Both Europe and China were hit by floods this month, causing serious casualties and economic losses. In recent years, droughts, floods… and other natural disasters have continued, mostly due to extreme weather. The climate is becoming more and more unstable, which may severely hit the global economy.
Natural disasters continue to suffer in many countries around the world
Recently, western European countries and China have experienced torrential rains. One month or one year of rainfall in the disaster area caused floods, causing serious casualties and property losses. In the first half of this year, the United States caused a fire in California due to a high temperature and heat wave, causing $30 billion in economic losses. According to data from the National Oceanic and Atmospheric Administration (NOAA), the average temperature of the United States in June this year was the highest in 127 years, and the economic loss caused by climate in the first half of the year was the second highest in history.
From last year East Africa suffered the worst locust plague in decades, the drought in the world’s main wheat exporting countries-Russia and Argentina, to the recent natural disasters in Europe, America and China. Disasters caused by extreme climates have caused serious economic losses and personal harm all over the world. . As extreme weather conditions are getting worse, preventing the continued expansion of disasters has become an urgent issue for governments of all countries.
Extreme weather threatens global political and economic stability
Each of the disasters derived from extreme weather has a profound impact on the global economy. For example, droughts and floods affect the cultivation and harvest of crops; and the melting of glaciers and ice sheets causes sea level rise, which directly threatens marine ecosystems and residents living in coastal areas; and places without typhoons in the past have frequent typhoons, which are easy to prevent typhoons. Insufficient facilities cause floods or wind disasters.
The Bank for International Settlements (BIS) believes that climate change will cause currency and financial instability. For example, the reduction in crop yields, or the reduction in working hours caused by the inability of laborers to work due to natural disasters, reduces economic productivity and causes prices to rise. Another example is the destruction of capital such as the falling prices of real estate in coastal cities due to sea level rise, or the decline in corporate profits, which will cause household financial redistribution and affect financial stability.
In 2050, the global economy may decline by 14%
According to a Swiss Re report, based on the current rate of climate change, global temperature may rise by 2.6 degrees Celsius by 2025, and global economic productivity will drop by 11-14% by then, causing economic losses of 23 trillion U.S. dollars. If the temperature rises to 3.2 degrees, the global economy will decline by 18%; the wealth levels of Malaysia, the Philippines and Thailand will drop by nearly 1/2; the economies of Indonesia and India will decline by 40% and 35% respectively; China may have nearly 24% GDP loss.
Improving extreme weather is the goal of global efforts
The World Meteorological Organization believes that natural disasters such as extreme floods and fires caused by high temperatures are related to climate change, which is caused by global warming. The shortage of food, water and other resources is likely to cause global economic turmoil, and is more likely to cause political risks in competition for resources among countries.
Excessive carbon emissions are one of the killers of global warming and climate change. Carbon neutrality refers to the use of man-made carbon emissions through tree planting, engineering technology, or obtaining carbon rights to achieve no additional carbon production in order to improve global warming. This is also one of the important carbon emission national power goals in the near future. The European Union, the United States, Japan, and South Korea have decided to achieve carbon neutrality in 2050, and China also expects to achieve this goal in 2060. It is hoped that through the efforts of various countries, the climate can be improved, so as to achieve global economic stability and human life safety.