Why should investors care about ocean health?
by Dennis Fritsch, PhD, Researcher, Responsible Investor
This blog is part of the
OECD Private Finance for Sustainable Development Conference
“The World’s Oceans Are in Trouble. And So Are Humans, Warns U.N. Report” – a blaring headline in Time Magazine just after the IPCC published their landmark report Oceans and the Cryosphere in September 2019. It highlights what scientists and NGOs have been shouting from the rooftops for years: human activity has put the global ocean in a dire state and by doing so is endangering planetary life as we know it. But how has it come this far? In addition to producing over half of the oxygen we breathe, being the largest carbon sink on the planet and a haven for biodiversity, a healthy ocean is a source of economic livelihoods for billions of people. The value of global ocean assets is estimated at over USD 24 trillion[1] making it the 7th largest economy in the world in GDP terms. Due to its integral role in the global financial and environmental ecosystems, the ocean is high on the international policy agenda[2] and its importance continues to grow. The global ‘Blue Economy’ is expected to expand at twice the rate of the mainstream economy until 2030[3], and already contributes USD 2.5 trillion a year in economic output. Continue reading “Why should investors care about ocean health?”
The world’s oceans, seas and rivers are a major source of wealth, creating trillions of dollars’ worth in goods and services as well as employing billions of people. Three out of four jobs that make up the entire global workforce are water-dependent. It is forecasted that the annual economic value of maritime-related activities will reach 2.5 trillion euros per year by 2020, while the International Energy Agency estimates that renewable energy from the ocean has a power potential sufficient to provide up to 400% of current global energy demand. Yet Africa’s blue potential remains untapped. 