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| Czech University of Life Sciences warns of dire economic costs of prolonged drought |
| Prag, 26.08.2019 |
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| Another long-term drought could cost the Czech economy up to 80 billion crowns, equivalent to a drop of 1.6 percentage points in GDP, according to a new study. Researchers at the University of Life Sciences warn that in order to conserve water for essential use, key industries would be forced to cut production, adding an exponential ripple effect to the surface-level economic impact Researchers from the university’s Centre for Water, Soil and Landscape have mapped out two economic impact scenarios, drawing on data from 150 types of industry.
The more optimistic scenario factors in a 25 percent drop in average rainfall, surface and groundwater; enough for the paper and textiles industries, among others, to have to sharply curtail production.
The darker scenario is for a 50 percent drop. At that level, factoring related social and health costs linked to drought, Czech GDP could fall 2.8 to 4.8 percentage points.
What’s more, the Czech Republic has among the least amount of water resources per capita in Europe -- and so would have to import water.
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