Impact of Climate Change on Indian Cities

Context

While Indian cities are poised to drive economic growth and employment, they are also increasingly vulnerable to climate risks, particularly urban flooding, according to a recent World Bank report.

Key Findings of the Report

Urban employment growth

• Indian cities are expected to contribute 70% of new job creation and gross domestic product (GDP) by 2030. Urbanisation is central to India’s growth trajectory and demographic dividend.

Climate vulnerability

• Indian cities could face annual flood-related losses of up to $5.4 billion by 2030. These vulnerabilities arise from unplanned development, poor drainage and ageing infrastructure.

Need for  urban resilience

• Greater local autonomy in planning and financing is important. Cities need tools to respond quickly and plan proactively against climate shocks.

Financing gaps

• • Urban local bodies (ULBs) are still underfunded and under-credited. Investments are needed in green infrastructure, early warning systems and flood management.

Policy suggestions

• • Strengthen the 74th Constitutional Amendment to empower urban governance
  • Increase inter-governmental fiscal transfers with work-based incentives
  • Promote climate-resilient urban planning and adaptive building codes