Media Center

News Release

Viet Nam May Suffer From Climate Change As Early As From 2020 - New Study

HANOI, VIET NAM (28 April 2009) - Viet Nam may face adverse impact of the climate change as early as from 2020 says a new Asian Development Bank (ADB) study, titled The Economics of Climate Change in Southeast Asia: A Regional Review. Viet Nam's rice production could dramatically decline and rising sea levels could submerge tens of thousands of hectares of cropland by the end of the century, also forcing the relocation of thousands of families living in coastal communities. Rainfall could appreciably decline in Viet Nam in the coming decades, and over 12 million people could be affected by increased water stress.

If the world continues with 'business as usual', Indonesia, Philippines, Thailand and Viet Nam could experience combined damages equivalent to more than 6% of their countries' gross domestic products every year by the end of this century, dwarfing the costs of the current financial crisis, according to the study.

"The study reconfirmed the popular notion that Viet Nam is one of the most vulnerable countries in the world to the impacts of climate change, and will face mounting economic challenges unless global warming is controlled," says Mr. Ayumi Konishi, ADB Country Director for Viet Nam.

The study finds that the benefits to Viet Nam of taking early action against climate change far outweigh the costs. The report argues that Viet Nam and other Southeast Asian nations should address the dual threats of climate change and the global financial crisis by introducing 'green stimulus' programs-as part of larger stimulus packages-that can simultaneously strengthen economies, create jobs, reduce poverty, protect vulnerable communities and lower carbon emissions. There are a series of cost-effective measures that can help countries protect themselves from the worst effects of climate change, including improving water management, enhancing irrigation systems, introducing new crop varieties, safeguarding forests, and supporting the construction of protective sea walls.

The study also notes there are "win-win" mitigation options in the energy sector- more efficient power plants, more energy efficient lighting, appliances and industrial equipment, and efficient transmission could allow Viet Nam and other Southeast Asian nations to mitigate carbon emissions up to 40% by 2020 at a negative net cost.

"Viet Nam has much to gain and nothing to lose by investing in these low-cost and no-cost adaptation and mitigation measures," says Mr. Konishi.

ADB, based in Manila, is dedicated to reducing poverty in the Asia and Pacific region through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members - 48 from the region. In 2008, it approved $10.5 billion of loans, $811.4 million of grant projects, and technical assistance amounting to $274.5 million.

Contacts