A report by the World Economic Forum (WEF) highlights the potential for substantial economic losses due to climate change over the next quarter-century. The report estimates that damages could exceed $1.5 trillion (over 131 lakh crore rupees). The WEF collaborated with the Boston Consulting Group (BCG) to conduct the research and produce the report.
The study assesses the impact of climate change on various sectors, including food and agriculture, the built environment, health and care, and insurance. The economic losses are primarily associated with the first three sectors, indicating that the actual burden on the global economy could be even greater. The research urges companies to take proactive measures to safeguard their workforce’s health, enhance operational resilience, and protect productivity to mitigate the effects of climate change.
WEF lead Eric White emphasizes that climate change will impact everyone, but that it is possible to take action. According to the report, the food and agriculture sector alone could face losses of approximately $740 billion. Additionally, the environment sector may experience losses of $570 billion, and the health sector could suffer losses of up to $200 billion. Furthermore, a rapid increase in health claims is expected in insurance policies.
