Household Economic Losses of Urban Flooding: Case Study of Can Tho City, Vietnam

This study examines the economic losses caused by urban flooding. It begins by
identifying components of economic losses (i.e. direct costs and indirect costs) at
different stages of the flood (i.e. before, during and after) and t hen using appropriate
ex-post and ex-ante estimations to measure economic losses. The opportunity-cost
method was at the centre of economic analyses. In addition, fac tors affecting household
economic losses were also assessed in the study. The study interviewed 250 households
in flooded areas in Can Tho City, Vietnam. Results show that total annual economic
losses due to flooding were US$ 642 per household which represen ted 11 per cent of
each household’s annual income. Ninety per cent of economic losses were indire ct
costs. Total annual indirect costs per household were US$ 578 and for b efore-, duringand
after-flood periods were US$ 19, US$440 and US$ 118 respectively. Meanwhile,
total annual direct costs per household were US$ 64 and US$29, US$19 and US$ 16
respectively for before-, during- and after-flood periods. Put differently, in the beforeduring-
after flood analysis framework, results show that total annual before-flood costs
were US$ 48, of which direct costs were US$ 29 and indirect cos ts were US$ 19. Total
annual during-flood costs were US$ 460 in which direct costs were US$ 19 and indirect
costs were US$ 441. Total annual after-flood costs were US$ 134, of which direct
costs were US$ 16 and indirect costs were US$ 118. It also revealed that there were
differences in cost structure at different stages of flooding. Results indicate that public
awareness or concern levels regarding urban flooding, respondents’ education status,
household location and the probability of moving to another place to avoid the flood
were factors statistically affecting the economic losses due to the flood.