What are Israeli Bonds?

Israeli bonds are financial instruments issued by the Israeli government to generate revenue for public spending, including infrastructure projects and, more recently, military activities. Source: The Journal

They are marketed internationally under names like Jubilee, Maccabee, and Mazel Tov Bonds, often accompanied by messaging such as “Israel is at war” to appeal for support during times of conflict. In Europe, their distribution is handled by Development Company for Israel GmbH. These bonds are targeted at individuals, institutions, and diaspora communities, and can be purchased via brokers or online platforms.

Purchasing these bonds essentially means providing a loan to the Israeli state, with recent issuances explicitly tied to financing military operations in Gaza. Source: Israel Bonds

How is Ireland involved?

For bonds issued by non-EU countries to be sold within the European Union, they must be approved by the financial regulator of an EU member state. Prior to Brexit, the UK served as Israel’s entry point for accessing European capital markets. Following the UK's departure from the EU, this responsibility shifted to the Central Bank of Ireland (CBI).

In September 2024 (a year into the ongoing genocide) the CBI renewed its approval for the sale of Israeli bonds. Sources: IPSC, Irish Time, Irish Times

Why should the Government divest?

The Irish Government (Taoiseach Micheál Martin), every major NGO (see MSF, Human Rights Watch, Amnesty), by the UN (UNHR, UN Special Rapporteur) and even by Israeli NGOs (B'Teselem and Physicians for Human Rights Israel) have recognised the ongoing genocide and crimes against humanity of mass extermination that Israel is committing against Palestinians.

The Irish Government should divest from Israeli bonds because the bonds are explicitly marketed to fund Israel’s military campaign in Gaza - including even statements such as “Stand with Israel” and “Israel is at war” - that underscore their war‑effort purpose, and because Ireland (as a signatory to the Genocide Convention - see Irish Genocide Act 1973) is under a legal and moral obligation to prevent complicity through public institutions like the Central Bank, which currently facilitates the sale of these bonds in Europe

How do you divest from Israeli bonds?

If you’re an individual investor in Ireland seeking to personally divest from Israeli government bonds, here are the steps you can follow:

1. Review your portfolio: Check whether you hold any direct Israeli sovereign bonds or bond funds/ETFs that include Israeli debt.

2. Contact your broker or custodian: Ask if any bonds you hold are Israeli government bonds issued via Israel Bonds (e.g. Jubilee, Maccabee, Sabra, Mazel Tov bonds) or exposed to them through bond ETFs.

3. Sell or redeem the holdings: If you hold those bonds directly, you can sell them on the secondary market or redeem at maturity according to the terms. If they are held within ETFs or funds, sell your fund shares.

4. Shift to alternatives: You can replace them with sovereign bonds from EU countries or bond funds domiciled in Ireland or elsewhere in the EU, which align with international law and reduce moral/legal concerns.

5. Consider tax implications: In Ireland, coupon income from foreign sovereign bonds is taxed at your marginal rate; capital gains on bonds (except Irish government bonds held to maturity) are taxed under CGT. 

6. Seek professional financial and legal advice, especially if holdings are within complex structures or you’re unsure about exposure or regulations.