The Blue Economy can’t be underrated and its true potential is not fully understood by many people

The ocean is one of the natural sources that covers two-thirds of the earth’s surface, supporting approximately 40% of the world’s population that resides near the coastlines and creating a new type of economy called the ocean economy, also known as the blue economy.

The blue economy, as defined by the World Bank, is the “sustainable use of ocean resources for economic growth, improved livelihoods, and jobs, while maintaining the health of the ocean ecosystem.”

According to the World Wildlife Fund, the ocean resources and global ocean assets are worth more than $24 trillion, based on direct output from marine fisheries, coral reefs, seagrass, and mangroves; carbon absorption; trade and transport; and productive coastline. These assets have generated an economy with a gross marine product of $2.5 trillion per year, which, if compared to a country’s GDP, would rank as the eighth largest economy in the world.

Until now, despite its contribution to the global economy, the blue economy is underrated, and its true potential is not fully understood by many people. It is more than a marine ecosystem or a shipping and transportation medium; it is the next great economic frontier.

The blue economy has the potential for wealth, economic growth, employment, and innovation due to its established and emerging industries, which include offshore wind energy, ocean renewable energy, blue carbon sequestration, marine biotechnology, maritime safety and surveillance, among others. It contributed to approximately 31 million direct full-time jobs in 2010, which, according to the OCED, was equivalent to France’s entire labour force in the same year.

Furthermore, the emerging industries and the economic contribution of the blue economy indicate an opportunity to grow the economy in value and diversify the economies of countries that are geographically endowed with oceans. Nonetheless, recognising the blue economy as a new economic frontier necessitates accommodating new investment forms and capital flows.

The blue economy presents opportunities for investors. Although investments in its existing and emerging industries are limited and less well-known, there are currently numerous opportunities for investors to participate in maritime projects, as countries recognise the blue economy’s potential and establish a framework to support the development of its related industries. For example, due to attractive tax incentives and policies, the shipping industry has investment potential in countries like Vietnam.

Another example of these policies is, for instance, the European Union and the United Nations, which have developed a long-term strategy to support the facilitation of sustainable ocean-based economic benefits through implementing climate-resilient and inclusive blue economy policies that minimise human impact.

Similarly, Norway introduced the green shipping programme, an institutional collaboration between the government and the private sector to accelerate economic growth, increase competition, create new jobs, and reduce emissions.

Moreover, to ensure the long-term viability of blue economies, their governments must invest in modern infrastructure, technologies, research and development, education, and job creation.

Finally, they must consider the significance of global cooperation across borders and industries to ensure that their respective policies do not conflict.