Globally, thermodynamics explains an increase in atmospheric water vapor with warming of around 7%/°C near to the surface. In contrast, global precipitation and evaporation are constrained by the Earth's energy balance to increase at ∼2–3%/°C. However, this rate of increase is suppressed by rapid atmospheric adjustments in response to greenhouse gases and absorbing aerosols that directly alter the atmospheric energy budget. Rapid adjustments to forcings, cooling effects from scattering aerosol, and observational uncertainty can explain why observed global precipitation responses are currently difficult to detect but are expected to emerge and accelerate as warming increases and aerosol forcing diminishes. Precipitation increases with warming are expected to be smaller over land than ocean due to limitations on moisture convergence, exacerbated by feedbacks and affected by rapid adjustments. Thermodynamic increases in atmospheric moisture fluxes amplify wet and dry events, driving an intensification of precipitation extremes. The rate of intensification can deviate from a simple thermodynamic response due to in‐storm and larger‐scale feedback processes, while changes in large‐scale dynamics and catchment characteristics further modulate the frequency of flooding in response to precipitation increases. Changes in atmospheric circulation in response to radiative forcing and evolving surface temperature patterns are capable of dominating water cycle changes in some regions. Moreover, the direct impact of human activities on the water cycle through water abstraction, irrigation, and land use change is already a significant component of regional water cycle change and is expected to further increase in importance as water demand grows with global population.

This study analysed and modified (where necessary) the properties of three drought indices: the Palmer drought severity index (PDSI), the Bhalme–Mooley index (BMI) and the standardized precipitation index (SPI). We modified the original PDSI's recursive formula, potential runoff, and Z index, which produced more realistic results than the original PDSI (designed for the USA) for East Africa. We improved the SPI by first using a plotting position formula designed for the Pearson type III (P3) distribution to transform the ‘smoothed’ precipitation data into non‐exceedance probabilities, which we then transformed into standard P3 variates by the regional flood index method. The modified SPI depicted East Africa's drought conditions more accurately than the original SPI. Using the three indices and East Africa as a case example, we identified eight assessment criteria to determine the most appropriate index for detecting drought events on a regional basis. BMI produced results that are highly correlated to those of the modified PDSI, which suggested that precipitation alone could explain most of the variability of East African droughts. Furthermore, among the three indices, SPI is more appropriate for monitoring East African droughts because it is more easily adapted to the local climate, has modest data requirements, can be computed at almost any time scale, provides relatively consistent power spectra spatially, has no theoretical upper or lower bounds, and is easy to interpret. Copyright © 2003 Royal Meteorological Society