Under the Sihl

Flooding is the costliest natural hazard in Europe, with average annual economic losses of nearly EUR 7 billion. Only a fraction of these losses is typically covered by insurance. Unfortunately, after several floods, including disastrous events last month in Central and Eastern Europe, economic losses from flooding in 2024 are expected to reach double-digit billions. River flooding after heavy rainfall is becoming more frequent and governments are stepping up protection measures. For instance, Zurich is currently spending CHF 175 million to protect the city against flood risk from the Sihl river. Zurich city officials argue the investment is money well spent as an extreme flood event could cause an estimated CHF 6.7 billion in economic damage. Given the increasing frequency of flood events, global investment in flood management is increasing as countries upgrade infrastructure to not only deal with potential water scarcity, but also excess.

Source: European Environment Agency, October 2024