BEIJING, July 24 (Reuters) - Rain and hail is hampering rescue operations in Mongolia, where the worst flooding in over 40 years has claimed 23 lives and damaged thousands of homes, a Red Cross official said.

Flash floods, which hit on July 17, may have been exacerbated by deforestation that allowed water to rush down bare hillsides, said Francis Markus, a communications official for the Red Cross, in an email from Mongolia.

Most of the damage was in the shanty towns that ring the capital, Ulan Bator, and in the province of Gobi-Altai.

Rain and hail had hampered relief operations, while excess water had caused shallow backyard latrines to overflow, creating a health risk, Markus said. (Reporting by Lucy Hornby; Editing by Chris Lewis)

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