NewsVoir
New Delhi [India], January 13: A new report, ‘The Business Case for Clean Air: Unlocking Economic Opportunities for India’, by Dalberg Advisors in collaboration with the Clean Air Fund reveals that India can unlock USD 220 billion in economic gains by implementing a focused set of clean air solutions across priority sectors.
Air pollution continues to create a significant burden for the economy through reduced productivity, unplanned absences, lower consumer activity, and increasing healthcare expenditure.
This report follows a previous study from 2021 by Dalberg Advisors, Air Pollution in India and the Impact on Business, which quantified the economic losses due to particulate matter (PM2.5) pollution levels in India. The 2021 study estimated these economic losses at USD 95 billion annually, equivalent to 3% of India’s GDP.
Despite recent improvements due to initiatives by national and state governments and city authorities, average PM2.5 levels in many cities remain significantly above national standards.
The new report evaluates high-impact solutions across key economic sectors: transport, industry, agriculture, waste, power, construction, and residential combustion. If implemented effectively, these solutions could:
* reduce PM2.5 levels by ~20% by 2030 from current levels;
* generate USD 220 billion in economic opportunity;
* avert USD 85 billion in business losses by 2030;
* avoid nearly 10 million Disability-Adjusted Life Years (DALYs) annually
* support approximately 1.4 million job transitions and new jobs
Speaking on the launch of the report, Jagjeet Sareen, Partner and India Head, Dalberg Advisors said, “Clean air is not only a public health priority but also an economic imperative. This analysis highlights where targeted investments can deliver measurable returns for businesses, workers, and the broader economy.”
Clean Air Fund’s recent report, The State of Global Air Quality Funding 2025, shows an increase in air quality investments from development finance institutions flowing to South Asia. This growing priority for development donors is an opportunity for South Asian countries to unlock further public and private capital that will deliver economic, health and environmental benefits.
Shirish Sinha, Executive Director of Programmes at Clean Air Fund added, “Asia’s development financial institutions and agencies are some of the biggest players in international public finance, and countries across the continent are working to tackle air pollution. Development donors recognise that funding clean air measures is an opportunity to see multiple returns on investment through climate and health co-benefits, while catalysing private capital in South Asian countries. India has demonstrated significant progress through the National Clean Air Programme. The next step is to scale proven solutions and align clean air more closely with India’s economic and development priorities.”
The report also outlines five enabling actions critical for scale:
1. crowding in private capital;
2. prototyping solutions in priority regions;
3. building a skilled green workforce;
4. strengthening community participation; and
5. investing in digital public infrastructure.
Together, these steps can help position clean air as a driver of growth and resilience. Integrating clean-air action into India’s economic planning can improve public health, enhance productivity, and strengthen long-term competitiveness.
For the full report, see here: dalberg.com/our-ideas/the-business-case-for-clean-air-unlocking-economic-opportunities-for-india/
About Dalberg Advisors
Dalberg Advisors is a strategic advisory firm that combines the best of private sector strategy skills and rigorous analytical capabilities with deep knowledge and networks across emerging and frontier markets. We work collaboratively across the public, private and philanthropic sectors to fuel inclusive growth and help clients achieve their goals.
About Clean Air Fund
Clean Air Fund is a global philanthropic organisation working with governments, funders, businesses and campaigners to create a future where everyone breathes clean air.
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