Norges Bank Intensifies Withdrawal from Israeli Firms

(MENAFN) Norges Bank Investment Management, the world’s largest wealth fund managing $2.2 trillion, accelerated its withdrawal from Israeli companies on Tuesday, further shrinking its exposure amid escalating conflict in Gaza.

After excluding 11 Israeli firms from its portfolio of 61 as of June 30, the fund revealed on Tuesday that it now holds just 44 Israeli companies. “Eleven of the divestments are related to the decision made last week. The remainder (of six firms) are regular investment decisions made by our portfolio managers,” the fund informed media.

CEO Nicolai Tangen underscored the gravity of the situation: “These measures were taken in response to extraordinary circumstances. The situation in Gaza is a serious humanitarian crisis.

"We are invested in companies that operate in a country at war, and conditions in the West Bank and Gaza have recently worsened. In response, we will further strengthen our due diligence."

Tangen further explained that the actions would streamline managing investments in the region, reducing the companies under scrutiny by both the fund and the Council on Ethics.

Since 2020, Norges Bank has engaged with over 60 firms operating in conflict zones, with 39 of those dialogues focused on the West Bank and Gaza. “In the autumn of 2024, we further intensified the monitoring of our investments in Israeli companies. As a result, we have sold our investments in several Israeli companies,” the fund added.

This move signals heightened caution from one of the world’s largest institutional investors amid growing humanitarian concerns and geopolitical instability.

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