Indonesian coral reefs to get U.N.-backed weather insurance

Quick payouts for floods, heat stress, typhoons also under consideration

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A conservationist and volunteers clean a coral nursery by removing algae in the sea off Nusa Dua in Bali. Efforts to protect coral reefs tend to be community-led and self-funded.  © Reuters

RHYANNON BARTLETT-IMADEGAWA, Nikkei staff writer

DUBAI -- The Gili islands near Bali and off Lombok are hotspots for divers and it is easy to see why -- the seas are crystal-clear and the wildlife abundant. But the coral reefs these divers come to see face manifold threats. Not only does rising sea temperatures threaten to kill them off, but natural disasters could also annihilate essential ecosystems.

The devastating 6.9 earthquake that struck Lombok in early August 2018 was one such example. Until now, efforts to repair and protect the reefs, which provide food and shelter for sea creatures and serve as a line of defense against coastal erosion, have been community-led, self-funded projects.

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