India's 10 biggest cities face a whopping $179.8 billion (Rs 11.9 lakh crore) risk from a series of threats over the next decade.
Across Indian's 10 cities, the largest economic exposure is due to pandemic risks, which could put $39.65 billion at risk, followed by floods at $33.84 billion, market crash at $21.13 billion, oil price spike at $20.81 billion and terrorism at $16.07 billion, according to global insurance major Lloyd’s study.
Catastrophes caused by natural disasters like extreme weather, pandemics and plant epidemics account for just over half ($98.1 billion) at risk in the 10 cities.
Taipei, Tokyo, Seoul, New York, Hong Kong, Shanghai and London, have significant levels of economic exposure to catastrophic events, finds the Lloyd’s study.
Lloyd’s City Risk Index has analysed the economic output at risk in 301 major cities from 18 manmade and natural threats over a ten-year period.
Based on original research by the Cambridge Centre for Risk Studies, the Index finds that a total of $4.6 trillion of 301 cities’ projected GDP is at risk from all threats – out of a total projected GDP between 2015 and 2025 of $ 373 trillion.
The biggest threat to the global economy is from market crash, a risk worth $1,048.41 billion, followed by human pandemic (591.81 billion) and wind storm ($586.54 billion).
Take a look at India’s 10 riskiest cities…
Mumbai
Rank: 1
GDP at risk: $47.38 billion
Average annual GDP: $414.12 billion
India’s financial hub, Mumbai has the largest exposure to terrorism at almost $8 billion and the second highest exposure to power outages with $1.92 billion of GDP at risk among the large global cities.
Mumbai has the largest risk with a $ 47.38 billion worth of exposure and almost one quarter of the city's potential losses are related to pandemic risks, followed by terrorism at 16.77 per cent, market crash at 12.94 per cent and floods at 12.89 per cent.
The total risk the city faces is 11.44 per cent of average annual GDP.
New Delhi
Rank: 2
GDP at risk: $44.02 billion
Average annual GDP: $386.87 billion
Floods account for the highest risk in Delhi followed by pandemic risks, market crash, oil price spike and cyber attack. The total risk the city faces is 11.38 per cent of average annual GDP.
Kolkata
Rank: 3
GDP at risk: $23.40 billion
Average annual GDP: $84.36 billion
In Kolkata, the top 5 threats include wind storms, flood, human pandemic factors, and earthquake and market crash. The total risk the city faces is 27.74 per cent of average annual GDP.
Ahmedabad
Rank: 4
GDP at risk: $14.01 billion
Average annual GDP: $118.50 billion
In Ahmedabad, the biggest threat to GDP is from floods, followed by pandemics, market crash, oil price shock and terrorism.
The total risk the city faces is 11.82 per cent of average annual GDP.
Pune
Rank: 5
GDP at risk: $12.89 billion
Average annual GDP: $89.07 billion
Pune faces biggest threat from floods, followed by pandemics, earthquake, market crash and oil price hike. The total risk the city faces is 14.47 per cent of average annual GDP.
Chennai
Rank: 6
GDP at risk: $9.55 billion
Average annual GDP: $86.24 billion
The biggest risk Chennai faces is from pandemics, flood, market crash, oil price hike and terrorism.
The total risk the city faces is 11.08 per cent of average annual GDP.
Surat
Rank: 7
GDP at risk: $8.09 billion
Average annual GDP: $67.03 billion
Natural calamity remains the biggest threat to Surat. The top 5 threats are from flood, pandemics, markets crash, oil price hike and terrorism.
The total risk the city faces is 12.07 per cent of average annual GDP.
Kanpur
Rank: 8
GDP at risk: $7.27 billion
Average annual GDP: $59.62 billion
The top 5 threats are from flood, pandemics, markets crash, oil price hike and terrorism.
The total risk the city faces is 12.20 per cent of average annual GDP.
Hyderabad
Rank: 9
GDP at risk: $6.86 billion
Average annual GDP: $58.76 billion
The top 5 threats are from flood, pandemics, markets crash, oil price hike and cyber attacks.
The total risk the city faces is 11.68 per cent of average annual GDP.
Bengaluru
Rank: 10
GDP at risk: $6.32 billion
Average annual GDP: $64.46 billion
The top 5 threats are from pandemics, flood, markets crash, oil price hike and cyber attacks. The total risk the city faces is 9.81 per cent of average annual GDP.
