Dáil debates
Wednesday, 11 June 2025
Ending the Central Bank’s Facilitation of the Sale of Israel Bonds: Motion [Private Members]
3:20 am
Paschal Donohoe (Dublin Central, Fine Gael)
I move amendment No. 1:
To delete all words after "Dail Éireann" and substitute the following: "notes that, the Government:— condemns the renewed Israeli military offensive and plans to establish full control of the Gaza Strip;deplores that as of 4th June, the UN has reported that at least 54,600 people have been killed in Gaza since October 2023, over 23,000 of whom are women and children;
— urges all parties to return to talks aimed at securing an immediate ceasefire and hostage release deal;
— recalls that Ireland repeatedly condemned the terrorist attack perpetrated by Hamas and other terrorist groups on Israel on 7th October, 2023, and has consistently called for the unconditional release of all hostages held in Gaza and reiterates calls for their immediate release; and
— condemns Israel's blockade of humanitarian and commercial supplies for Gaza, imposed on 2nd March, which has rapidly deepened the hunger crisis in Gaza;
and in this context, further notes:
— that the Government will continue to work intensively with partners to exert pressure, to allow a full resumption of aid in accordance with international law and humanitarian principles, and to enable the United Nations (UN) and humanitarian organisations to work independently and do their job;
— that the Government will progress legislation prohibiting the import of goods from Israeli settlements;
— that the Government will continue to demonstrate leadership at European Union (EU) level, including through pressing for meaningful follow-up to the review of Israel's compliance with Article 2 of the Association Agreement;
— that Ireland is among a core group of states that has tabled a draft Resolution for adoption at the Resumed 10th Emergency Special Session of the General Assembly on 12th June;
— that the Government will continue its intensive engagement at the UN, including through co-chairing, with Türkiye, one of eight working groups at the forthcoming UN High Level Conference in June; and
— Ireland filed a Declaration of Intervention at the International Court of Justice in South Africa's case against Israel under the Genocide Convention on 6th January, the Court's ruling on the admissibility of the intervention is awaited, following which it is intended to make substantive submissions;
is gravely concerned that the latest assessment by the Infection Prevention and Control global hunger monitor, that the entire population of Gaza is facing high levels of food insecurity, with half a million people facing starvation;
recalls that:— in January 2024, the International Court of Justice (ICJ) found that the Palestinian people in Gaza had 'plausible right' to be protected from acts of genocide and related prohibited acts identified in Article III of the Genocide Convention and that there was a 'real and imminent risk that irreparable prejudice will be caused' to that right, before the ICJ gives its final decision in the case;deeply regrets the UN Security Council's failure to pass a resolution to demand the immediate and unconditional lifting of all restrictions on the entry of humanitarian aid into Gaza;
— in June 2024, the UN Human Rights Council's International Commission of Inquiry on Palestine found that, in its investigation into the attack of 7th October, 2023, the Commission found that members of Hamas, other Palestinian armed groups and Palestinian civilians, had committed war crimes, as well as violations and abuses of international humanitarian law and international human rights law, it also found that, in its operations in Gaza and the Occupied Palestinian Territory since 7th October, 2023, Israeli authorities and members of the Israeli security forces had committed war crimes, crimes against humanity and violations of international humanitarian law and international human rights law, and these included, the war crime of wilful killing and mistreatment, and the crime against humanity of extermination;
— the Genocide Convention requires States to undertake 'to prevent and to punish genocide';
— in July 2024, an ICJ advisory opinion declared that Israel's continued presence in the Occupied Palestinian Territory is unlawful, and must be brought to an end as rapidly as possible;
— the same ICJ advisory opinion declared that Israel is in 'breach of Article 3' of the International Convention on the Elimination of All Forms of Racial Discrimination, which it is obliged to prevent and prohibit all practices of racial segregation and apartheid in territories under its jurisdiction; and
— arrest warrants have been requested by the International Criminal Court (ICC) Prosecutor for key Israeli officials, the Prime Minister and former Minister of Defence, in respect of alleged war crimes and crimes against humanity;
emphasise the importance of:— the review by the EU of Israel's compliance with its obligations under Article 2 of the EU-Israel Association Agreement;further states that:
— the forthcoming UN High-level International Conference for the Peaceful Settlement of the Question of Palestine and the Implementation of the Two-State Solution; and
— commits to working to deliver these;— Ireland has provided over €88 million in support of the people of Palestine since January 2023, of which more than €76 million has been provided since October 2023; andacknowledges that:
— this includes €58 million for UN Relief and Works Agency for Palestine Refugees since 2023, to support its programmes in Gaza and the West Bank, including East Jerusalem, as well as in Jordan, Syria and Lebanon; and— the Central Bank of Ireland (CBI) is independent in its function;
— the CBI does not issue, sell, trade, list or oversee Israel bonds;
— the CBI's role, under EU legislation, is to assess the bond prospectus to ensure that it includes all the disclosure requirements of the EU Prospectus Regulation, however in the act of approving a bond prospectus, the CBI does not endorse the issuer or the securities;
— in regard to the Prospectus Regulation, it is up to the third-party sovereign to choose one EU Member State to apply to for approval of its prospectus, and the National Competent Authority in the chosen Member State is then legally obliged to discharge the relevant duties within the Prospectus Regulation;
— the CBI has clearly stated that an Advisory Opinion of the ICJ, or indeed the processes of the ICC does not constitute grounds for the CBI to refuse the prospectus of the Israel Bond Programme; and
— the Government has received advice from the Attorney General that recently proposed legislation to introduce 'restrictive measures' was not compatible with our obligations as Members of the EU and in conflict with Article 215 and Article 63 Treaty on the Functioning of the EU.".
