KEY POINTS Developing a Medium-Term Blueprintto Advance Sustainable BlueEconomy for Pacific Atoll Nations •Atoll nations must base theireconomic developmentgoals and strategies on theblue economy. Therefore,advancing the SustainableBlue Economy (SBE) canlargely be achieved throughexisting regional pathwaysand national achievementsalready underway, whileexpanding capacity andfinance and, where possible,garnering broad political willacross all stakeholders. Yuebin ZhangPrincipal Regional CooperationSpecialistAsian Development Bank Jonathan McCueMaritime Strategy and RegionalCooperation SpecialistCowater International New ZealandLtd. in consortium with MarTinaCorporation and Riyan Private Ltd.* •Evidence-based policies anddecision-making supportedby marine spatial planningare key to understandinga successful, value-addingSBE pathway in atoll nations,including climate riskmanagement. SUSTAINABLE BLUE ECONOMY IN ATOLL NATIONS The Sustainable Blue Economy (SBE) is an approach to generating wealth from theoceans and coastal environments while ensuring their long-term ability to regenerateand maintain economic activities through sustainable practices.1SBE seeks to restore,protect, and maintain the core functions and value of marine ecosystems—the naturalcapital upon which its prosperity depends—while contributing to food security andnutrition, poverty eradication, livelihoods, income, employment, health, safety, equity,and political stability. It is based on clean technologies, renewable energy, and circularmaterial flows to secure economic and social stability. •To maximize the impact ofSBE investment strategiesin atoll nations, projectconcepts must (i) establishperformance targets thatalign with national adaptationplans; (ii) demonstrateconsistent engagementamong subnational,national, and internationalinstitutions to narrow gaps;(iii) support transformativetechnologies tailored to thecountry’s context, and shareknowledge and successes;and (iv) promote micro,small, and medium-sizedenterprises, prioritizinggender empowerment andsocial inclusion. The Pacific atoll nations of Kiribati, the Marshall Islands, and Tuvalu are often framedin terms of climate change challenges and economic vulnerabilities. However, in thecontext of SBE, their strengths as archipelagic ocean states can be more preciselyarticulated, including the types and levels of investment required—and the specific atollisland types—to achieve resilience and sustainability. Their land masses are geologicallyfounded on 67 atolls and 9 raised coral islands, surrounded by vast coral reef systems Note: In this publication, “$” refers to US dollars. *Other members of the Cowater International New Zealand Ltd., in consortium with MarTinaCorporation and Riyan Private Ltd., include Mark Stege, regional capacity development specialist;Jeremy Hills, marine spatial planning and ocean finance specialist; Simon Diffey, fisheries andaquaculture specialist; Fern Lehman, the Marshall Islands national coordinator; Siale Suamalie, Tuvalunational coordinator; Tebwata Waibenua, Kiribati national coordinator; and Aneesa Yoosuf, Maldivesnational coordinator. 1The United Nations Environment Programme defines SBE as “the sustainable use of ocean andcoastal resources which generates equitably and inclusively distributed benefits for people, protectsand restores healthy ocean ecosystems, and contributes to the delivery of global ambitions fora sustainable future.” ISBN 978-92-9277-454-7 (print)ISBN 978-92-9277-455-4 (PDF)ISSN 2071-7202 (print)ISSN 2218-2675 (PDF)Publication Stock No. BRF250392-2DOI: http://dx.doi.org/10.22617/BRF250392-2 ADB BRIEFS NO. 355 and even larger ocean areas spanning 6.5 million square kilometersin the Central Pacific. Therefore, developing an SBE blueprint iscritical for atoll nations in ensuring their long-term habitability andsustainability. In the medium term, a coherent investment approach among thethree Pacific atoll nations can contribute to advancing regionalcooperation and integration (RCI), one of the five strategic focusareas identified in the Asian Development Bank’s (ADB)Strategy2030 Midterm Review.2The objective is to promote innovationin RCI by (i) supporting sector and/or subsector diversificationin RCI operations, (ii) fostering the systematic development ofnonsovereign RCI projects, (iii) exploring opportunities for inter-subregional cooperation, and (iv) supporting developing membercountries (DMCs) that have lagged in RCI. However, small island developing states, particularly atoll nations,continue to lag in RCI. The following policy recommendations areoffered to rectify this. POLICY RECOMMENDATIONSFOR SUSTAINABLE BLUE ECONOMYIN ATOLL NATIONS Development within the archipelagic context of small islanddeveloping states. Five principles can help guide progress towarddelivering SBE for atoll nations (Figure 2). Leverage Regional Policy PathwaysThe Pacific regional approach to SBE is guided by theFramework Pacific atol