Extreme weather, such as megadroughts, are worsening around the world due to climate change. These droughts, which last for several years, disrupt ecosystems, cause fires, affect agriculture and aggravate mass migrations. Regions such as California, Chile, Mongolia, southeastern Australia and the western United States are particularly affected. A recent study reveals that the global area affected by these droughts is increasing every year, resulting in significant economic losses, especially in low- and middle-income countries. Rainfall and vegetation data show that all regions except Antarctica have been affected by megadroughts in the past 40 years.
For example, a drought in Chile that has lasted since 2010 has led to water rationing, economic disruption and the cancellation of a project such as a Google data center. The longest drought identified in Africa lasted a decade in the eastern Congo Basin, covering an area twice the size of Texas. Droughts drive five times as many people to migrate as floods and reduce the GDP of low- and middle-income countries by more than 0.5 percent.
Source: Bloomberg