ADB says 2 mn more people could be pushed into poverty after tsunami

The Asian Development Bank says the wall of water that ripped across southern Asia last month, killing more than 150,000, could throw nearly 2 million additional people into poverty. According to a report released by the ADB today “The poverty impact of the tsunami will be enormous,” said Ifzal Ali, Chief Economist with the Manila-based multilateral development bank. “Poverty is potentially the most important effect of this natural disaster.”

In Sri Lanka, the figure is estimated at about 250,000.

While worst affected Indonesia, could see nearly one million people thrown into poverty by the lingering effects of the tsunami’s devastation.

In India, the number of poor in the country could increase by 645,000, an ADB release on Thursday said.

In the Maldives, about half of the country’s houses were affected and more than 50 percent of the population could fall into absolute poverty resulting in 23,500 additional people going below the poverty line.

As devastating as the disaster is to the people in affected areas, Asia’s resilience to external shocks will play a role in minimizing the impact the disaster will have on the region’s overall economic growth, accord