This document provides an estimate of the cost of the 2014 drought to economic sectors of considerable importance in the region, which are significantly affected by decreased precipitation. These include the agricultural sector, which generates a significant portion of production in rural areas, and in particular provides employment to the most economically vulnerable population; the hydroelectric sector, which generates a substantial portion of power in the region; and the Water, Sanitation and Hygiene (WASH) sector, which is critical for human development.
The study concludes that losses in all three sectors were substantial, exceeding US$ 650 million; therefore, investments aimed at reducing vulnerability to climate change can be very profitable for countries from a socio-economic development point of view. The publication offers recommendations for the following sectors, among others (p. 33-34):
Agriculture:
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crop rotation to ensure resistance to drought and pests;
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changing planting and harvesting periods;
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improving the topography of the land to improve water availability and reduce wind erosion;
Hydropower:
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increase in power use efficiency;
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diversification of the energy matrix using renewable sources;
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improve hydro-meteorological information;
WASH:
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protection of traditional water supply sources;
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reducing physical loss of water during distribution to increase the available supply;
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reduce commercial losses to strength.