File picture: El Niño is characterised by a warming of the Pacific Ocean that alters global weather patterns, which can damage crops and strain power grids
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MUSTAFAH KK
El Niño has formed across the equatorial Pacific, setting the stage for months of droughts, floods and temperature fluctuations that will threaten communities worldwide along with agriculture and energy.
The climate phenomenon, identified by the Japan Meteorological Agency, is the first since 2023 — and may prove to be one of the strongest on record. El Niño is characterised by a warming of the Pacific Ocean that alters global weather patterns, which can damage crops and strain power grids.
Strong El Niños have historically reduced yields for palm oil, coffee, cocoa, cotton and grains including wheat and rice, according to a report from Marex, one of the world’s largest futures brokerages.
A powerful El Niño in 1997 killed at least 30,000 people and caused an estimated $100 billion in damage worldwide. A 2023 study by Dartmouth College estimated the lingering fallout from El Niños can cost the global economy trillions of dollars.
Other impacts on global weather will likely spread and become more intense as El Niño reaches its peak in December or January. These may include a cooler, wetter winter across the southern US, a reduced Indian monsoon, droughts and wildfires across parts of Australia.
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Published on June 10, 2026
