Norway’s Government Pension Fund Global, the world’s largest sovereign wealth fund, has withdrawn approximately €600 million in investments from five major Israeli banks following an ethical review of its holdings.
The banks affected are First International Bank of Israel, FIBI Holdings, Bank Leumi, Mizrahi Tefahot Bank and Bank Hapoalim. The value of the fund’s investments in the five institutions was approximately $661 million as of June.
The withdrawals follow an August 2025 decision by Norges Bank, which manages the fund, to exclude all five banks from its investment portfolio, alongside US construction equipment manufacturer Caterpillar. The bank said there was an “unacceptable risk” that the companies contributed to serious violations of individual rights in situations of war and conflict.
The fund's ethical concerns also extend to the use of Caterpillar-manufactured bulldozers by Israeli authorities in demolitions of Palestinian properties across the occupied West Bank, East Jerusalem and Gaza.
The move forms part of wider scrutiny of Norway's investments in Israel. In August 2025, the fund also sold its holdings in 11 other Israeli companies and brought the management of its remaining Israeli investments in-house, following concerns about its exposure to companies linked to Israel's military industry.
With a value of approximately $1.9 trillion and investments in more than 8,600 companies worldwide, Norway's sovereign wealth fund is a major global investor. Its decisions to exclude companies over human rights concerns carry significant financial and political implications.
