Pacific Nations Face Economic Losses Due to Climate ChangeCatch of the Week
Nations across the Pacific face economic losses due to climate change, according to a study by the Asian Development Bank (ADB).
The ADB report predicted that the economic loss can range from a low of 2.9% to a staggering 12.7% of gross domestic product (GDP) annually in 2100.
According to the report, the most significant economic loss would be felt in Papua New Guinea, where climate change could trigger a loss of up to 15.2% of its GDP. Timor-Leste’s GDP is predicted to drop 10%, followed by Vanuatu at 6.2%, Solomon Islands at 4.7%, Fiji at 4%, and Samoa at 3.8%.
The report said a temperature rise of 2 degrees to 3 degrees Celsius in the said countries in 2070 “could lead to significant decreases in rain-fed agriculture, reduced fish catches, widespread coral bleaching, and falling tourism numbers.”
The agriculture sector is projected to contribute most of the total economic loss. The report further predicted that the Pacific region may require $447 million on average until 2050, and up to $775 million or 2.5% of GDP per year to prepare.
To offset the effect of climate change, the report recommended governments to develop planning and forward-looking strategies, and adopt climate-proofing infrastructure to deal with climate change.
The ADB report “Economics of Climate Change” included a modelling of future climate over the Pacific, assessment of the potential impacts on agriculture, fisheries, tourism, coral reefs, and human health. It also presented the potential economic impact of climate change for specific sectors and economies under various emissions scenarios.
(Story and photo courtesy of ADB and CTKNetwork.org)