- €4.05 billion transferred from Exchequer
- A total of €10.4 billion has been transferred into the Future Ireland Fund and Infrastructure, Climate and Nature Fund established by the Government this year
The Minister for Finance, Jack Chambers TD, has announced the completion of the first annual transfer from the Exchequer to the Future Ireland Fund (FIF) of 0.8% of GDP (Gross Domestic Product), equal to a sum of €4.05 billion.
This builds on the transfers last month from the National Reserve Fund, with transfers of €2 billion to the Infrastructure, Climate and Nature Fund (ICNF) and €4.3 billion payment to the FIF.
The FIF and ICNF are managed by the National Treasury Management Agency (NTMA).
Minister Chambers said:
“This transfer is a milestone event for our new Future Ireland Fund, as well as for our economy and for the future development of our country.
It demonstrates the progress we are making with both this fund and the Infrastructure, Climate and Nature Fund. These two long term savings funds are a vital element of managing the State’s finances in a prudent and responsible manner over the coming decades. In using the proceeds from volatile windfall tax receipts to help us meet the challenges we know our country will face, rather than using them to fund existing day to day expenditure, we are safeguarding and protecting our future.
”This transfer of 0.8pc of GDP means we will have invested more than €10bn in the two funds by the end of the year, with that figure expected to rise to €16bn by the end of 2025.
Frank O’Connor, Chief Executive of the NTMA, said:
“Following this transfer we now have €8.4 billion in the Future Ireland Fund and €2 billion in the Infrastructure, Climate and Nature Fund.
Under the interim investment strategies for each fund, the NTMA is initially investing this money in a low-risk, high-credit quality portfolio of sovereign and quasi-sovereign bonds, with the aim of generating stable and reliable returns with minimal risk.
We are currently designing appropriate long-term strategies for each fund and putting in place the necessary people, skills and supporting infrastructure to manage the funds for the long term”.
