OSLO, Norway (Chatnewstv.com) — Norway’s $2 trillion sovereign wealth fund has sold off its stakes in Israel’s four largest banks and U.S. construction equipment giant Caterpillar over ethical concerns tied to Israeli settlements in the occupied territories, officials announced Tuesday.
The Government Pension Fund Global, one of the world’s largest investors, said the divestments followed recommendations from its ethics council, which concluded the companies were contributing to violations of international law.
“The board has assessed that the banks, through their provision of loans and other financial services, contribute to the construction of settlements in the occupied Palestinian territories,” the council said in a statement.
The fund shed holdings valued at roughly $661 million across Bank Hapoalim, Bank Leumi, Mizrahi-Tefahot and First International Bank of Israel. It also sold its $2.1 billion stake in Caterpillar, which supplies bulldozers that rights groups say have been used to demolish homes in Gaza and the West Bank.
“The decisions are based on thorough and independent assessments to ensure that the fund does not contribute to activities in breach of international norms,” the Norwegian Ministry of Finance said.
Norwegian media reported the fund has sold shares in 17 Israeli companies since July, including retailer Rami Levy and tech firm Bubblel.
The fund’s ethics council, established by parliament, advises on exclusions and divestments, while final decisions are made by the central bank’s board.
