Why Islamic Finance Should Not Hesitate in the Blue Economy

The blue economy could reach USD 3 trillion by 2030, yet it remains one of the least financed areas of sustainable development. Despite providing half of Earth’s oxygen, regulating the climate, and feeding billions, SDG 14 (Life Below Water) still receives less than 1 percent of global SDG finance. The oceans are critical to life and livelihoods, but capital mobilisation for their protection and regeneration remains far below what is required.

As global finance struggles to mobilise sufficient capital for ocean-based sustainability, Islamic finance possesses the ethical and structural tools to bridge this gap—if it can overcome its own institutional hesitation.

Recent studies show that this hesitation stems less from faith-based restrictions and more from practical and structural gaps. The main barriers include fragmented regulations, limited technical expertise, weak coordination among stakeholders, and a shortage of dedicated Shariah-compliant investment products designed for marine and coastal projects. Without a unified framework, investors, policymakers, and financiers find it difficult to connect Islamic principles with ocean-based opportunities, resulting in missed potential.

Yet Islamic finance is built on precisely the strengths the blue economy needs. Its governance and ethical oversight create trust where regulatory institutions remain weak. Its emphasis on real, asset-backed investment allows marine resources, fisheries, and coastal infrastructure to become verifiable and bankable projects. Its partnership models, such as Musharakah and Mudarabah, and its social-finance instruments, such as Waqf investment, can align public, private, and philanthropic capital toward shared objectives. Its risk-sharing ethos replaces speculation with cooperation, providing resilience in high-risk environments such as marine conservation, aquaculture, and ocean-energy ventures.

The challenge is not incompatibility but integration. Islamic finance already has the foundations to serve as a natural ally of the blue economy—it only lacks a coherent implementation strategy. This requires coordination among regulators, Islamic financial institutions, and sustainability-focused agencies to design transparent, replicable models that link profit with preservation.

With stronger coordination and product innovation, Islamic finance can lead the next wave of sustainable ocean investment, turning stewardship into tangible, investible impact. This alignment between ethics, impact, and real assets is precisely where AmanX believes the future of responsible finance lies.