Monaco hosted the Blue Economy and Finance Forum on June 7, 2025, focusing on the significant relationship between ocean health and global economic stability.

In her address, Christine Lagarde, President of the European Central Bank, emphasized the necessity of safeguarding oceans, which play a crucial role in regulating climate and supporting economies worldwide.

The ocean encompasses 95% of the planet’s biosphere and is integral to global climate regulation.

It absorbs vast quantities of heat and acts as the largest carbon sink, sequestering about one-third of carbon dioxide emissions produced since the Industrial Revolution.

The Intergovernmental Panel on Climate Change reports that the ocean has absorbed over 90% of the excess heat within the Earth’s systems, highlighting its importance in moderating climate change effects.

The ocean is also vital for food security and economic opportunities, with marine ecosystems supporting approximately three billion people who depend on fish for at least 20% of their protein intake.

Such reliance is particularly critical in developing countries, where seafood constitutes the primary source of animal protein.

The United Nations indicates that more than 150 million jobs worldwide are directly linked to ocean-based goods and services.

However, the sustainability of ocean health faces unprecedented stress due to climate change, which jeopardizes both environmental stability and economic wellbeing.

According to recent data, the past decade has been the warmest for the ocean, leading to an increase in marine heatwaves and an acceleration in sea level rise, now more than twice that of the last thirty years.

The rising temperatures also contribute to ocean acidification, adversely affecting coral reefs critical to marine biodiversity and coastal protection.

As of 2023, over 80% of coral reefs globally have experienced bleaching events, which jeopardizes fisheries and coastal ecosystems.

These environmental shifts not only threaten marine life but pose significant risks to food security and economic stability, potentially leading to price volatility and human displacement in vulnerable coastal communities.

Approximately 600 million people reside in areas less than ten meters above sea level, putting them at high risk from rising sea levels and frequent flooding.

To combat these issues, proactive measures are necessary.

This includes ambitious greenhouse gas emissions reductions to align with the Paris Agreement goals, with the potential to limit sea level rise significantly by the end of the century.

Furthermore, investing in nature-based solutions such as restoring mangroves and coral reefs is vital for enhancing resilience against extreme weather events.

Adaptation strategies must also be developed for infrastructure and economic systems to manage the increasing climate risks.

The financial implications of climate inaction are substantial, with predictions suggesting global flood costs could reach USD 14 trillion annually by the year 2100 if temperatures exceed two degrees Celsius above pre-industrial levels.

To address these challenges, the forum highlighted the need to enhance financial mechanisms supporting ocean and coastal conservation, particularly in vulnerable nations.

Recognizing and responding to the needs of affected communities is essential in fostering effective and equitable solutions to protect ocean health and the economies reliant on it.