact of the global economic slowdown, soaring oil price and commodities, as well as high inflation pressure. The government has planned to widen the budget deficit from 1.7 percent of the GDP or 73.3 trillion rupiah (about 7.97 billion U.S. dollars) to 2percent of the GDP or 83.7 trillion rupiah (some 9.1 billion U.S. dollars).
"Should sanitation be improved, the losses can be reduced and it can help reduce the deficit," an expert of the World Bank who goes with single name Saputra told Xinhua at a workshop on sanitation here.
Health and water impacts are the largest contributors to overall costs, said the study. The health costs were dominated by premature death, especially in youngsters, while water-related costs were dominated by access to clean drinking water, it said.
Overall 4.8 billion U.S. dollars were lost annually to sanitation-related diseases, of which 3.35 billion U.S. dollars lost in Indonesia, one billion U.S. dollars in the Philippines, 260 million U.S. dollars in Vietnam, and 187 million U.S. dollars in Cambodia, it said.
Diseases resulted from poor sanitation impact expenditure patterns, productivity and the income of household, government and enterprises, it said. On water, countries which have abundant internal freshwater resources, suffered significant freshwater pollution from human activities.
ASEAN countries have a combined population of 580 million with a gross domestic product of 1.1 trillion U.S. dollars.
(Agencies via Xinhua News Agency February 28, 2008)