A recent report by the World Bank Group emphasizes the economic and social advantages of climate action in Senegal, aligning with its Vision 2050 development plan. The Climate Change and Development Report (CCDR) warns that without adaptation measures, climate impacts could reduce Senegal's GDP by 9.4% by 2050. In contrast, proactive climate strategies can mitigate these effects, especially for vulnerable populations, and stimulate growth.
The report estimates that $1.36 billion annually until 2030 and $530 million each year from 2031 to 2050 are needed for climate action investments. Adaptation alone is projected to increase Senegal's GDP by at least 2% by 2030 and decrease climate-induced poverty by 40%.
Keiko Miwa, World Bank Country Director for Senegal, stated, “Climate action is more than a response to environmental challenges; it’s an investment in Senegal’s prosperity and resilience. Through these transformative initiatives, Senegal can enhance human capital, protect ecosystems, and build a robust, sustainable economy for all.”
Key priorities outlined in the report include expanding renewable energy and sustainable transport to lower electricity costs and create jobs while leveraging Dakar's new electric Bus Rapid Transit (BRT) system to reduce air pollution. Additionally, improving natural resource management is vital for economic resilience as over half of the population resides in areas prone to climate risks.
The report also highlights advancing climate-smart agriculture to help farmers adapt to changing conditions while boosting crop yields by 20% and increasing incomes by 26%. Strengthening disaster-risk management through early warning systems and adaptive health measures aims to lessen the socioeconomic impact of extreme weather events.
Olivier Buyoya, IFC Regional Director for West Africa, remarked on the role of private investment: “The private sector can play a pivotal role in driving climate resilience and sustainable development in Senegal.” He emphasized providing regulatory support and financial incentives like low-interest loans and tax breaks to encourage businesses to invest in resilient infrastructure.
Strategic investments and policy reforms are essential for mobilizing resources towards achieving Senegal's climate goals. Engaging the private sector alongside diverse financing sources is crucial for success.