India needs $2.4 trn to build climate-resilient infra by 2050: World Bank

Business Standard

5 days ago

India would need an estimated investment of over $2.4 trillion by 2050 and $10.9 trillion by 2070 to meet climate-resilient infrastructure and service needs for around 951 million people living in its urban centres, the World Bank said on Tuesday.
With India's urban population expected to nearly double from 480 million in 2025 to 951 million by 2050, the report stated that climate change events, such as erratic rainfall, heatwaves, and rising sea levels, could leave urban areas in the world's most populous nation increasingly vulnerable.
In its report titled Towards Resilient and Prosperous Cities in India, prepared in collaboration with the Ministry of Housing and Urban Affairs, the international financial institution recommended that the central government develop a dedicated national urban and state resilience programme addressing flood risks and extreme heat.
It recommended the implementation of integrated urban flood risk management at national and state levels, with sustainable stormwater management at the city level, along with heat mitigation actions.
'Such plans across Indian cities could increase the gross domestic product (GDP) by up to 0.4 per cent and save up to 130,000 lives a year by 2050,' the report added.
The World Bank claimed that India has yet to build over 50 per cent of the urban infrastructure required for 2050, providing it with a critical opportunity to drive resilient urban infrastructure development.
Highlighting the high cost of retrofitting urban infrastructure, the Bank also emphasised the need for cities to strengthen defences against climate shocks while embedding resilience into future growth.
Such a shift, it said, is essential to improving quality of life and ensuring sustained economic momentum.
To counter this, the government has been advised to improve access to urban finance through better private sector engagement.
'Invest in resilient infrastructure and municipal services, energy-efficient and resilient housing, modernise solid waste management, and make urban transport flood resilient,' it added.
The report also proposes setting up a national multisectoral task force consisting of representatives from key ministries to develop a new national programme on urban resilience.
'The task force can assess ongoing policies and schemes at the central, state, and municipal levels, and assess what works well and what can be improved,' it added.
The Bank, however, warned of severe consequences if timely action is not taken. 'Cities could face escalating losses from more frequent and intense climate events such as floods, extreme heat, and water scarcity,' it stated.
The report projects that urban pluvial or stormwater flooding-related losses, which currently cost between 0.5 and 2.5 per cent of the country's GDP annually, could double under a global high-emission scenario.