Extreme heat could reduce South Asia’s economy by nearly 7% by 2050 and is already costing the region the equivalent of 31 million full-time jobs each year, according to a new World Bank report released on Wednesday.
The report warns that soaring temperatures are emerging as one of the biggest threats to the region’s economic growth at a time when South Asia is expected to add 280 million people to its working-age population over the next 25 years.
Titled “A Livable Future: Protecting Jobs and Growth from Extreme Heat in South Asia’s Cities,” the study projects that by 2070, around 520 million people in South Asia could face at least one month of dangerous heat annually—four times the number affected today.
The World Bank said extreme heat is already reducing labour productivity, disrupting businesses, straining health systems and damaging critical infrastructure, while undermining the competitiveness of the region’s rapidly growing cities.
It identified low-income households, informal workers, women, older people and children as the groups most vulnerable to rising temperatures.
“South Asia’s cities are central to the region’s future, but rising temperatures are putting jobs, livelihoods, and economic growth at risk,” said Johannes Zutt, the World Bank’s Vice President for South Asia.
The report covers Bangladesh, Bhutan, India, Maldives, Nepal and Sri Lanka.
To reduce the economic impact of extreme heat, the World Bank urged governments to invest in heat-resilient infrastructure, strengthen Heat Action Plans, protect vulnerable workers, expand sustainable cooling systems, improve early warning mechanisms, and increase both public and private investment in climate resilience.
The report noted that several South Asian cities have already demonstrated that measures such as urban greening, resilient infrastructure, efficient cooling and heat early warning systems can save lives, protect livelihoods and limit economic losses. However, it said expanding these initiatives across the region would require stronger institutions, better coordination and significantly greater investment.