Mobilizing financial resources is one of the key policy pillars for promoting sustainable “blue economies.” A number of innovative financing mechanisms and approaches have been explored around the world. One such approach is the issuance of bonds for blue economies, commonly known as “blue bonds.”
Mizuho, a leading financial group in Japan, has been advancing ESG investment and sustainability financing. For example, Mizuho supported the issuance of a blue bond in 2022 for Maruha Nichiro, a seafood supply company. Valued at ¥5 billion ($34.2 million), the bond contributes to the company’s plan to construct a land-based salmon farm in the Toyama Prefecture town of Nyuzen, located on the northern coast of central Honshu. The project employs a closed-circulation system that aims to conduct aquaculture without discharging fish excrement or fishmeal residues into the sea. It is expected to supply “blue” food through a sustainable production system.
In 2023 and 2024, Mizuho supported the issuance of blue bonds by Iwate Prefecture in northeast Japan by issuing blue bonds. The bond issued in 2023, valued at ¥5 billion, promoted various initiatives in fishing communities, including the development of sewage systems, the restoration of seagrass beds, the removal of debris in fishing zones, sanitary facilities for handling fish, maintenance of a fisheries high school training ship and construction of wave embankments. The second bond, with the same value, was issued in 2024 to continue facilitating these efforts.
Additionally, in 2023, Mizuho supported the issuance of a blue bond by the government of Indonesia — the first sovereign blue bond in Asia. Valued at ¥20.7 billion, it was followed by a second bond in 2024 worth ¥25 billion. These bonds aim to finance sustainable marine and coastal projects.
The specific impacts of these blue bonds have yet to be fully realized. However, they have successfully helped mobilize financial resources and foster collaboration between governments, businesses and investors to promote sustainable blue economies.
“Blue bonds will help governments and businesses in their efforts to promote sustainable blue economies and empower coastal communities,” said Kotaro Sueyoshi, joint general manager of the Sustainable Business Promotion Department in Mizuho Financial Group.
