Introduction

The ocean economy is equivalent in size to the world’s fifth largest economy, with global markets relying on its industries to support 90 percent of global trade volume. A Sustainable Ocean Economy (SOE) is essential for safeguarding biodiversity, food security, and livelihoods. Currently, the ocean absorbs 25 percent of all carbon dioxide emissions, acting as the world’s largest carbon sink. However, persistent health decline threatens to push ecosystems towards tipping points that could undermine macroeconomic stability.

Purpose

The Protocol serves as a framework for Ocean Finance Actors, including financial institutions, insurers, industry, governments, and central banks, to lead the growth of the SOE. It provides guidance on managing ocean-related risks and identifying opportunities to increase energy, food, and transport security. To meet climate targets, it is estimated that $1 trillion of additional finance is needed by 2030, and $2 trillion in total finance is required between 2030–2050.

The need for an ocean investment protocol

Coordinated action is required to address critical needs, such as increasing ocean literacy, scaling up access to reliable data, and identifying a global pipeline of ocean-based investments. Stakeholders must align policies and business practices with the target of limiting warming to 1.5°C and support the goal of 100 percent sustainable management of ocean areas under national jurisdiction. By 2050, the market value of a refocused, sustainable ocean economy is projected to reach 5.5 trillion USD.

Financial institutions

Banks and investors are encouraged to build capacity for risk assessments in line with the Taskforce on Nature-related Financial Disclosures (TNFD). They should publicly disclose data on impacts and dependencies and utilise existing sectoral guidance to understand eligibility for SOE finance. Recommendations include setting science-based targets, engaging with corporate boards to advocate for sustainability, and signing the Sustainable Blue Economy Finance Principles.

(Re)insurance

Insurers play a vital role as risk managers and enablers of economic activity. The industry is encouraged to scale up risk transfer mechanisms that protect against natural hazards and support blended finance opportunities. Tools such as the Coastal Risk Index can quantify the potential risk reduction benefits of coral reefs and mangroves. Insurers should also consider individual actions to avoid harm, such as voiding cover for illegal or unregulated fishing.

Ocean industries

Companies should integrate material ocean-related risks into corporate strategy and reporting. Key actions include aligning business practices with the UN Global Compact Sustainable Ocean Principles and evaluating supply chain impacts on the marine environment. Industries are encouraged to foster innovation in new business models, such as seaweed or sustainable plastic alternatives, and link executive remuneration to performance on material environmental, social, and governance (ESG) issues.

Governments

The public sector must provide an enabling environment by developing Sustainable Ocean Plans and national ocean accounts that capture the value of natural capital. Governments should establish sustainability taxonomies that include the blue economy and mandate climate and nature-related disclosures. Phasing out harmful subsidies that do not align with sustainable strategies is a priority for reinforcing the transition.

Central banks and financial supervisors

Central banks and financial supervisors are urged to assess the exposure of financial systems to ocean-related risks, including within monetary policy portfolios. They should incentivise financial institutions to shift capital away from harmful marine activities toward sustainable sectors. This includes integrating ocean risk into macro-financial risk assessments and collaborating with international standard-setters to expand the integration of ocean-related issues into regulatory frameworks.

Development financing

Development finance institutions (DFIs) should lead by building holistic, nature-positive approaches to financing. Recommendations include fostering SOE development in the Global South through concessional financing and de-risking projects to attract private capital. DFIs should also support the bundling of small-scale opportunities and prioritise nature-based solutions across infrastructure finance whenever possible.