Minister McGrath notes NTMA confirmation of divestment from certain investments in the Occupied Palestinian Territory

Minister McGrath notes NTMA confirmation of divestment from investments in certain companies that have certain activities in the Occupied Palestinian Territory

The Minister for Finance Michael McGrath TD has today (05 April 2024) noted confirmation from the National Treasury Management Agency (NTMA) of divestment by the Ireland Strategic Investment Fund (ISIF) from its global equity portfolio of certain companies who have certain activites in the Occupied Palestinian Territory.

Minister McGrath stated:

“I have been advised by the NTMA that it has decided to divest from certain ISIF global portfolio investments in companies that have certain activities in the Occupied Palestinian Territory.

The divestment decision relates to shareholdings with a total value of €2.95m in the following six companies: Bank Hapoalim BM; Bank Leumi-le Israel BM; Israel Discount Bank; Mizrahi Tefahot Bank Ltd; First International Bank and Rami Levi CN Stores.

ISIF has determined that the risk profile of these investments is no longer within its investment parameters and that the commercial objectives of these investments can be achieved via other investments.

The decision will be implemented as soon as possible over the coming weeks.

I am advised ISIF will keep under review the alignment of relevant investments within its investment parameters and commercial objectives.

While recognising the independence of ISIF in the management of the investment portfolio, I believe this is the correct investment decision in respect of the assets it manages on behalf of the State.”

Note to editors

The National Treasury Management Agency (NTMA) controls and manages the Ireland Strategic Investment Fund (ISIF) on behalf of the State.

The ISIF is comprised of the Discretionary Portfolio and the Directed Portfolio.

The Discretionary Portfolio has a “double bottom line” mandate to invest on a commercial basis in a manner designed to support economic activity and employment in Ireland. ISIF prioritises the use of its capital and resources to address strategic challenges.

The main objective of the global investments within the Discretionary Portfolio is to provide liquidity for Irish Portfolio investments as well as other directed or expected withdrawals (including in respect of HBFI and the LDA) and to earn an appropriate risk adjusted return that will assist ISIF’s performance with a low-risk appetite.

As per the last published NTMA Annual report the total value of ISIF’s portfolio at the end of 2022 was €15bn of which €5.2bn was invested in the Global Portfolio.