Climate change led to at least $41bn in damages in the six months since COP28: Report

Even $41 billion is an underestimate as only insured losses are reported and many of the biggest disasters have struck nations with low insurance rates for individuals and corporations, says the report

As the second week of climate talks is underway in Bonn, a new report has shed light on the damages brought on by extreme weather. The report by Christian Aid has found that extreme weather has caused a minimum of $41 billion damage in the six months since the last COP. Not enough progress has been made since COP28 in the United Arab Emirates to move away from fossil fuels or to support lower-income countries to cope with climate disasters, the report added. 

Just four extreme weather events in this time — all scientifically shown to have been made more likely and/or more intense by climate change— killed over 2,500 people, the report estimated. Negotiators in Bonn are working to establish a “Loss and Damage Fund”, to try and unblock financial flows to lower-income countries hit by extreme weather.  This funding was a major sticking point at COP28, with wealthier nations slow to agree to the investments needed.

The four climate disasters in focus

The report mentioned four extreme weather events that have happened since COP28 that have wreaked havoc on lives and livelihoods. 

Floods in Brazil, which killed at least 169 people and did at least $7 billion damage to the economy, were made twice as likely by climate change. In south and southwest Asia, flooding which killed at least 214 people and did $850 million in insured damages in the UAE alone was also made more likely by climate change. 

Simultaneous heat waves in west, south, and southeast Asia killed over 1,500 people in Myanmar alone, with heat deaths notoriously under-reported. The heatwave is expected to slow growth and increase inflation, and in southeast Asia it would have been completely impossible without climate change while in south and west Asia it was made five and 45 times more likely, respectively, and also hotter. 

Flooding from cyclones in east Africa killed 559 people, and was made about twice as likely and also more intense by climate change.

These extreme events affected the UAE, which hosted the climate COP last year and Brazil, which will host it in 2025, emphasising the urgency of the climate crisis.

Calls for funding Loss and Damage rise

The charity claimed that the $41 billion in damage is an underestimate. Usually, only insured losses are reported, and many of the biggest disasters have struck nations with low insurance rates for individuals and corporations. These statistics fail to account for the human cost of disasters, which includes not only the lives lost but also the homes damaged, lost opportunities for employment, and lost education.

The disaster led to damage to crops and livestock, fueling food insecurity and price inflation. Extreme heat and floods compounded existing crises for refugees and those living with conflict, and even impacted the world’s biggest democratic occasion as many Indians struggled to vote in dangerous temperatures.

Nushrat Chowdhury, Climate Justice Advisor at Christian Aid in Bangladesh, said, “My country of Bangladesh was struck by Cyclone Remal, killing people and wrecking livelihoods. More than 150,000 homes have been damaged or destroyed. The people of Bangladesh are not responsible for this disaster yet they are faced with huge losses.  That is why it’s so important the Loss and Damage Fund gets proper funding so that people can receive support to rebuild their lives and livelihoods after such awful cyclones.”

Governments and development banks must stop new investments in the oil, coal and gas that are fueling these disasters, and massively scale up decentralised renewable energy to support clean development, the report said. 

Mariana Paoli, Christian Aid’s Global Advocacy Lead, who is from Brazil, said “We need rich countries who are largely responsible for causing the climate crisis to massively scale up funding for action on climate change. They need to show real creativity and political will, and tax polluters and the super-rich in order to finance real climate action. We need to cancel historic debt owed to rich countries by poor ones, and instead make sure that that money is used to improve climate equality, to help everyone to be safer from climate disasters.”

The report emphasised that rich countries— responsible for the lion’s share of the greenhouse gases that are warming the planet and fueling extreme events— should recognise their historic responsibility and step up their funding to the Loss and Damage Fund to help other countries cope and recover from extreme weather. 

About The Author

Editorial Team

A team of handpicked and dedicated writers committed to fact check each climate-related statement. Go to the roots and intent of each policy implemented, internationally and at home to help you understand climate better

See author's posts