CNBC Daily Open: Record heatwaves hit Europe's already expensive summer
German inflation figures and U.K. GDP will show just how deeply months of elevated energy costs have seeped into prices, and how much growth has taken a hit.
Europe is experiencing record heatwaves this summer, which have had a significant impact on the region's economy. The heat and droughts have affected power production, shipping, and public health systems. According to economists and academics, the hit to the region's economy can already be measured in the hundreds of billions of euros.
The economic impacts of climate change are being felt across various sectors, including inflation, public finances, tourism, and the production and transportation of goods. The University of Mannheim's Sehrish Usman notes that the compounding effect of multiple extreme events, such as heatwaves, droughts, and wildfires, occurring simultaneously in the same regions, is particularly worrying from an economic perspective.
The summer of 2023 has seen record temperatures in June and July, and the wildfire season is on track to be Europe's biggest ever, according to Investing.com. The region's economy is expected to face rising costs, with some experts warning that this is just the beginning of the economic impacts of climate change.
Brief written by urgent.news from CNBC World, Investing.com — 2 reports on this story. Machine-written — it may contain errors, so check the original before relying on it.
