Corals, like all animals, must eat to live. The problem is that most corals grow in tropical waters that are poor in nutrients, sort of like ocean deserts; it’s this lack of nutrients that makes the water around coral reefs so crystal clear. Because food is not readily available, corals have developed a remarkable feeding mechanism that involves a symbiotic relationship with single-celled algae. These algae grow inside the corals, using the coral tissue as shelter and absorbing the CO2 that the corals produce. In exchange, the algae provide corals with nutrients they produce through photosynthesis. These algae contain a variety of pigments, which give the coral reefs the colors they’re known for.
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Source: Phys.org