New Delhi , June 20 (IANS) Despite mounting evidence that Pakistan is among the countries most vulnerable to climate change, the federal government has sharply reduced climate-related development spending in its budget for FY2026-27, even as neighboring countries continue to increase investments in climate resilience and adaptation, a report has said.

The federal government has allocated only Rs 2.4 billion (approximately $8.6 million) for climate-related projects under the Public Sector Development Programme (PSDP) for FY2026-27, according to The News International report.

The allocation represents a decline of more than 60 per cent compared with nearly Rs 6.4 billion earmarked for similar projects five years ago.

The reduction comes at a time when countries across South Asia are expanding investments in climate adaptation, renewable energy and disaster resilience. India, Bangladesh and China have all increased climate-related spending in recent years, highlighting a growing regional divergence in policy priorities.

International assessments continue to rank Pakistan among the countries most exposed to climate-related risks. The Climate Risk Index published by Germanwatch has repeatedly placed Pakistan among nations experiencing the most severe impacts from extreme weather events.

The World Bank’s Climate Change Knowledge Portal also identifies Pakistan as highly vulnerable to rising temperatures, changing rainfall patterns, water scarcity and increasingly frequent extreme weather events.

According to the World Bank, temperatures across Pakistan are expected to rise significantly during this century, increasing health risks, reducing labor productivity and placing additional pressure on already stressed energy and water systems.

Pakistan faces multiple climate threats simultaneously. Accelerated glacier melting in the Hindu Kush-Karakoram-Himalayan region is increasing concerns over the future of the Indus River system, which supports much of the country’s agriculture, industry and urban population.

The United Nations Development Programme (UNDP) has warned that faster glacier melt raises the risk of glacial lake outburst floods while also posing long-term threats to water security.

Researchers at the Pakistan Institute of Development Economics (PIDE) have also noted that floods, droughts, erratic rainfall and rising temperatures are already affecting agricultural productivity and food security.

Pakistan’s dependence on the Indus Basin further amplifies its climate vulnerability. The river system supports nearly 90 per cent of the country’s agricultural production, meaning that disruptions caused by climate change can have nationwide economic and social consequences.

The country experienced one of its worst climate disasters in 2022, when catastrophic floods affected more than 33 million people and caused billions of dollars in economic losses, according to estimates by the Pakistan government and the United Nations.

Meanwhile, neighboring countries have steadily increased climate-related expenditures, the report said.

–IANS

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