WASHINGTON, July 23, 2026 — The World Bank Group estimates that the June 24 earthquakes caused $19.6 billion in direct physical damage, underscoring the importance of timely reconstruction for Venezuela’s economic recovery. The findings come from a Global Rapid Damage Estimation (GRADE), which provides an early assessment to help the Government of Venezuela and development partners understand the scale of the task of rebuilding, and prioritize recovery and reconstruction efforts, as the country navigates one of the most significant disasters in its recent history.
According to the assessment, 47% of total damage occurred in residential buildings, followed by infrastructure (27%), and non-residential buildings (26%). La Guaira state and Distrito Capital were the most severely impacted areas, accounting for around half of the total damage.
Building on the GRADE findings, the World Bank Group conducted additional analysis of the potential macro and socio-economic and recovery implications of the disaster. This assessment finds that the pace of reconstruction will be a decisive factor in shaping the country’s economic recovery and social outcomes.
Under current levels of public and private investment, reconstruction would largely need to be funded by redirecting resources from other investment projects. In this scenario, reconstruction would remain incomplete over a ten-year horizon, with lasting negative effects on economic activity. By contrast, a more rapid reconstruction effort supported by higher public and private investment would mitigate the economic and social impact of the earthquakes.
The World Bank Group is working with the Government of Venezuela and development partners, including the Inter-American Development Bank (IDB), which also shared data during the preparation of the report, and the Development Bank of Latin America (CAF), to scope the additional technical and financial support needed for further damage and needs assessment, recovery and reconstruction, drawing on its experience supporting recovery following major disasters in the region and beyond.
About GRADE
The Global Rapid Damage Estimation (GRADE) methodology provides an independent, rapid estimate of direct physical damage following major disasters, drawing on satellite imagery, remote sensing, exposure data, and engineering models. The assessment is intended to inform recovery planning and can be complemented by more detailed sector assessments.
The GRADE assessment for Venezuela was conducted by the World Bank Group with financial support from the Global Facility for Disaster Reduction and Recovery (GFDRR) and the Government of Japan through the Program for Mainstreaming Disaster Risk Management in Developing Countries.
READ MORE: https://www.worldbank.org/en/news/press-release/2026/07/23/world-bank-group-estimates-venezuela-earthquakes-damage
