Climate change could cut global income by 19% in 25 years, finds study

Study predicts global economy to lose 19% income due to climate change in next 25 years, with vulnerable countries hit hardest.

The global economy is expected to lose about 19% income in the next 25 years due to climate change, with countries least responsible for the problem and having minimum resources to adapt to impacts suffering the most, according to a new study published on Wednesday.

The study by scientists at Germany's Potsdam Institute for Climate Impact Research said climate impacts could cost the global economy around $38 trillion a year by 2049.

“Our analysis shows climate change will cause massive economic damages within the next 25 years in almost all countries around the world, also in highly developed ones such as Germany, France, and the United States,” said scientist Leonie Wenz who led the study published in the journal Nature.

South Asia and Africa will be strongly affected, said Maximilian Kotz, another researcher.

The researchers looked at detailed weather and economic data from over 1,600 regions globally, covering the last 40 years.

They said global income loss could vary between 11% and 29%, depending on different climate scenarios and uncertainties in the data.

The predicted loss is massive and already about six times more than what it would cost to reduce carbon emissions enough to keep the average temperature rise below two degrees Celsius, the researchers said.