Dáil Éireann Debate, Tuesday - 26 May 2026
145. Deputy Cian O'Callaghan asked the Tánaiste and Minister for Finance if he will ensure the Irish Strategic Investment Fund, ISIF, is fully divested from all companies that are directly and indirectly involved in illegally occupied Palestinian territories, OPT; and if he will make a statement on the matter. [39699/26]
View answerThe ISIF remains invested in companies that are profiting from illegally held Palestinian territories. More than €6 million of public money remained invested in six companies identified on the UN database at the end of 2024. Irish people do not want this. Will the Tánaiste ensure that the ISIF, which is public money, is divested fully from companies operating in illegally occupied Palestinian territories?
I restate the Government's clear opposition to illegal Israeli settlements, which are contrary to international law and damaging to the pursuit of peace in the Middle East.
Ireland has demonstrated its support of the Palestinian people and taken practical steps at national, EU and international levels. On 13 January, the Minister for Foreign Affairs and Trade, Deputy McEntee, announced that Ireland will provide €42 million in assistance to the people of Palestine in 2026, including €20 million in core funding to support the work of the United Nations Relief Works Agency, UNRWA, in providing vital services to refugees in Gaza and the West Bank. Ireland has provided more than €122 million in support to the people of Palestine since January 2023. This includes €68 million to UNRWA, of which €10 million was provided this January.
The Deputy is referring to the UN Human Rights Council database, known as the UN database, which identifies businesses involved in specific activities. It was first issued in 2020, updated in June 2023 and most recently updated to include 158 companies in September 2025 as mandated by the UN Human Rights Council. It is important to state that the ISIF has complete independence in implementing its investment strategy under the law of the land, the NTMA Acts, through an investment committee that reports to the NTMA's board.
I met the NTMA earlier this year and was assured that the ISIF will continue to monitor its holdings to ensure that investments remain aligned with its risk profile and investment parameters. Legislation underpinning the ISIF reflects a commitment to be a responsible investor, as a steward of public assets, by protecting and enhancing the long-term value of the ISIF and the reputation of the NTMA in how it delivers its mandate. The ISIF has taken an investment decision to divest from six companies, all of which remain in the UN database, with a total value at the time of the divestment decision of approximately €2.95 million. The six companies - I think I have read the names to the Deputy previously - were a variety of banks and a chain store. It is important to state that the type of companies on the UN database in which the ISIF still has holdings are ones that operate all over the world and that the ISIF's investment in them represents a very small proportion of its overall investments. This is part of the challenge. Unfortunately, divestment from these companies does not mean that they would stop deriving income from activities in the occupied Palestinian territories, OPT. The NTMA also divested from directly held sovereign bond holdings within the global portfolio across Egypt, Israel, and Jordan in July 2025.
I thank the Tánaiste. I acknowledge the huge importance of the Irish support of UNRWA, the funding that is in place and the real difference it makes. I also acknowledge the Government's complete opposition to illegal occupation of Palestinian territories. However, when we are talking about the ISIF - and it has complete independence - this is public money the Government hands over the NTMA to manage on its behalf. It is fine to say the NTMA monitors this and that it is meant to be a responsible investor and is meant to worry about its reputation and so forth, but this is public money. I do not think there is any support in this House or in this country for public funds to be invested in companies profiting and operating illegally, against international law, in the occupied Palestinian territories. This requires action from the Minister as the shareholder, on behalf of the public, to ensure our money is not used in this way.
I fully accept the Deputy's sincerity on the issue and share much of his sentiment. I pointed out the NTMA Acts and the Deputy acknowledged that. I also acknowledge that the ISIF has taken the investment decision to divest from six companies, all of which remain on the updated UN database, with a value of more than €2.95 million at the time of divestment.
While these are decisions for the ISIF to make, some of the companies that operate are large global companies and they may have a very small presence in the occupied Palestinian territories. It is not perhaps obvious, or possible to work out, the level of benefit individual companies gain from being active in the OPT. It is a somewhat pedantic point, but it is somewhat important. There is no external indication of the level of revenue that arises from these activities and no indication it is significant in their overall worldwide activities. Therefore, it is difficult to know whether these companies have economically significant activities in the OPT.
However, I take the broader point the Deputy made and I stress the views of this House to the NTMA on a frequent basis.
The Tánaiste expresses the views of the House to the NTMA on a frequent basis. That is welcome but, at the same time, he is equivocating a bit. He is asking how much they profit, how much they are involved and saying that is not clear, so he is kind of sending a signal, that perhaps, as the person responsible - the Minister for Finance, the shareholder - for funds, the Government is against it, but maybe it is okay. He is equivocating so I ask him not to do that. I want him to be really clear - and I think these are the views across the House and country - that we do not want a single cent of our public money to be used in this way. Will he be clear about that and clear with the NTMA? That is the kind of support that is needed on this, not equivocations saying that maybe it is okay in some circumstances. Will he be clear that we do not want a single cent to be used?
I am not trying to equivocate, though I take the criticism. However, I have a particular legal role as Minister for Finance and I am not in a position to direct the NTMA or the ISIF about this. That is why I am perhaps somewhat precluded, more than other Deputies, from expressing my personal view because the law of the land is clear that these investment decisions must be independent of the views of the Minister for Finance of the day.
The NTMA operates a commitment to be a responsible investor as a steward of public assets, by protecting and enhancing the long-term value of the ISIF and the reputation of the NTMA and how it delivers its mandate as manager and controller of the ISIF. In this context, the ISIF operates an exclusion policy that is consistent with its statutory mandate, as amended from time to time. Exclusion is used on a limited basis. It reflects exclusions mandated by legislation. The investment strategies for the Future Ireland Fund, FIF, and the Infrastructure Climate and Nature Fund, which are also to be extended to the ISIF, include certain companies listed on the UN database of business enterprises involved in specified activities in the occupied Palestinian territories. Certain Israel-based companies that are on the UN database and derive a significant element of turnover from Israel and the OPT will be excluded from investment by the ISIF, FIF and the Infrastructure Climate and Nature Fund.
