UNU: Invest in Nature to Cut Billion-Dollar Costs of Droughts

The report, “Economics of Drought: Investing in Nature-Based Solutions for Drought Resilience – Proaction Pays”, projects that by 2050, three out of four people worldwide could face drought impacts. Current drought costs already exceed $307 billion annually.

The publication is co-authored by the United Nations University Institute for Water, Environment and Health (UNU-INWEH), the Economics of Land Degradation Initiative (ELD), and UNCCD, with the financial support of the German Federal Ministry for Economic Cooperation and Development, the International Drought Resilience Alliance (IDRA), and the European Union. 

The report emphasizes nature-based solutions, such as reforestation, watershed restoration, and grazing management, to restore ecosystems and support water resources. It identifies these strategies as economically beneficial, potentially generating up to $10.1 trillion annually and creating millions of jobs by 2030.

Key recommendations include embedding nature-based solutions into national plans, ensuring land and water rights, and fostering public-private partnerships. The report calls for urgent global action to mitigate drought risks and strengthen resilience for a sustainable future.

• Explore the report here.