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You are here: Home / cat / Thailand’s Blue Economy Boosted by World Bank Support and Coastal Protection Funding

Thailand’s Blue Economy Boosted by World Bank Support and Coastal Protection Funding

Dated: September 2, 2025

Thailand is intensifying its efforts to harness the potential of its blue economy with significant technical support from the World Bank. A key part of this initiative includes plans to issue the country’s first sovereign blue bond, which will finance sustainable, ocean-based development. Given Thailand’s 23 coastal provinces and over 3,000 kilometers of coastline, marine resources contribute nearly 30% of the country’s GDP and about 26% of employment. However, these assets are under increasing threat from coastal erosion, pollution, overexploitation, and chronic underinvestment. Over the past 30 years, around 30% of Thailand’s coastlines have eroded, leading to economic losses estimated at US$1.3 billion.

A new World Bank report titled Innovative Blue Financing Solutions in Thailand highlights that blue bonds are a promising financing instrument for the country. This is supported by both rising investor interest and strong policy momentum. In 2023, Thailand’s Environmental, Social, and Governance (ESG) bond market reached THB 659 billion (US$20.3 billion), marking a 35% increase from the previous year. This growth underscores the country’s readiness to embrace innovative financial tools for sustainable development.

As Thailand prepares to host the World Bank Group–IMF Annual Meetings in 2026, it is positioned to showcase its leadership in ocean economy innovation. Melinda Good, World Bank Division Director for Thailand and Myanmar, emphasized the country’s potential to create long-term benefits for both people and the planet. She noted that this transition could support job creation, livelihood diversification, and the conservation of marine ecosystems for future generations.

To support this vision, the World Bank is working closely with the Public Debt Management Office (PDMO) and the Ministry of Natural Resources and Environment to develop a National Marine Spatial Planning (MSP) Framework. This initiative, supported through the World Bank’s PROBLUE trust fund, aims to provide a clear, participatory roadmap for managing marine and coastal resources. It will assess current conditions, resolve resource use conflicts, and guide public and private investments that align economic growth with environmental sustainability.

Beyond planning, the World Bank is also engaged in discussions with Thai authorities on other innovative investment solutions. These include nature-based approaches to address coastal erosion and restore mangroves, investments in sustainable tourism, and the development of robust ocean accounts. Strengthening these data-driven systems will help improve marine spatial planning and optimize investments in the blue economy.

Additionally, the World Bank is supporting Thailand’s Low Carbon Cities (LCC) Program, which assists urban areas in cutting emissions and building green infrastructure. Within this framework, mangrove restoration projects are being structured to generate blue carbon credits. This not only reduces dependency on public funding but also attracts private investment to enhance coastal protection measures.

Together, these initiatives demonstrate Thailand’s growing commitment to sustainable, ocean-based development. They reflect a broader vision to align long-term environmental protection with economic growth, positioning the country as a regional leader in innovative blue economy practices.

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