Bangladesh Faces $3 Billion Annual Loss Due to Extreme Weather Events

The Germanwatch “Climate Risk Index 2025” report reveals that Bangladesh incurs nearly $3 billion in annual losses from extreme weather, affecting over 6.3 million people. Despite significant impacts, Bangladesh showcases effective disaster management and risk reduction strategies. Immediate calls for increased climate finance for vulnerable nations are urgent, particularly as the climate crisis intensifies.

Bangladesh endures an average annual loss of nearly $3 billion due to extreme floods, droughts, storms, and heatwaves, as reported by Germanwatch in its “Climate Risk Index 2025” published on February 13. Each year, over 6.3 million people in Bangladesh are affected by these disasters. The report underscores the plight of Global South countries, which have faced significant impacts from extreme weather occurrences over the last three decades.

From 1993 to 2022, more than 9,400 extreme weather events globally resulted in approximately 800,000 fatalities and economic losses totaling $4.2 trillion. The countries most severely impacted by such events include Dominica, China, and Honduras, with Bangladesh ranking 31st among the affected nations.

The Climate Risk Index evaluates how extreme weather events impact countries, categorizing them based on economic consequences and human costs, such as mortality, injuries, and displacement. The report also mentions an intense heatwave that struck from March to May 2022, recording temperatures of 49.5°C in Nawabshah, Pakistan, which led to subsequent severe flooding in the region.

The heatwave also affected India and Bangladesh, accounting for over 90 fatalities across the three countries. According to a real-time study by the World Weather Attribution project, climate change has significantly amplified the likelihood of such extreme heat events, hinting at an escalating threat posed by concurrent climatic challenges.

Despite its vulnerability to climate change impacts, Bangladesh has effectively mitigated disaster-related deaths through improved climate adaptation and disaster risk management strategies. The report identifies Bangladesh as a leading example of success in this domain.

Thanks to proactive risk prevention and adaptation efforts, mortality related to cyclones in Bangladesh has diminished drastically—falling from 500,000 in the 1970 cyclone to 4,234 in 2007. The report further states that countries like China, India, and the Philippines repeatedly confront extreme weather events, while Dominica, Honduras, Myanmar, and Vanuatu experience exceptional weather disasters.

Call for enhanced climate finance is crucial, as highlighted by Laura Schaefer, who cautions that the looming climate crisis is evolving into a significant global security risk necessitating urgent multilateral action. Current data lacks comprehensiveness, potentially underrepresenting the crisis’s real impact on vulnerable nations facing rising instability and conflict.

David Eckstein emphasizes the severe consequences of inadequate climate action not just for poorer but also for wealthier nations, noting that the $4.2 trillion in losses over three decades corresponds to Germany’s entire GDP. He warns that any delays in climate mitigation will result in increased human and economic tolls.

The forthcoming Brazil Climate Summit must prioritize addressing the shortage of climate finance dedicated to vulnerable nations. Lina Adil urges that finite resources exacerbate the trials of affected countries, reinforcing the need for robust mitigation strategies to adhere to the 1.5°C global warming target.

Moreover, the Climate Risk Index indicates that certain extreme weather incidents lead to economic losses exceeding an entire nation’s GDP. Vera Kuenzel advocates for enhanced climate risk management and increased support for the world’s most vulnerable nations to alleviate human and economic losses.

In summary, Bangladesh annually suffers significant financial losses due to extreme weather events, affecting millions of individuals. Although the country demonstrates effective disaster management strategies and has made notable progress in risk reduction, the broader call for enhanced climate finance remains critical to support vulnerable nations worldwide. Key stakeholders emphasize the necessity of strong global action and commitment to address the climate crisis and its multifaceted impacts.

Original Source: www.tbsnews.net