In reading an article in Inside Philanthropy by Michael Kavate (Can the Private Sector Save Coral Reefs and Turn a Profit? A New Global Fund Hopes So) it was daunting to see the financial challenge we face to protect or even save our coral reefs.
Scientists say we could lose 90% of the rest in the next 30 years. Extinction is on the table.
Our oceans continue to be threatened by way of modern living, in particular the impact of global warming. However, as highlighted by Michael, through the efforts of the Global Fund for Coral Reefs working in a partnership with United Nations agencies, BNP Paribas, Prince Albert II of Monaco Foundation and the Paul G. Allen Family Foundation they are hoping to raise $500 million over the next 10 years and have a goal of reaching $2-3 billion in capital raised both from public and private sectors to be allocated towards coral reef focused projects.
There are even case studies that show investing in coral reefs could have enormous economic benefits over the next decade: $37 billion in Indonesia and $35 billion in the Central American region known as Mesoamerica. Those studies argue that returns on those investments would be as high as 44:1 for certain marine protected areas, or 9:1 for specific erosion management efforts.
As was highlighted in the article – “to encourage the private sector to invest, you need to have returns. So, we’re really looking for revenue-generating opportunities here.”
The flag possibilities that span ecotourism projects, plastics reduction initiatives, sustainable aquaculture, pharmaceutical research and clean energy generation. Stating that – The aim is for those enterprises also to support the communities that live near and depend on coral reefs for their livelihoods. The great challenge is to make those projects turn a profit.
It’s worth remembering there are impact firms globally that continue to find innovative ways to deliver under the dual promise of providing both market-based financial returns to investors along with measurable positive impact, socially and/or environmentally.
As someone who has spent much of his life enjoying the oceans and reefs around Australia it is heart-warming to see real action with the aim of protecting coral reefs and in particular, the ambitious aims of the Global Fund for Coral Reefs. They are making a key contribution to deliver under UNSDG 14 ‘Life Below Water’.
Changing the world by helping those that can. Raising $10 billion for impact investing across social and environmental opportunities.
