Water scarcity could shrink economies by mid-century: World Bank

Economies across large swathes of the globe could shrink dramatically by mid-century as fresh water grows scarce due to climate change, a recent report of the World Bank reads. The Middle East could be hardest hit, with its gross domestic product slipping as much as 14 percent by 2050 unless measures are taken to reallocate water significantly, the Washington-based institution said in a report. Such measures include efficiency efforts and investment in technologies such as desalination and water recycling.

Global warming can cause extreme floods and droughts and can mean snowfall is replaced by rain, with higher evaporation rates, experts say. It also can reduce mountain snow pack that provides water, and the melting of inland glaciers can deplete the source of runoff, they say. Also, a rise in sea level can lead to saltwater contaminating groundwater.

Fresh water shortages could take a toll on sectors from agriculture to energy."Water is of course at the center of life, but it's also at the center of economic activity," Damania said.
Water scarcity would not have the same impact worldwide, and Western Europe and North American economies would likely be spared, according to the World Bank models. But rising economies such as China and India could be hard hit, it said. In the Sahel belt that stretches across Africa below the Sahara, GDP could well dip some 11 percent with water scarcity. A similar impact would be felt in Central Asia.

But measures to reallocate fresh water could show gains in some regions. For example, a shift in allocation could lead to GDP growth of about 11 percent by 2050 in Central Asia.
About a quarter of the world's population, or some 1.6 billion people, live in countries where water already is scarce, according to the World Bank. Last month, 175 nations signed a deal reached last year in Paris to slow global warming and cut greenhouse gas emissions.

Read more at: http://www.moneycontrol.com/news/world-news/water-scarcity-could-shrink-economies-by-mid-century-world-bank_6808281.html

Economies across large swathes of the globe could shrink dramatically by mid-century as fresh water grows scarce due to climate change, a recent report of the World Bank reads. The Middle East could be hardest hit, with its gross domestic product slipping as much as 14 percent by 2050 unless measures are taken to reallocate water significantly, the Washington-based institution said in a report.

Read more at: http://www.moneycontrol.com/news/world-news/water-scarcity-could-shrink-economies-by-mid-century-world-bank_6808281.html?utm_source=ref_article

Economies across large swathes of the globe could shrink dramatically by mid-century as fresh water grows scarce due to climate change, a recent report of the World Bank reads. The Middle East could be hardest hit, with its gross domestic product slipping as much as 14 percent by 2050 unless measures are taken to reallocate water significantly, the Washington-based institution said in a report.

Read more at: http://www.moneycontrol.com/news/world-news/water-scarcity-could-shrink-economies-by-mid-century-world-bank_6808281.html?utm_source=ref_article