Opinion
Floods and drought: Global water supplies are becoming increasingly erratic
A record hot year driven by climate change contributed to unpredictable river flows and rainfall in 2024, according to the WMO
September 23, 2025 | 11:25 PM
Water is the ultimate renewable resource, but global water supplies are becoming less reliable, leading to dangerous floods, droughts and threats to agriculture, the United Nation’s weather agency said in a new report.A record hot year driven by climate change contributed to unpredictable river flows and rainfall in 2024, according to the World Meteorological Organisation’s fourth annual report on water resources. Last year almost two-thirds of global river basins had water levels either significantly above or significantly below normal values.Global temperatures in 2024 were 1.55C above the pre-industrial average, which is the highest in 175 years, the WMO said.As well as raising air temperatures, climate change amplifies heavy rainfall and tropical storms, and causes glaciers to melt. That in turn increases the risk and intensity of floods.Human-made climate change will continue warming the planet, with new temperature highs forecast to be recorded over the next five years, according to a WMO report in May.In the first part of the year, the influence of the natural weather phenomenon El Nino also contributed to droughts and high temperatures in some regions. Unreliable water resources threaten food supplies, and can also feed conflict and lead to increased migration.Among the worst-hit regions in 2024 were the Amazon basin, which experienced a severe drought during the spring and summer, as well as west and central Africa, where flooding killed 2,500 people and displaced four million.In Europe, meanwhile, floods affected the biggest area in 12 years, leaving hundreds of people dead and damaging buildings and infrastructure. Glacier melt is also accelerating. In 2024, all regions lost ice for a third consecutive year.Despite being essential to nearly all industries, water firms rank low in global revenue and market capitalisation. The World Bank cites a $7tn investment gap, while OECD data shows tariffs cover only 70% of water service costs, with public funds making up the rest.Meanwhile, the World Water Council reports that blended finance for water and sanitation makes up just 5% of transaction volume and under 1.5% of mobilised commercial finance.In late 2020, the Chicago Mercantile Exchange launched the first water futures market. Water then joined gold, oil, and other commodities traded on the Wall Street.Apart from being a tradable contract, the futures launch also highlighted growing worries that the life-sustaining natural resource is becoming scarce across of the world.Proponents of the market say that the futures contracts will function more like insurance.But the United Nations had warned in late 2020 that water futures risked an essential public good being treated like gold and oil, leaving the market vulnerable to speculative bubbles.The Middle East and North Africa (Mena) region has the world’s scarcest supplies of water, and more than 60% of the people in Mena nations live under conditions of high or very high water stress, according to the World Bank.Higher GDP and population growth levels, as well as the increasingly hot climate, mean the Gulf countries need to spend heavily to meet their energy needs.Water is becoming a significant geopolitical risk, as scarcity and unequal access to water contribute to rising political tensions when demand exceeds supply.However, when access to water is managed equitably and transparently, it can become a powerful catalyst for socioeconomic growth, cooperation and peacebuilding, fostering cross-border collaboration and contributing to long-term stability.In July 2010, the UN General Assembly declared access to water and sanitation as a human right, with its sixth Sustainable Development Goal being access to clean water and sustainable sanitation for all by 2030.
September 23, 2025 | 11:25 PM