I will begin by recognising the genuine intent behind this motion and by again pointing out that there are far more issues that we agree on than we disagree on when it comes to our response to the horror of what is happening in Gaza. I am not going to make charges of naivety at anybody in the Social Democrats who is proposing this motion. Like them, I am moved by the appalling scenes we see every day on our phones and on television. However, if I refrain from making a charge of naivety against the Members and they accept my compassion and reaction to the awful scenes we see every day as being genuine, I ask that they refrain from making charges regarding complicity or collaboration in what I acknowledge to be an appalling tragedy unfolding on the people of Gaza. There have been many references to international law in the opening statements, all of which I agree with. Despite the human feelings I have and the determination of the Government of Ireland to respond to this, I have to recognise the law with regard to the European Union and the law that recognises the independent operation of the Central Bank of Ireland. I have to be cognisant of that in decisions that I make and in my reaction to the motion being proposed by our colleagues in the Social Democrats and the legislation put forward by Sinn Féin.
In opening my response to the motion this morning, I will again outline my utter condemnation for what is befalling the people of Gaza. I will make reference to what is contained within the countermotion, which is not just the words of the Government, which I accept are recognised here today, but, more importantly, the actions of the Government in responding to the appalling suffering. The amendment lays out the financial support that has been made available to the people of Palestine and our support for organisations such as UNRWA and the work of the United Nations. It also lays out very clearly the work Ireland is involved in at a diplomatic level between countries and within international organisations to call for and make efforts to ensure Israel's compliance with international law. We stress the importance of international law when it comes to the suffering of the most vulnerable. To date, Israel has ignored these calls. This has to strengthen the commitment and work of the Government to ensure that more is done within international law. The Government is working relentlessly with partners and others to effect the type of change Israel may not be able to ignore. It is vital work and our efforts are making a difference but I accept they need to deliver more. We are approaching the tragedy that is unfolding in Gaza with principled conviction but also a recognition of the realities we face. We have to build up a diplomatic coalition to achieve more and we also have to be conscious of laws that are already in place, which is why we are moving this countermotion today.
With regard to laws that are in place and the work the Government is doing, we used our diplomatic role and our voice when we filed a declaration of intervention in the case taken by South Africa against Israel at the International Court of Justice last January. Our declaration was based on careful and detailed legal analysis aimed at supporting the strictest interpretation of the Genocide Convention, and promoting the maximum level of protection possible for citizens. We have also been unequivocal in calling for the full implementation of the binding preliminary measures issued by the ICJ in South Africa's case against Israel under the convention. The reason I emphasise this to the House today is that this is the work we are doing. This is the diplomatic action we are taking. This is the use of a voice to make a difference accompanied by the other measures we have put in place, particularly our efforts with regard to a two-state solution and the work we will be doing in the forthcoming UN high-level conference on implementing the two-state solution in New York this June. We are very hopeful and will be using this meeting to make the case for what could be a very important moment for the international community.
This work is yielding results. We welcome the announcement by the Foreign Affairs Council of the European Union that the association agreement with Israel is to be reviewed. This is a crucial step that Ireland and Spain first called for in February of last year. A clear majority of member states have now sent a strong signal as to the need for Israel to change, to halt military operations and to lift the blockade on lifesaving aid. It is essential that we continue our diplomatic efforts to deliver this.
That leads us on to the detail of the motion before us today. The Central Bank is an independent and apolitical financial regulator. It is a cornerstone of our financial policy. During some discussions in this House, the role of the Central Bank in respect of Israeli bonds has been mischaracterised. I will again set the record straight to ensure the bank's role is clearly understood. The Central Bank does not issue, sell, trade, list or oversee Israeli bonds. Its role under EU legislation is to assess a prospectus to ensure it meets all requirements of the law in that area. It does not endorse the issuer or the securities by way of approval. Neither the issuer, which is the State of Israel in this case, nor the product becomes regulated or endorsed as a result of this assessment.
Specifically, the motion calls on the Government to undermine the independence of the Central Bank and does not make clear, and gives a wrong interpretation of, the role of the Central Bank in carrying out its function as required under EU law.
The motion calls on the Government to implement immediately legislation that I believe would be unworkable. As I have outlined previously in the House, the Government has been advised that previous calls to permit the Central Bank to disregard EU financial services legislation would not be consistent with EU law, would undermine our obligations as an EU member state and would be open to legal challenge. In addition, an action such as this is not consistent with the efforts we have made to build up consensus by working with other countries together. It is by continuing to build up a group of countries in the EU and globally that Ireland, an island of our size and scale, has the opportunity to make such a difference to a tragedy we are all united in condemning. The advice I have referred to was received from the Attorney General. Let me be clear that what I am called upon to do in the motion, similar to the proposal tabled recently by Sinn Féin, would be unworkable, would contravene EU law and would not achieve its intended objective.
It is important to distinguish between what I accept to be an absolutely well-intentioned and thoughtful proposal of an action which I believe we would not be able to implement in the way the Opposition calls for, and the concrete actions the Government is taking. This is why the Government will move a motion today which calls out the appalling situation the Palestinian people are facing and highlights the work we are doing, and will continue to do, to make a difference and effect real change. The recognition by others of Ireland's position as an independent State eventually led to the establishment of a peaceful nation over a century ago. We believe that our recognition of Palestinian statehood will contribute to peace and to reconciliation ultimately but obviously there is a long journey ahead. The people of Gaza deserve peace, a peace that honours their legitimate aspirations to live with respect, justice, security and dignity, free from violence and the threat of violence. These are expectations that have been grievously harmed and not delivered to date. This is why we will work tirelessly with them to help achieve peace but I respectfully contend that the motion proposed today would not play a role in making this happen.
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