Thailand counts 23 coastal provinces and over 3,000 kilometres of coastline. Marine resources are central to livelihoods, contributing to almost 30% of GDP and about 26% of employment.
Thailand is preparing a new financing tool to safeguard seas and coasts: blue bonds to fund sustainable ocean and coastal projects. With World Bank technical support—and amid rising pressure on marine resources—the government is studying the first-ever issuance of blue bonds, aiming to boost a blue economy that already anchors national growth.
RELEVANT SUSTAINABLE GOALS
Why It Matters: A Coastline That Powers the Economy
Thailand counts 23 coastal provinces and over 3,000 kilometres of coastline. Marine resources are central to livelihoods, contributing to almost 30% of GDP and about 26% of employment. Yet a World Bank report, Innovative Blue Financing Solutions in Thailand, warns these resources face mounting threats from coastal erosion, pollution, overexploitation, and a lack of funding.
Over the past three decades, approximately 30% of Thailand’s coastline has been affected by erosion, causing economic losses of over US$1.3 billion. The blue bond initiative is designed to mobilize capital for projects that can slow and reverse these trends while sustaining economic activity.
What a Blue Bond Would Do
Thailand’s Public Debt Management Office (PDMO) has issued green, social, and sustainability bonds. A blue bondwould extend this toolset, channeling proceeds to government operations and policies aligned with SDGs on oceans, seas, and marine resources. The government is currently studying the issuance as part of a broader effort to unlock the blue economy’s potential with strong technical support from the World Bank, including the first-ever blue bond issuance by the Thai government.
The World Bank report highlights the case for blue bonds, citing growing investor interest and strong policy momentum. As of 2022, the total value of ESG bonds circulating in Thailand reached 659 billion baht (US$20.3 billion)—an increase of over 35% from the previous year.
Melinda Good, Director of the World Bank for Thailand and Myanmar, underscored the timing as Thailand prepares to host the World Bank Group–IMF Annual Meetings in October 2026, a chance to showcase marine abundance and blue economy leadership.
“We are proud to support the Thai government’s vision of driving sustainable development, focusing on long-term benefits for both the well-being of its people and the environmental sustainability of the country’s marine ecosystems, through the creation of jobs and new lifestyles that foster the conservation of Thailand’s marine ecology for future generations,” said Good.
The Policy Backbone: Marine Spatial Planning
The World Bank, working with the PDMO and the Ministry of Natural Resources and Environment, is developing a Marine Spatial Planning (MSP) framework for national marine areas, supported by the PROBLUE Fund. The framework will assess the current situation, design solutions for resource-use conflicts, and create policies with a strong emphasis on stakeholder participation. It also evaluates the economic impact of integrated coastal and marine spatial management—guiding future public and private investments toward growth and environmental sustainability.
The World Bank has discussed innovative investment strategies with the PDMO to advance Thailand’s blue economy, including:
- Coastal erosion prevention
- Mangrove restoration
- Nature-based Solutions (NbS)
- Sustainable tourism
- Development of Thailand’s Ocean Accounting system to support MSP and steer efficient blue economy investments
In parallel, the World Bank supports Thailand’s Low Carbon Cities (LCC) initiative to cut emissions and spur green infrastructure. Mangrove restoration—a core coastal defense—can generate blue carbon credits linked to LCC mechanisms, reducing reliance on public funding and opening doors for private sector investment in scaling coastal erosion prevention.
Thailand’s blue economy is vital and vulnerable. Blue bonds, paired with marine spatial planning, nature-based solutions, and growing ESG capital, offer a route to finance protection and growth together. The strategy is clear: mobilize innovative funding, align it with national planning tools, and turn coastal pressure points into engines of sustainable development—now, and for future generations.
You may also be interested in :
UNOC: 30×30 Ocean Action Plan Launched to Accelerate Ocean Protection
