Thailand Advances Blue Economy with Plans for First Sovereign Blue Bond

Thailand is moving decisively to unlock the potential of its blue economy, with support from the World Bank, including preparations for the country’s first sovereign blue bond to finance sustainable, ocean-based development.

Oceans at the Heart of Thailand’s Economy

Thailand’s 23 coastal provinces and 3,000 kilometers of coastline are central to the nation’s prosperity. Marine and coastal resources contribute nearly 30% of GDP and support about 26% of jobs, according to the World Bank’s latest report Innovative Blue Financing Solutions in Thailand.

However, the country faces growing threats. Over the past three decades, 30% of coastlines have eroded, causing an estimated US$1.3 billion in losses. Pollution, overuse of marine resources, and chronic underinvestment add to the challenges.

Blue Bonds: A Promising Financing Path

The World Bank’s readiness assessment highlights blue bonds as a viable and innovative tool for Thailand. With investor appetite growing, blue financing could help mobilize capital at scale for marine protection and sustainable growth.

Thailand already has momentum in sustainable finance. The country’s outstanding Environmental, Social, and Governance (ESG) bonds reached THB 659 billion (US$20.3 billion) in 2023, marking a 35% increase from the previous year.

“As Thailand prepares to host the World Bank Group–IMF Annual Meetings in October 2026, it has the opportunity to showcase its leadership in blue economy innovation,” said Melinda Good, World Bank Division Director for Thailand and Myanmar. “We are proud to support Thailand’s vision that creates jobs and livelihoods while protecting marine ecosystems for future generations.”

Marine Spatial Planning Framework

Through PROBLUE, a multi-donor trust fund supporting sustainable ocean development, the World Bank is working with Thailand’s Public Debt Management Office (PDMO) and the Ministry of Natural Resources and Environment to establish a National Marine Spatial Planning (MSP) Framework.

The MSP framework will:

• Assess the condition of marine and coastal ecosystems.

• Resolve competing demands for ocean resources.

• Design participatory policies for inclusive governance.

• Evaluate the economic impacts of integrated coastal management.

The framework will serve as a blueprint for guiding public and private investments, balancing economic growth with long-term sustainability.

Innovative Nature-Based Solutions

The World Bank and Thailand are also exploring additional investment avenues for the blue economy, including:

• Mangrove restoration to strengthen coastal protection and generate blue carbon credits.

• Nature-based solutions to address coastal erosion.

• Sustainable tourism development that benefits local communities while safeguarding biodiversity.

• Expanding ocean accounts for data-driven decision-making in marine spatial planning.

These initiatives complement Thailand’s Low Carbon Cities (LCC) Program, which helps urban areas reduce emissions and build green infrastructure.

A Global Model for Blue Financing

Thailand’s commitment to advancing its blue economy aligns with its climate and sustainability goals, while positioning the country as a model for innovative financing in the Asia-Pacific region. If successful, its forthcoming sovereign blue bond could set a precedent for other coastal economies seeking to harness ocean resources responsibly while meeting investor demand for sustainable assets.

By scaling up investments in marine conservation and sustainable industries, Thailand aims not only to safeguard ecosystems but also to secure livelihoods, reduce poverty, and create long-term resilience against climate and environmental risks.