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Air Pollution Costs 5.7 Million Lives and Nearly 5% of Global GDP Each Year, Says World Bank

Vedanshi SinghbyVedanshi Singh
17th June 2025
in ESG BROADCAST
Reading Time: 2 mins read
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Air Pollution Costs 5.7 Million Lives and Nearly 5% of Global GDP Each Year, Says World Bank
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Air pollution is not only a leading cause of premature death globally—it also poses a growing economic risk, especially to low- and middle-income countries, according to a new World Bank report.

The report, Accelerating Access to Clean Air on a Livable Planet, finds that ambient (outdoor) air pollution causes 5.7 million deaths annually, with 95% of these occurring in low- and middle-income countries. The economic toll is equally staggering: air pollution costs nearly 5% of global GDP each year, through losses linked to health impacts, reduced productivity, and long-term cognitive effects.

Despite nearly universal exposure to unhealthy air—99% of the global population breathes air that exceeds WHO guidelines—the burden is unequally distributed. Communities with limited access to healthcare and high poverty rates face the worst consequences, deepening existing inequalities. “Business as usual,” the report warns, will only intensify these impacts.

Yet the report also offers hope. With the right policies and investments, the World Bank says, progress is well within reach. The authors outline a scenario in which the number of people exposed to PM2.5 levels above 25 µg/m³ could be halved by 2040—a goal deemed both feasible and affordable.

Because the major sources of air pollution—household heating, cooking, transport, agriculture, and waste—are human-driven, “decisive action” can reduce emissions significantly. Effective policies, better data governance, and a combination of public and private finance are key enablers.

“Clean air is not a luxury—it’s an economic and public health necessity,” the report notes. The World Bank calls for integrated, cross-sectoral policy interventions, urging governments to treat air pollution not just as an environmental issue, but as a systemic development challenge with financial and human capital implications.

The study serves as a stark reminder that addressing air pollution can unlock co-benefits across public health, climate mitigation, and economic growth—especially in rapidly urbanizing regions across Asia and Africa.

Access the full report here: Accelerating Access to Clean Air on a Livable Planet

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Tags: AfricaAsiafinanceFinancials Sector
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Vedanshi Singh

Vedanshi Singh

Science communicator passionate about climate change, ESG, and sustainability, blending psychology with communication for impact.

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