The Blue Catalyst Fund, a new accelerator for blue carbon projects, has selected its first cohort: two mangrove restoration initiatives in The Gambia and Guinea covering roughly 51,000 hectares. The fund provides milestone-linked funding and technical support, with repayment only due after projects secure follow-on investment. Mangrove ecosystems can store up to ten times more carbon than mature tropical forests, yet blue carbon credits represent just 0.35% of voluntary carbon market activity. The fund aims to restore or protect 150,000 hectares, avoid or remove 32 million tonnes of CO2 equivalent, and unlock $275 million in private investment by 2035. Managed by Fair Carbon and Finance Earth, the fund is structured as a revolving fund with returns reinvested into future cohorts. The first cohort includes the North Bank Ecosystem Restoration Trust in The Gambia (16,950 hectares) and a 34,000-hectare project in Guinea developed by West Africa Blue. Technical service providers TerraCarbon, Silvestrum, and Nika will support the projects. The fund addresses a key barrier: most blue carbon projects stall early due to fragmented expertise, high costs, and funding that doesn't fit coastal restoration's risk profile.
