Marine ecosystems are central to Seychelles’ culture, food security, and economic resilience, making their protection not just an environmental imperative but a strategic investment in the nation’s long-term prosperity.

In order to promote sustainable finance, the Central Bank of Seychelles (CBS) is integrating climate risk into regulatory frameworks, and encouraging the development of innovative ‘blue finance’ mechanisms.

“We are integrating climate-related financial risk in our regulatory and supervisory framework, which includes stress testing for risk, as well as encouraging financial institutions to assess their risk exposure,” says CBS First Deputy Governor, Brian Commettant.

“We’re also supporting the development of instruments which finance projects that contribute towards climate resilient and inclusive growth. In Seychelles, blue bonds have already financed sustainable fisheries projects, supporting artisanal fishers and small scale operators in adopting environmentally responsible practices. For individuals and communities, this translates to more stable income, greater food security, and improved quality of life.”

“Green and blue credit facilities can ensure that smallholder farmers and fishers, but also households and MSMEs in general, can access credit facilities which focus on mitigation and adaptation of climate change,” says Cyril Benoiton, CBS Senior Financial Surveillance Analyst. “We are cognizant of the need to continuously ensure that financial inclusion is embedded within these policies, to ensure that no one is left behind as we become a more sustainable economy.”

Since 2022, the country’s Blue Investment Fund, operated by the Development Bank of Seychelles (DBS), has been promoting sustainable fisheries, aquaculture, and environmentally friendly maritime transport by supporting entrepreneurs through loans from US$10,000 to US$3 million.

“By providing access to finance to MSMEs at attractive terms and conditions, we can help to de-risk businesses at the start of their projects,” says Rana Fernandes, Head of Credit Control at DBS. “Funds are being used for capacity building, access to markets and adoption of technology, and are empowering local entrepreneurs to innovate and grow their business sustainably.”