The blue (ocean) economy offers many opportunities for private finance to lend and invest in a sustainable and nature-positive way. Here we look at some of the leading examples of best practice in social and environmental sustainability across the port sector which banks, insurers and investors can seek out.
On 22 July 2021, the G20 environment ministers gathered in Naples committing to ‘continue and increase’ their efforts to address the triple crises of climate change, nature loss and pollution. Finance, both ‘green’ and ‘blue’ was on the agenda, as ministers highlighted the urgent need to direct financial flows and mobilise finance sources to align…
The ocean is not just a victim of climate change, it is also a source of solutions. The transition to a sustainable “blue” economy is an opportunity to re-cast how we use, manage and protect ocean resources in a more integrated manner. Unlocking the financial sector for the sustainable blue economy allows for the potential of an environmentally and socially sustainable future that will be resilient to the impacts of climate change while providing livelihoods, food and prosperity.
You have signed the UNEP FI Sustainable Blue Economy Finance Principles. Why did American Hellenic Hull Insurance Company take this step and has it been a challenge to adopt sustainable insurance practices? Shipping itself is crucial to global sustainability. As the carrier of world trade it is the key component in bringing food, energy, vital goods, jobs…
Investment in blue economy is vital for planet’s future, but the breadth of risks to ocean health pose challenges to asset owners. The ocean economy is estimated to be worth US$2.5 trillion annually, but just US$13 billion has been invested during the past ten years to support sustainability, according to an international joint academic and public institution report. If further action is not taken to tackle the effects of unsustainable use of oceans and their resources, a total of between US$200 billion-US$1 trillion will be required annually by 2100 to pay for coastal protection, relocation of people and loss of land to sea level rise.
Based on the market-first practical guidance for financial institutions, Turning the Tide, UNEP FI’s recommended exclusions list for a sustainable blue economy provides financial institutions with an overview of activities to exclude from financing due to their damaging impact on the ocean and high risk.
Read about the conference hosted by the European Investment Bank and WWF, where Portugal, represented by Ricardo Serrão Santos, Minister of the Sea Republic of Portugal, endorsed the Sustainable Blue Economy Finance Principles and the EBRD and the Asian Development Bank were welcomed as recent signatories of the Principles.
New practical guidance enables banks, investors and insurers to understand their impact on ocean health and immediately take action to accelerate the transition to a sustainable blue economy. Leveraging best practice based on input from more than 50 pioneering institutions and experts, this guidance sets out pathways to sustainable growth across five key ocean sectors, chosen for their established connection to private finance. It presents a detailed breakdown of which activities to seek out as best practice, which activities to challenge, and which activities to avoid financing completely due to their damaging nature.
This foundational report maps ocean finance, revealing trends in lending, underwriting and investment activities which impact the ocean .It includes survey results across 100+ financial professionals revealing current trends, frameworks and financial instruments that are successfully addressing ocean sustainability and highlights new opportunities and gaps in the market. The report covers 5 key ocean sectors: seafood, ports, shipping, coastal and marine tourism and marine renewable energy, notably offshore wind, chosen for their established connection with private finance.
Biodiversity is catching up with climate on the global policy agenda, motivating leading financial institutions to understand their impacts and dependencies on nature. A first step for financial institutions is to look at the impacts and dependencies on nature across the industries they invest in, lend to or insure.
For media enquiries, please contact:Cara Wilson, UNEP FI Communications Lead, Banking & Nature