Moody’s flags water stress risks in India amid rising data centre demand
Moody’s has warned that rising demand from water-intensive industries, including data centres, could intensify global water stress and create fiscal and credit risks. The report highlights that India’s fragmented water management system and climate-related challenges such as heat stress and monsoon variability may worsen supply shortages. Although India is not directly cited for data centre-driven stress, rapid expansion of digital infrastructure raises concerns for long-term water security in major cities.