The European Union Delegation to the Pacific, the United Nations Capital Development Fund (UNCDF), and the United Nations Development Programme (UNDP) have launched the Sustainable Pacific Blue Circle Fund.

The launch, hosted by the Government of Fiji and represented by the Minister for Finance, Hon. Esrom Emmanuel, brought together development partners, governments, entrepreneurs, and private sector stakeholders from across the region.

The regional programme will support micro, small and medium enterprises across Fiji, Papua New Guinea, Samoa, Solomon Islands, and Vanuatu, helping businesses in the blue economy, green economy, and climate resilience sectors to grow, access finance, and attract investment.

Funded by an 8.8 million Euro contribution from the European Union up to December 2028, the Sustainable Pacific Blue Circle Fund aims to help build a stronger pipeline of sustainable and investment-ready Pacific businesses through technical assistance, incubation support, partnerships with financial institutions, and business ecosystem strengthening. The project aims to empower more than 30 MSMEs, in the five island countries, driving regional economic growth by creating an estimated 100 new jobs.

Speaking at the launch, Fiji’s Minister for Finance and Business Development. Hon. Esrom Immanuel, said the initiative aligns strongly with Fiji’s national development priorities and the region’s broader ambition for sustainable and resilient economic growth:

“Micro, small and medium enterprises are central to our economy and to the livelihoods of our people. However, many businesses continue to face barriers in accessing finance and becoming investment-ready, particularly in rural and climate-vulnerable communities,” Mr. Immanuel said.

“The Sustainable Pacific Blue Circle Fund responds directly to these challenges by helping businesses strengthen their capacity, improve investment readiness, and better access sustainable financing opportunities.”

European Union Ambassador to the Pacific, H.E. Barbara Plinkert, said the Sustainable Pacific Blue Circle Fund reflects the EU’s long-term commitment to sustainable and inclusive development in the Pacific.

“The Pacific has immense potential in the blue and green economy sectors, but unlocking this potential requires strong partnerships, targeted support, and sustainable investment. Through the Sustainable Pacific Blue Circle Fund, the European Union is proud to support Pacific businesses, entrepreneurs, and communities in building a more resilient and sustainable future.”

Munkhtuya (Tuya) Altangerel, Resident Representative for UNDP and UNCDF Representative in Fiji, highlighted the importance of strengthening local enterprise ecosystems and ensuring development solutions are grounded in Pacific realities.

“We know that the Pacific does not lack innovation or ambition, but what businesses need is the right support to translate that potential into growth, jobs, and resilience for their communities. That is what this facility is designed to do, and we are proud to join our partners in support of this vital initiative.”

UNCDF Regional Investment Team Lead for Asia and the Pacific Region, Maria Perdomo, described the project as an initiative that reflects UNCDF’s evolving catalytic finance mandate and commitment to unlocking capital in underserved markets.

“This facility is a flagship initiative that provides long-term financial, technical, and advisory support directly to entrepreneurs and small businesses in the Pacific. It targets small community businesses, especially environmentally positive businesses that are generally left behind by traditional banks. This tailored support is aimed at solving the unique challenges they face, such as high operating costs, low sales, and geographic isolation, ultimately helping the region transition towards greener, more inclusive, and resilient economies.”

The Sustainable Pacific Blue Circle Fund is designed as a blended-finance initiative led by UNCDF and implemented in partnership with UNDP. It will launch a Technical Assistance and Incubation Facility to empower blue and green MSMEs selected through a rigorous, competitive process. Local enterprises will receive comprehensive support ranging from basic business training and preparation to attract investors, along with direct catalytic grants, designed to jump-start growth and attract investments. Crucially, the strategy also includes targeted capacity-building support for local Financial Service Providers (FSPs) to help them confidently facilitate loans, bridging the financing gap aimed at building a robust and sustainable regional economy.

The Sustainable Pacific Blue Circle Fund contributes to regional priorities under the 2050 Strategy for the Blue Pacific Continent and supports progress towards the Sustainable Development Goals, particularly those related to inclusive economic growth, climate action, gender equality, and sustainable ocean-based development.

UNCDF alongside UNDP are partners in the implementation of this important initiative across the Pacific.