A-G Announces Our First ‘tackle hard’ Blue Bonds

The rugby analogy, “tackle, tackle hard to become world- class” was used yesterday when Fiji’s first Blue Bonds was announced.

Perhaps it depicts the persistence of Fiji’s leadership – in this case to address the gaps in international financing while at the same time creating solutions to meet ocean- linked challenges.

The Fijian Government will work closely with the UK Government, the UN Development Programme, and the UN Capital Development Fund (UNCDF) to develop and issue the Bond by the summer of 2022.

Through the UK’s Blue Planet Fund, the Blue Bond will help create a supportive environment for sustainable ocean finance in Fiji, supporting projects that will improve ocean health and support the livelihoods of coastal communities.

Funds raised through the Bond will be invested into green ship- ping, establishing marine protected areas (MPAs) and aquaculture to set Fiji’s blue economy on a carbon neutral path by 2050.

These investments will help Fiji meet its commitments under the 2030 Sustainable Development Goals (SDGs), specifically Goal 14: Life below Water, in the face of a sharp COVID-induced economic downturn that began in 2020.

The UK’s £500 million (F$1.40 million) Blue Planet Fund supports developing countries to protect the marine environment and reduce poverty.

The Blue Bond is aligned with UK’s ambition to help Small Island Developing States (SIDS) access to sustainable finance to effectively and sustainably manage marine resources and build resilience and adapt.

While making the announcement, Attorney-General, Minister for Economy and Minister Responsible for Climate Change, Aiyaz Sayed- Khaiyum, outlined why investing in the blue economy was vital:

• Fiji is the 26th largest country by area of our Exclusive Economic Zone;
• Fiji is home to 3.5 per cent of the world’s coral reefs; and
• The need to unlock new and additional resources to accelerate resilience-building.

“Our priorities cannot wait – and this bond issuance is a means to accelerate our economy’s net-zero transition and increase our climate resilience,” the A-G said.

“We are not only calling for additional financing for ocean issues while calling out the growing shortfalls in international climate financing – we are also doing all we can to create solutions - at home, for ourselves, and in parallel to our efforts here in Glasgow.”

Mr Sayed-Khaiyum and Permanent Secretary for Economy, Shiri Gounder, will travel to London next week to discuss market de-risking, structuring and placement opportunities for Fiji’s Blue Bond issuance.

A meeting with the Sustainable Markets Initiative (SMI), championed by His Royal Highness the Prince of Wales Prince Charles, is on the agenda.

Feedback: rosi.doviverata@fijisun.com.fj