Indonesia has launched the world’s first Coral Reef Bond, a groundbreaking funding instrument aimed at raising up to $200 million per year for marine conservation efforts. Minister of Maritime Affairs and Fisheries Sakti Wahyu Trenggono announced the initiative on Sunday, highlighting the nation’s commitment to expanding marine conservation areas to 30% by 2045.
“The Coral Reef Bond represents our dedication to protecting Indonesia’s rich marine biodiversity,” Trenggono said in a statement. “This innovative approach ensures measurable and sustainable conservation outcomes without relying on state debt or government funds.”
First introduced at the Third United Nations Ocean Conference in Nice, France, the bond focuses on three priority conservation areas: the Raja Ampat National Conservation Area, the Raja Ampat Regional Conservation Area, and the Alor Islands Regional Conservation Area.
“Indonesia will manage the funds from the foregone coupon to achieve tangible conservation results at these crucial locations,” Trenggono added.
The Coral Reef Bond is set to revolutionize how marine conservation is funded, serving as a model for other nations seeking sustainable financing solutions.
