Norway’s sovereign wealth fund, the world’s largest with $2 trillion in assets, is further distancing itself from Israel, selling off holdings in Israeli banks amid heightened scrutiny over the Israel-Hamas war.
On Monday, the Government Pension Fund Global, managed by Norges Bank Investment Management, announced it would divest from Bank Hapoalim, Bank Leumi, Mizrahi Tefahot, Israel Discount Bank and investment house FIBI, as well as U.S. equipment manufacturer Caterpillar, whose D9 bulldozers are used by the Israeli military’s engineering corps.
According to the fund’s ethics council, these companies pose an “unacceptable risk” of contributing to serious violations of the rights of people living in conflict zones. Combined holdings in the banks were valued at roughly $661 million as of July.
The move follows a separate announcement on August 18, when the fund said it would divest from six companies tied to the West Bank and Gaza after reviewing its Israeli investments.
The names of those companies were not disclosed at the time, but Norwegian media reported the fund had sold shares in 17 Israeli firms since late June—including El Al, Rami Levy, Retailors, Paz, Azorim and Delek Motors—citing ethical concerns over their links to settlements or military activities.
The fund, which owns stakes in 8,700 companies worldwide, pledged to continue quarterly assessments of Israeli firms, reflecting a broader European trend of reassessing Israel-related investments due to the Gaza war and West Bank settlements. By the end of 2024, it held 65 Israeli firms valued at $1.95 billion.