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Guatemala faces E747m rebuild cost

July 29, 2010

THE GOVERNMENT of Guatemala has extended a state of emergency declaration for damage caused by the eruption of the Pacaya Volcano and tropical storm Agatha for another 30 days. Thousands were displaced by the disasters in late May, with 166 left dead. Guatemala’s National Co-ordination of Disaster Prevention (CONRED) said the state of emergency was extended because the nation is still dealing with the grave consequences of the two disasters and the need to “ensure the welfare, security and serenity” of those who suffered during the catastrophes. Government estimates suggest the eruption of the Pacaya, situated a few dozen kilometres from Guatemala City, alongside the cyclone, caused damages to 36% of infrastructure on a national level. The rebuild cost following the disasters is expected to total quetzales7.8bn (E747m) , nearly five times the total premium income of the country’s insurance sector in...

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