The interdependencies between ocean health, the livelihoods of coastal communities, and the resilience of the global economy are increasingly recognised. If the ocean economy was a country it would be the fifth largest economy in the world, according to a recent OECD report. With human influence the main driver of ocean heat increases, the impacts from climate change, overfishing, pollution and habitat destruction have widespread impacts on marine ecosystems and their economic potential.
At BNP Paribas’ Sustainability Expert Forum in Paris, speakers looked at strategies to preserve natural ecosystems, and how the financial sector can deploy capital towards conservation and protection efforts as well as support to local economies.
Exploring innovative financial solutions for ocean conservation
Ahead of the 2025 United Nations Ocean Conference (UNOC3) in Nice, BNP Paribas’ Sustainability Expert Forum hosted a timely discussion on ocean conservation and a sustainable blue economy. The panel explored the role of companies in addressing these problems, highlighting the interconnectedness of ocean health, corporate engagement, and innovative financial solutions to support more resilient coastal communities.
Moderating the session, Edward Lees, Co-head of Environmental Strategies at BNP Paribas Asset Management, emphasised the ocean’s intrinsic value to the planet, as sea temperatures significantly affect marine ecosystems, disrupting the ocean’s role in regulating global systems.
Accurate data is the cornerstone
Scientific data is crucial in understanding the health of the ocean and identifying the most pressing issues. Tara Ocean Foundation with its scientific partners is dedicated to advancing scientific knowledge and fostering environmental stewardship through rigorous research and pragmatic solutions. Over the past two years, Tara’s extensive research has been conducted along European coastlines, from Tallinn to Istanbul, to gauge the pollution levels and the biodiversity of marine life, particularly those species that contribute significantly to fishing industries and goods derived from the sea.
Romain Troublé, Chief Operating Officer at Tara Ocean Foundation, reiterated the criticality of the ocean to life on earth, containing 97% of the planet’s water, and highlighting fundamental issues facing the ocean today, specifically on the measurement of biodiversity and the presence of chemical compounds.
Troublé emphasised the complexity of this task, noting the vast diversity of marine organisms and the immense challenge of cataloging and understanding all the chemical compounds present.
The findings from this research are not just academic; they have significant real-world implications. With approximately 7,000 to 10,000 chemical compounds being investigated, the data collected provides a crucial baseline for evaluating the health of the ocean and predicting future challenges. Troublé pointed out that “accurate data is imperative not only for identifying current issues but also for anticipating future ones.”
Of particular concern is the quality of water, as underscored by Troublé, since the ocean accounts to half of the world’s oxygen daily production, acts as a major CO2 sink, and ensures food security for about 3 billion people. “Our actions must be sustainable or far greater issues will hit us hard in the future”, Troublé added.
Corporates paving the way for ocean sustainability
Corporates have a pivotal role in protecting the ocean through sustainable practices and innovative financing. With over 100 million jobs depending on the ocean economy, ocean conservation is positioned as a central pillar in the transition towards a greener and more resilient future.
Ørsted, a global renewable energy company from Denmark, issued a pioneering blue bond in 2023, becoming the first energy company to do so. Designed to support ocean health, the bond has raised capital for initiatives that enhance Ørsted’s ability to scale offshore renewable energy in balance with nature – including investments in research, monitoring, mitigation, conservation, and restoration of marine biodiversity.
Kathrine Nistrup Madsen, Head of Sustainability Foresight and Integration at Ørsted, stated, “A responsible approach to biodiversity helps reduce project-related risks, supports permitting, and is key to engaging with local stakeholders. It also strengthens the long-term resilience of our business by helping to ensure continued access to land and ocean space for new renewable energy projects”, which demonstrates the value for corporates to drive a positive environmental impact. By integrating sustainability into their core strategies, companies can take charge in ocean conservation while achieving long-term business resilience.
Madsen’s vision extends beyond mere short-term projects; she envisions a future where renewable energy projects are being scaled while also delivering long-term positive impacts on biodiversity and local communities.
The role of financial solutions in ocean protection
Insurance products offer practical solutions to ocean protection and conservation, supporting the resilience of coastal communities and ecosystems. As climate risks escalate, insurance could become less accessible, as underpinned by Martin Powell, Head of Sustainability at AXA, where he sees the need for innovative insurance models that address climate change adaptation and support vulnerable communities.
AXA has pivoted its strategy to focus on these areas, recognising the increased frequency and severity of extreme weather events. “As a business, we see the world heating up. We can measure it. We see the increased frequency of storm events. We see companies going out of business because they’re being hit by the same storm, but now twice a year, not once a year,” said Powell. This strategy ensures that more people are included in insurance solutions to protect their livelihoods and assets.
One approach they have implemented is parametric insurance coverage, which ensures that natural assets, people, and businesses can be protected during and after significant events, as it determines predefined thresholds and compensation amounts to be paid, without needing an expert’s intervention or additional justification. Taking coral reefs as an example, after a storm event, they may get covered with silt, threatening the sea life that depends on them. With parametric insurance, teams can thus be deployed to remove the slit promptly, restoring the reef and bringing immediate relief the local fishing communities.
Charting a sustainable future through collective action
Collaboration between governments, businesses, scientists, and the finance community is essential to invest in long-term infrastructure to mitigate risks as stated in a recent World Bank report on safeguarding marine ecosystems and society.
According to Lees, “as the ocean continues to absorb the majority of the world’s excess heat, the future of our planet is linked to how we address related challenges, acknowledging the critical connection between ocean health and global stability”.