Blended finance solutions and private sector partnerships hold the key to leveraging the resources needed to invest in the ocean, according to UN Capital Development Fund’s Executive Secretary Pradeep Kurukulasuriya speaking at the Third UN Climate Conference (UNOC3) under the theme of mobilizing finance for ocean action. Representing a group of UN organizations and global partners, UNCDF invited states, private sector leaders, financial institutions, and civil society partners to participate in an inclusive co-design process to shape a new global financing platform - the One Ocean Finance Facility.

At UNOC3’s only Ocean Action Panel with a strict focus on mobilizing finance, speakers stressed the urgency for additional investment in the sustainable development of the ocean, in contrast with the continued and substantial funding of harmful subsidies and industries that damage the ocean, its health and ultimately the well-being of all human life on the planet. Speakers agreed the time has come for urgent action, with many pointing to the private sector and private sector finance as a key player in delivering results.

“We need to build a global platform to mobilise innovative private capital, targeting funds other than overseas development assistance resources for the ocean. This is critical as this is a time when overseas development assistance is reducing, Pradeep Kurukulasuriya, Executive Secretary, UNCDF. “The private sector is such an integral part of the issue that we face, but they’re also an essential part of the solution.”

“We need to make sure that we act large, we act fast and we act now,” said Mr Kurukulasuriya at OAP ‘Mobilizing Finance for Ocean Action in Support of SDG14’, one of ten thematic panels that lie at the heart of the UNOC3 decision-making process.

Speakers from the floor expressed their support for a dedicated ocean facility to invest in innovative finance solutions that prioritise ocean health, economies and the lives of the millions of people who depend on them. They included: Burundi, Kenya, Maldives and Solomon Islands, as well regional block the Economic Community of West African States (ECOWAS) and co-leading partners of the One Ocean Finance Facility design process - UN Development Programme, UN Environment Programme and International Union for Conservation of Nature.

The ocean is the earth’s greatest climate regulator, without its protective role, we would have been facing more severe climate impacts from global warming. The ocean is vital to life on earth, providing much of the oxygen in the air we breathe. It also supports, literally, the global economy, enabling over 80% of global trade through shipping and the livelihoods of more than 3 billion people working in the blue economy. Yet the ocean is one of the most underfunded areas of sustainable development. Between 2015 and 2019, just 1.4% of the estimated annual US$175 billion needed for SDG14 was mobilized. At the same time, harmful subsidies exceeded $2.6 trillion annually.

At the Blue Economic Finance Forum, which directly preceded UNOC3, a collective of United Nations agencies and global partners launched a co-design process for One Ocean Finance. This call is a bold new effort to unlock billions in new financing from ocean-dependent industries and blue economy sectors by channeling underutilized capital flows through an agile, scalable, and fit-for-purpose global platform.

One Ocean Finance seeks to deliver triple-win outcomes: accelerating industry transition, restoring ocean health, and supporting resilient coastal communities. At its core, the Call for Engagement invites all sectors—governments, industry, finance, and civil society—to come together in shaping a more coherent and inclusive ocean finance architecture, one that reflects the true value of the ocean as a global asset.

“The ocean is our identity, our economy and our future,” said Hon. Bradley Tovosia, Minister for Fisheries and Marine Resources of Solomon Islands. “SDG14 remains critically underfunded and the current financial mechanisms have failed to recognize the special circumstances of us SIDS. We call for transformative action to bridge this gap to mobilise funding options and mechanisms and that the international community formally acknowledge the special circumstances and vulnerabilities of SIDS in accessing finance.”

“We call for the creation of the global One Ocean Finance Facility tailored to SIDS, ensuring direct access to grant and concessional finance for ocean conservation, sustainable fisheries and the blue economy,” added Hon Tovosia.

Of the less than $ 10 billion invested between 2015 and 2019 in SDG14— less than 2% went to Small Island Developing States (SIDS) and Least Developed Countries (LDCs). When it comes to investment finance, even less of the total global flow of capital reaches SIDS and LDCs.

“Collectively, we also have to deploy blended finance solutions – many of the places we’re talking about are considered frontier markets where investment does not flow easily. Just 4% of investment goes to developing countries,” said Executive Secretary Kurukulasuriya, “a fraction of a fraction of a fraction of that goes to investment in the ocean in those underserved markets.”

Many SIDS and LDCs depend heavily on marine resources and face significant structural barriers to ocean investment, including: debt burdens, limited eligibility for concessional finance, weak enabling environments, and insufficient data.

“​​SIDS are often referred to as large ocean states and are recognised as stewards of the world’s ocean,” said H.E. Honourable Kamina Johnson Smith, Minister of Foreign Affairs and Foreign Trade of Jamaica. “Ocean governance, health and wealth are therefore inextricably linked to the growth, development, environmental sustainability, climate resilience, social well-being and cultural identity of SIDS.”