Resilient Economies Strategies for Sinking Cities and Flood Risks 2025

Foreword Cities are at the forefront of transformation. As urbanization accelerates and the climate crisis intensifies, the risks facing urban environments are becoming more complex, interconnected and urgent. Among these, land subsidence, often overlooked due to its gradual onset and localized causes, has emerged as a critical challenge with profound implications for cities worldwide. This is a decisive moment to address sinking cities. Today, the convergence of sea-level rise, extreme weather events and rapid urban growth is amplifying economic, social and environmental risks in places with land subsidence. The consequences of inaction are already evident: increased flood risk, infrastructure damage, saltwater intrusion, coastal erosion, and threats to people’s well-being. These impacts are not confined to any single region; both coastal and inland cities are affected. Urban transformation in the 21st century must be anchored in prevention and resilience. Integrating proactive, systems-based approaches to address land subsidence within urban planning and development is no longer optional, it is essential.This report is published at a pivotal moment, as leaders across the public and private sectors are called to move beyond reactive crisis management and embrace holistic and integrated strategies that anticipate, prevent, mitigate, adapt and is resilient to evolving risks. Collaborative action and shared responsibility are essential to building urban resilience and ensuring future readiness. The insights and recommendations in this report are intended as a foundational resource for decision-makers seeking to future-proof cities and economies against the growing challenge of land subsidence and climate change, while improving quality of life for all. By recognizing subsidence as a core element of the broader urban and climate resilience agenda, stakeholders can unlock new opportunities for sustainable growth, safeguard critical infrastructure and protect livelihoods. Now is the time for bold, coordinated action. Together, we can turn the tide on land subsidence and build thriving, resilient cities for generations to come.Anu Devi Lead, Strategic Insights, Centre for Urban Transformation, World Economic ForumRaj Kannan Leader for Infrastructure and Real Estate, Asia Pacific and Southeast Asia, Deloitte Resilient Economies: Strategies for Sinking Cities and Flood RisksNovember 2025 Resilient Economies: Strategies for Sinking Cities and Flood Risks 3