CHONGQING - More than 10,000 people have been relocated since a heavy rainstorm began to hit their homes in Southwest China's Chongqing municipality on Tuesday, local authorities confirmed on Friday.

More than 700 houses collapsed in the storm. A total of 340,000 people in 160 towns and 10,000 hectares of farmland have been affected in Chongqing, a southwest business hub along the upper reaches of the Yangtze River, according to a statement from the provincial flood control and drought relief headquarters.

Direct economic losses are estimated to be 300 million yuan ($47.5million), the statement added.

Flooding is expected to peak in downtown Chongqing on Friday. The water level of the Cuntan Hydrologic Station in Chongqing is estimated to be 0.5 meters over the warning level, according to the headquarters.