Air pollution not just environmental problem; also a growing economic crisis: Experts

One of the biggest economic burdens caused by air pollution is healthcare expenses. Polluted air has been linked to respiratory diseases, heart conditions and other serious health issues. Hospitals in major cities like Delhi, Mumbai and Kolkata see an increase in patients suffering from asthma, lung infections and chronic obstructive pulmonary disease, especially during the winter when pollution levels peak. Treating these illnesses places a heavy financial strain on families and the healthcare system. The government and private institutions spend huge amounts on treatments and medications that could have been avoided with cleaner air. According to studies, India loses more than 1.3 percent of its GDP due to health issues related to air pollution. This is money that could have been invested in infrastructure, education or other areas that contribute to economic growth.

Workforce productivity also takes a hit when pollution levels rise. Employees working in polluted environments often report fatigue, headaches and breathing difficulties, thereby leading to reduced efficiency. Many workers take sick leave and some even develop long-term health conditions that force them out of the workforce altogether. For industries that require outdoor labour, such as construction and manufacturing, pollution-related disruptions slow down projects and increase costs. Offices in major cities are also affected, as employees struggle to focus in conditions where the air is thick with toxins. Companies lose money when productivity drops and the overall economy suffers as a result.

Tourism, a major source of revenue for India, is also feeling the impact of air pollution. Every year, millions of tourists visit India to see its historical monuments, natural landscapes and vibrant cities. However, reports of hazardous air quality, particularly in Delhi, have discouraged many travelers from visiting. Tourists who do visit often cut their trips short or avoid outdoor activities, reducing spending on local businesses. The Taj Mahal, one of India’s most famous attractions, has suffered from discoloration due to pollution and its surroundings are often covered in smog. This damages India’s global image and makes it harder to attract visitors. A drop in tourism affects airlines, hotels, restaurants and street vendors who rely on foreign and domestic travelers for income. If pollution levels continue to rise, India risks losing billions in tourism revenue.

Agriculture, another crucial part of India’s economy, is not spared from the effects of pollution. Airborne toxins settle on crops, affecting their quality and yield. Polluted water sources used for irrigation further worsen the situation, making food unsafe for consumption. Farmers often suffer from breathing problems due to exposure to high levels of pollutants, reducing their ability to work efficiently. Smog blocks sunlight, slowing the growth of crops and leading to lower agricultural output. This not only affects farmers’ earnings but also pushes up food prices, contributing to inflation and making essential goods more expensive for everyone.

Industrial growth is also at risk due to pollution. Many international companies are hesitant to set up offices or factories in highly polluted areas. Businesses that require a clean environment, such as those in technology and pharmaceuticals, may choose other countries with better air quality. Cities that struggle with pollution often experience difficulties in attracting foreign investment, limiting job opportunities and slowing economic progress.

Pollution-related restrictions and shutdowns, such as bans on construction or factory operations during peak smog seasons, also create instability in various industries. Without reliable working conditions, companies may find it difficult to plan long-term projects, leading to losses in potential revenue.

The real estate market has also been affected by worsening air quality. People are less willing to buy homes or rent apartments in cities known for extreme pollution. Areas with consistently poor air quality see a drop in property values as demand decreases. This affects both homeowners looking to sell and developers investing in new projects. As more people become aware of the dangers of pollution, they look for properties in cleaner areas, forcing urban planners and governments to rethink city development strategies.

Despite the clear economic risks, action on pollution control has been slow. Short-term solutions like smog towers and artificial rain experiments have been tested, but they are not enough. Long-term policies that focus on reducing emissions, increasing green spaces and promoting clean energy are needed. The government has introduced programs to encourage electric vehicles and expand public transportation, but enforcement remains weak. Many factories and power plants continue to release high levels of pollutants with little consequence. Stricter regulations and proper implementation are necessary to make a real difference.

Public awareness is also a crucial part of the solution. Many people do not fully understand the economic consequences of pollution, seeing it only as an environmental issue. Educating citizens about the financial impact can help build pressure on authorities to take stronger action. Businesses can also play a role by adopting cleaner technologies and supporting initiatives that aim to reduce pollution levels.

If India wants to sustain economic growth, tackling air pollution must be a priority. The country has made great strides in various sectors. However, without a healthy workforce, clean cities and an attractive investment environment, progress will be slowed. By investing in clean air initiatives, strengthening regulations and raising public awareness, India can protect both its economy and its people from the long-term damage caused by pollution. The cost of inaction is too high and the time to act is now.