Significant Economic Losses: One-third of Asia-Pacific nations face annual economic losses of at least 6% of GDP due to climate-related events like floods, heatwaves, droughts, and cyclones, according to UNESCAP.
Average Annual Loss (AAL): The AAL across 30 Asia-Pacific countries averages 4.8% of GDP, exceeding 7% in Fiji, Myanmar, and Pakistan, and reaching nearly 11% in Cambodia.
Vulnerable Economies: Eleven countries (Afghanistan, Cambodia, Iran, Kazakhstan, Laos, Mongolia, Myanmar, Nepal, Tajikistan, Uzbekistan, and Vietnam) are particularly vulnerable to climate risks from a macroeconomic perspective.
Rapid Urbanization & Infrastructure: Rapid urbanization and weak infrastructure, especially in coastal areas, intensify climate risks and losses.
Sectoral Impacts: Agriculture faces up to a 14% reduction in rice yields by 2050. Coal and oil-reliant countries face economic disruption due to the renewable energy transition. Fishing stocks could decline by 30% in tropical regions by 2050.
India’s Vulnerability: India could face a 24.7% GDP loss by 2070 due to climate impacts, ADB estimates.
Extreme Heat in India: India could account for 34 million of the projected 80 million global job losses by 2030 due to heat stress. 4.5% of India’s GDP could be at risk from lost labor hours.
Rising Sea Levels in India: 32% of India’s coastline experienced erosion (1990-2018), increasing flood risks in coastal cities.
Extreme Weather Events in India: India ranks 6th among countries most affected by extreme weather (1993-2023), with USD 180 billion in economic losses.
Circular Economy: Asia-Pacific countries should promote circular economy systems to cut emissions.
Green Innovation: Encouraging climate-tech startups in areas like carbon capture, and renewable energy production and storage.
Climate-Resilient Infrastructure: Invest in flood-proof and heat-resistant infrastructure to protect urban areas.
Loss and Damage Fund (LDF): Scaling up the LDF is crucial for impactful adaptation in Asia-Pacific.
