ADB Warns of Significant Economic Losses Due to Climate Change in Developing Countries

Islamabad: The Asian Development Bank (ADB) has released a report indicating that climate change could reduce the GDP of developing countries by up to 17% by 2070. If the issue is not addressed, this loss could escalate to 41% by 2100.
The report highlights that rising sea levels and declining labor productivity are major factors contributing to these economic losses, particularly impacting low-income and vulnerable economies. It warns that if climate change trends continue, around 300 million people could be affected by coastal flooding by 2070, with billions of dollars in coastal assets at risk.
ADB President Masatsugu Asakawa stated that climate change has intensified storms, heatwaves, and floods, resulting in unprecedented economic challenges and human suffering in the region. He emphasized the urgent need for climate action to mitigate these impacts.
According to an ADB survey, 91% of respondents in 14 countries view climate change as a serious issue and expect their governments to take more action. The region requires between $102 billion and $431 billion annually to adapt to climate change, yet only $34 billion was provided in 2021-2022.
The report calls for government reforms and private investment to enhance climate finance. It also notes that there is potential for adopting new energy sources and establishing local and global carbon markets, which could help achieve climate goals at a lower cost.