Inaction on the escalating global water crisis could jeopardize more than half of the world’s food production by 2050, experts cautioned in a major report released on Thursday.
The report, authored by the Global Commission on the Economics of Water (GCEW), highlights the dire consequences of declining water resources for both food security and economic stability.
“Nearly 3 billion people and more than half of the world’s food production are now located in regions where total water storage is expected to decline,” the report stated, underscoring the urgent need for global action.
The study also projected significant economic repercussions, warning that the water crisis could result in an average 8% reduction in GDP for high-income countries by 2050, with lower-income nations facing potential losses of up to 15%.
Economic and Environmental Impacts
The disruptions in the global water cycle caused by changing precipitation patterns, rising temperatures due to climate change, and declining water reserves pose severe economic risks. The report emphasized that these combined factors would lead to widespread economic decline and increased vulnerability for millions of people.
Facing this crisis, the GCEW report called for water to be treated as a “global common good” and advocated for transformative changes in water governance at every level.
READ ALSO: President Biden Announces $4.5 Billion in Student Debt Relief for Public Servants
“The costs of taking action are minimal compared to the devastating harm that continued inaction will cause to economies and humanity,” the report noted.
Reforming Water Management and Governance
Despite its perception as an abundant natural resource, water is increasingly scarce and costly to manage, the report warned. It called for the elimination of harmful subsidies in water-intensive industries, urging governments to redirect support toward water-saving innovations and provide targeted assistance for vulnerable populations.
“We need to couple the pricing of water with appropriate subsidies,” said World Trade Organization Director-General Ngozi Okonjo-Iweala, a co-chair of the GCEW, during an online briefing.
Co-chair and Singaporean President Tharman Shanmugaratnam also stressed the need to recognize water as a global issue, calling for investment and innovation to stabilize the global water cycle and prevent further disruptions.
