Sustainable finance

Ireland is committed to the green transition. We were one of the first countries in the world to withdraw public money from investment in fossil fuels.

The State is an active investor in the climate transition with the National Treasury Management Agency launching a €1 billion five-year climate action investment programme through the Ireland Strategic Investment Fund (ISIF). In 2024, ISIF announced commitments to a range of climate investments exceeding 75% of its overall climate target, indicating that it is on track to achieve its €1 billion climate investment goal nearly two years ahead of schedule.

Dublin as a hub for sustainable finance

The United Nations Financial Centres for Sustainability (FC4S) is a global initiative comprising of 45 financial centres worldwide, including Dublin.

Ireland's standing as a leading centre for sustainable finance is underlined by our participation in the FC4S network by facilitating knowledge exchange and promoting international collaboration on best practices, elevating Ireland's international profile as a champion of sustainable finance and ultimately contributing to the global transition towards a more sustainable and inclusive economic model.

The International Sustainable Finance Centre of Excellence (ISFCOE) is headquartered in Dublin, Ireland. ISFCOE facilitates the development of technical knowledge, research, skills and product development in sustainable finance across the full spectrum of international financial services sectors, and coordinates the delivery of Ireland's industry-led Sustainable Finance Roadmap 2022-2025.

Building on Ireland’s position as a leading hub for the global funds industry, there is a significant opportunity to further establish and promote Ireland as an Environmental, Social, and Governance (ESG) leader for product structuring and development. A focus on the further development of the sustainable finance sector features in Ireland’s 2025 Programme for Government.

Talent is recognised as a key aspect of this, with specific sustainable finance talent training programmes offered by IFS Skillnet, a national network of partner associations and companies operating in the international financial services industry in Ireland. This includes the Institute of Bankers ‘Professional Diploma in Sustainable Finance for Governance, Risk and Compliance Professionals’- the first programme of its kind globally.

Supporting the transition to a carbon-neutral economy

Additionally, addressing climate risks and supporting the transition to a carbon-neutral economy is a key part of the Central Bank of Ireland’s (Central Bank) Strategy. A hub-and-spoke model was set up at end-2021 to further embed climate risk and sustainable finance considerations into the day-to-day activities of the Central Bank.

The work of the hub-and-spoke model incorporates four work streams:

1. macro-financial linkages,
2. safety and soundness of regulated firms,
3. sustainable finance (including investor and consumer protection), and,
4. data as an enabler, to lead on climate across the Central Bank’s financial stability and financial regulation directorates.