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The value of water: economic development and social well-being

Although its use and access are highly standardized in developed countries, the fact is that water is a strategic and essential resource worldwide, and it plays a crucial role in economic development, social cohesion and the stability of international relations.

Although it may appear to be abundant, the way it’s distributed varies widely. In regions such as the Middle East, the Sahel, the Horn of Africa and parts of South Asia, scarcity is a daily reality. In contrast, countries located in temperate and tropical zones often have access to abundant freshwater sources.

This disparity influences the ability of nations to develop economically. Areas with restricted water resources face greater obstacles to maintaining agricultural production and meeting the basic needs of their populations. This increases their dependence on imports and makes them more vulnerable to global market fluctuations.

The challenge of population growth

The increase in world population in recent decades has driven water demand to unprecedented levels. According to the Food and Agricultural Organization of the United Nations (FAO)’s projections, the production of the food needed by 2050 will have to increase by 50% compared to the levels of the early 21st century. This exponential growth puts additional pressure on an increasingly scarce material.

Agriculture, which accounts for about 70% of available freshwater consumption, is particularly sensitive to these changes. Its efficient use is critical to ensure food security and economic stability.

Water is also essential in numerous industrial processes. In the energy sector, for example, hydroelectric power plants – which generate more than 20% of the world’s electricity – depend entirely on access to large volumes of water. This also applies to many other industries, such as textiles and tourism, where it plays an equally decisive role.

Water stress: a global challenge

This concept refers to a situation in which the demand for water exceeds the availability of sustainable water resources in a region. The problem worsens as the population grows and climate change alters precipitation patterns, affecting a large part of the planet in various ways.

In countries such as Germany, the decline in the flow of the Rhine River in 2022 due to extreme weather conditions forced industry to scale back its activity, thus showing how it can directly affect the economy. Similarly, the reduced traffic in the Panama Canal due to the lack of rainfall is evidence of how climate variations can strain global value chains.

In regions such as the Middle East, water stress becomes a matter of survival. Water shortages can lead to internal tensions and, in extreme cases, strife between communities and nations.

Water as a guarantor of well-being

Access to safe drinking water is a fundamental human right. However, the latest joint report by UNICEF and WHO reveals that more than 2 billion people worldwide still lack safe drinking water. This shortfall contributes to the spread of diseases such as cholera, typhoid fever and diarrhea, which especially affect the most vulnerable communities.

To tackle this crisis, it’s crucial to implement policies that prioritize inclusiveness and fairness in the distribution of water resources, thus reducing development disparities among different regions and social groups. Ensuring universal access to clean water is not only one of the sustainable development goals (SDGs), but also a prerequisite for achieving global peace and stability.

Potential conflict trigger

Competition for water has the potential to trigger conflicts, especially in regions where it’s lacking or poorly managed. Cross-border rivers and aquifers, such as the Jordan River, are critical points where disputes have exacerbated tensions between nations. In the case of the Jordan River, rivalry over access to this raw material has been a constant source of friction between Israel, Jordan and Palestine, underscoring its strategic importance in a region marked by scarcity.

In Central Asia, the desiccation of the Aral Sea resulting from the diversion of rivers for agriculture has led to conflicts between the countries sharing these water resources. The drastic reduction in water has caused devastating environmental damage and undermined local economies, intensifying tensions between neighboring nations.

Climate change is exacerbating these risks. With the increasing frequency and severity of droughts, pressure on water resources increases, which can transform water disputes into political and social conflicts if not properly managed. In this context, water governance is fundamental, requiring policies that foster international cooperation and shared management.

Desalination: a strategic alternative

Faced with the challenges of water stress, seawater desalination stands as a strategic solution. Although it still presents challenges, such as the high energy cost and environmental impact associated with its production, technological advances and efficiency improvements are reinforcing its viability for ensuring water supply in arid areas.

With more than 20,000 desalination plants in operation worldwide, this technology has enabled regions such as the Middle East to mitigate freshwater shortages. In Saudi Arabia, for example, more than 70% of water consumed comes from such facilities.

The value of water, which is often underestimated, goes beyond its basic life-sustaining function: it impacts both the economy and social stability. Proper management is essential for global well-being. International cooperation and innovation in how water resources are managed will be key to ensuring a future in which this vital resource is available to all.

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