Study on the risks for banks and other investors of financing developments in Low Elevation Coastal Zones

The consultancy supported the development of the study “Protecting Coastal Zones in the Mediterranean: An Economic and Regulatory Analysis”, aimed at raising awareness of the risks associated with coastal zone degradation and climate change impacts in low elevation coastal zones (LECZ) across the Mediterranean region. The study contributed to the objectives of the Mediterranean Action Plan (MedProgramme) and the implementation of the Mediterranean Integrated Coastal Zone Management (ICZM) Protocol.

The work included an extensive review of literature and regulatory frameworks related to coastal zone management, climate change adaptation and investment risks in coastal areas. Particular attention was given to the implications of sea-level rise, coastal erosion and extreme weather events for development projects and investments in vulnerable coastal zones.

The consultancy assessed the risks faced by banks and other investors when financing projects in LECZs and developed targeted policy reports for financial institutions and private real estate investors. The project also supported knowledge dissemination activities, including the presentation of findings and recommendations through stakeholder engagement and training workshops, with the aim of promoting the integration of ICZM principles into investment and development decisions.