What was the total economic cost of Indonesian haze to Malaysia in 2013?

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The total economic cost of Indonesian haze to Malaysia in 2013 was RM1.57 billion.

This figure encompasses healthcare expenses and lost income opportunities resulting from smoke originating from forest fires in Indonesia. A Universiti Kebangsaan Malaysia (UKM) study examined haze events in 1997, 2005, and 2013, identifying significant economic and health impacts on Malaysia.
Costs Associated with Illness and Lost Productivity

The most substantial portion of the 2013 losses, amounting to RM958 million, was attributed to smoke-related illnesses, medical leave, and the resulting loss of income opportunities. This represents approximately two-thirds of the total economic burden. The broader economic impact stems from reduced productivity when individuals are sick and unable to work, affecting the larger economy.
Healthcare and Medical Expenses

Direct healthcare costs, including medical treatment and hospitalisation, alongside production losses due to medical leave, were estimated at RM410.6 million in 2013. The expenditure on air pollution masks for protection alone reached nearly RM20 million. These figures highlight the direct financial strain placed on individuals and potentially the healthcare system.
Severe Air Quality Levels in 2013

The haze in 2013 led to critically poor air quality in several regions. Specifically, the Air Pollutant Index (API) in the Muar and Ledang districts reached 500, significantly exceeding the hazardous threshold of 300. Between June 15 and June 27 of that year, most areas across the peninsula experienced very unhealthy and hazardous API levels.
Previous Haze Impact

A separate study focusing on the 2005 haze, also conducted by UKM authors and reported in 2014, indicated a cost of RM1.8 million specifically for hospital admissions due to smoke-related illnesses. While a smaller figure than the 2013 impact, it demonstrates a recurring pattern of health consequences and associated costs from transboundary haze events.

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What was the total economic cost of Indonesian haze to Malaysia in 2013?

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