Central Bank of Ireland renews agreement to facilitate sale of Israeli 'war bonds'
The Central Bank of Ireland has renewed an agreement to facilitate the sale of Israeli sovereign bonds – which since October 2023 have been marketed as a means to support Israel’s campaign in Gaza.
"Israel is at war," reads a banner on the Israeli state site where the bounds can be bought, which invites buyers to endorse the statement, “We stand with Israel.” Proceeds are loaned to the Israeli treasury and distributed across the Israeli economy – including illegal settlements and its military.
Under a 2017 EU Regulation, the Central Bank can only refuse to approve a prospectus if it doesn’t meet the “standards of completeness, comprehensibility and consistency”.
The Boycott, Divestment, Sanctions movement and Jewish Voices for Peace have called on the public not to buy Israeli bonds.
‘Israel is at war... Make a statement, Invest in Israel Bonds’
The Development Corporation for Israel, the entity that underwrites what are popularly known as Israel Bonds, released a document on Monday outlining its bond programme.
The corporation in a separate document detailed the agreements with Ireland, France and Germany to facilitate the distribution of these bonds. In Ireland’s case the agreement was made this week.
"The Information Memorandum has been approved by the Central Bank of Ireland on September 2, 2024," reads the document, which also outlined information about both fixed-rate and floating-rate bonds offered by Israel.
Prospective buyers are told on the website selling the bonds that “Israel is at war” and are asked to “make a statement, invest in Israel Bonds.”
In a video posted on the same website Israeli president Isaac Herzog calls for “unwavering support for the Jewish state” and outlines “the crucial role of Israel Bonds during this time of conflict and war.”
Israeli bonds have raised more than $52 billion since 1951, including about $8 billion since October last year. They are currently available for sale in five European Economic Area countries: Austria, France, Germany, the Netherlands and Ireland.
According to the Financial Times, Israel secured substantial funding through private bonds as it began its campaign in Gaza. The country continues to market bonds as a way of supporting its war on Palestinians, which has killed more than 40,000 people, mostly civilians.
Barclays Bank had intended to withdraw from an Israeli government bond auction following pressure from pro-Palestinian activists but decided against doing so, as reported by the FT. Britain’s largest private pension recently disposed of £80 million in Israeli assets, including sovereign bonds, reportedly under pressure from investors.
The Central Bank of Ireland has been contacted for comment.