Catherine Connolly (Galway West, Independent)
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35. To ask the Minister for Finance the investigation or analysis that has been carried out by his Department to ascertain whether any part of the Ireland Strategic Investment Fund is being invested in companies linked to grave human rights abuses against the Uighur population of Xinjiang, China; his plans to ensure that in future no monies of the Ireland Strategic Investment Fund will be invested in these companies; and if he will make a statement on the matter. [12212/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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The NTMA has informed me that, as part of its ongoing monitoring, ISIF uses the services of EOS at Federated Hermes who are a stewardship service provider to engage on its behalf directly with portfolio companies on a wide range of Environmental, Social and Governance (ESG) matters, including human rights issues.

ISIF, through EOS, is also connected to the Investor Alliance on Human Rights (IAHR) which is a collective action platform for responsible investment. Both directly and through the IAHR, EOS is currently engaging with a range of companies which operate in or have commercial links to the Xingjiang province and requesting that they provide details on due diligence carried out by those companies. This will assist in determining whether there is an adverse impact related to forced labour in or from the Xinjiang Uyghur Autonomous Region in their value chains and any related actions.

ISIF have indicated to me that it will continue to monitor this matter closely.

Catherine Connolly (Galway West, Independent)
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36. To ask the Minister for Finance the details of the State’s investments under the Ireland Strategic Investment Fund in the arms industry; and if he will make a statement on the matter. [12213/21]

Catherine Connolly (Galway West, Independent)
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37. To ask the Minister for Finance the details of the State’s investments under the Ireland Strategic Investment Fund in the tobacco industry; and if he will make a statement on the matter. [12214/21]

Catherine Connolly (Galway West, Independent)
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38. To ask the Minister for Finance the number of companies that are excluded from the NTMA’s list of possible investments; the names of these firms; and if he will make a statement on the matter. [12215/21]

Paschal Donohoe (Dublin Central, Fine Gael)
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I propose to take Questions Nos. 36, 37 and 38 together.

The Ireland Strategic Investment Fund (ISIF), which is managed and controlled by the National Treasury Management Agency (NTMA), has a statutory mandate to invest on a commercial basis and in a manner designed to support economic activity and employment in Ireland. To the extent it is not reasonably practicable to hold or invest assets on this basis, assets are to be held or invested on a commercial basis with a view to seeking appropriate rates of return having regard to the risk and duration.

In 2020, ISIF adopted a Sustainability & Responsible Investment Strategy (S&RIS) which reflects a commitment to be a responsible investor as steward of public assets by protecting and enhancing both the long-term value of the ISIF and the reputation of NTMA in how it delivers its mandate, as manager and controller of the ISIF. In this context ISIF operates an exclusion policy which is consistent with its statutory mandate. Exclusion is used on a limited basis, reflecting exclusions mandated by legislation (such as the Fossil Fuel Divestment Act 2018 or the Cluster Munitions and Anti-Personnel Mines Act 2008) and, inter alia, on sustainable investment grounds.

The current total number of companies excluded from ISIF’s investment portfolio is 278, whose names are listed below. This list includes companies involved with cluster munitions and anti-personnel mines, tobacco or fossil fuel exploration, extraction and/or refinement, as explained on ISIF’s website. It has recently been decided that the ISIF’s exclusion policy be extended to include direct investment in companies that have been verified to be involved in the manufacture and testing of nuclear weapons or critical component parts. This divestment process is currently underway.

ISIF's fossil fuel exclusion list is detailed below:

This list includes companies excluded in line with the Fossil Fuel Divestment Act, 2018 and also ISIF’s High Carbon exclusion decision as part of its Sustainability and Responsible Investment Strategy (Dec 2017).

Below is ISIF's prohibited security exclusion list:

The following list details ISIF's exclusion list for tobacco manufacturers: