Climate Resilience Could Boost Bahamas’ Economy By 9%

• The Bahamas faces significant climate risks, with rising sea levels and hurricanes potentially reducing economic output by 11% by the year 2100 but investing in climate resilience could boost economic output by 9% over the next three-quarters of a century, according to the International Monetary Fund (IMF).
• The report also noted that modernising electricity grids and increasing the share of solar energy and liquefied natural gas (LNG) in electricity production could yield major macroeconomic benefits for The Bahamas.
• These transformations, over the medium term, could reduce fossil fuel imports, decrease the country’s vulnerability to volatile global fuel prices, significantly lower Carbon Dioxide (CO₂) emissions, and substantially boost national output, eventually increasing long-term growth potential from 1.5% to 2.0%.
• The government aims to harness the abundant solar energy available year-round in The Bahamas, targeting a 30% share of solar energy by 2030.
• “Unfortunately, even with these investments, the threat of climate change is here to stay. IMF analysis suggests that rising sea levels could place up to 41% of the land in The Bahamas and 22% of its population below sea level by the end of this century”.
• The report went on to state that, “the country is positioned within the Atlantic hurricane belt, leaving it at high risk of hurricane damage. Left unaddressed, more severe natural disasters and slow-moving impacts from climate change could reduce The Bahamas’ national output by up to 11% by 2100, with larger losses in islands whose economies rely most on hospitality and real estate.”

(Source: Eyewitness News)