“We’re getting serious about climate change – today is a momentous day for the Irish financial system” – Climate Finance Week chair Stephen Nolan

Ireland’s financial system has shown it is serious about meeting the climate change challenge, with a series of “transformative” measures announced today at Climate Finance Week Ireland 2019, according to CFW19 chair Stephen Nolan.

Mr Nolan was commenting as Euronext announced that it is launching a new Euronext green bonds section across its six markets and that it is basing the initiative out of Dublin. Euronext wants to make it easier for investors to discover and participate in sustainable investment opportunities.

In separate announcements:

— The Irish Funds industry published a statement of intent that recognises that climate change poses a significant threat to the economy, environment and society, including major risks to growth and financial stability, requiring an urgent and comprehensive response.

— Irish Life Investment Managers (Irish Life) announced that the company will convert their entire book of assets under discretionary control to a responsible investing approach. By the end of December, the company will have over €15bn in assets under management which explicitly considers environmental, social and governance (ESG) factors in their investment approaches.

— The Sustainable Investment Forum (SIF) published its 2nd Annual State of Play Responsible Investment Report. It shows here has been considerable growth in Responsible Investment practices across leading Irish investment managers with 92pc having Responsible Investment policies which incorporate ESG frameworks (up from 81% in 2018).

All of the announcements took place during Climate Finance Week’s ESG Day. Climate Finance Week Ireland 2019 is a programme of events organised by Sustainable Nation Ireland with the Department of Finance under the Ireland for Finance strategy, which aims to galvanise businesses to secure and finance a sustainable future.

Commenting, Climate Finance Week Ireland chair Stephen Nolan added:

“Today is a momentous day. It is the first time that the Irish financial sector as a whole has collectively planned, outlined and publicly committed transformative measures that accelerate and embed carbon-friendly practices. These measures, which are being implemented right across all areas of responsible investment and sustainable finance, will ensure that the Irish financial sector is fit for purpose to play a key role in securing all of our futures.”

In a statement of intent signed by the CEOs of the Irish Funds Industry Association; the Irish Association of Pension Funds; the Irish Association of Investment Managers; Insurance Ireland; the Banking & Payments Federation of Ireland; and Financial Services Ireland, the bodies agreed that:

— Climate action should be recognised as an opportunity: concerted public-private sector action at a national level can generate multiple and substantial benefits for our societies by stimulating technology and innovation, improving human well-being and accelerating economic growth.

— The redirection of capital flows towards sustainable investment is crucial to ensure the sustainable and inclusive growth of the Irish economy.