Bermuda is ideally positioned to issue a blue bond which could be used to fund its plans to develop the oceans around the Island in a sustainable way.

That’s the view of Suzanne Johnson, senior advisor on oceans to the United Nations Global Compact.

Interviewed at the Bermuda Climate Summit, Johnson says Bermuda could be an example other small island and coastal economies.

“Bermuda is poised to write a blue bond framework and potentially to issue a blue bond because it already has in draft an ocean plan,” she says. “That helps to lay the basis for creating a blue bond framework, so that’s very helpful.

“Bermuda is small if you look at a world map, but if you look at its sovereign ocean territory, it’s very large,” Johnson says, adding that it is part of a 14-country consortium that, put together, has sovereignty over 25 percent of the world’s oceans.

“Using a blue bond helps to assure investors that there’s integrity in the blue ambition.”

“Within that space, there’s an enormous blue economy that you can grow, and blue bonds can help to fuel the growth of those blue economies.”

She adds: “Using a blue bond helps to assure investors that there’s integrity in the blue ambition because a country then needs to stick to those targets outlined in its blue bond framework.”

Bermuda’s strong financial position means it can issue a bond with an affordable interest rate. “By successfully issuing a blue bond, Bermuda can help to set the tone and lead island nations,” she adds.