A Ireland for Finance
IRELAND FOR FINANCEThe strategy for the development of Ireland’s international financial services sector to 2025
Prepared by the Department of Financegov.ie
April 2019
Contents
Foreword 1
Executive summary 5
Introduction 9 Backgroundtointernationalfinancial servicesinIreland 9
Overview of IFS sectors 11 Globalreach 13 Apro-businessenvironment 14 IFSinIreland–lookingforward 15 Visionandkeyobjectives 16 Employmenttargets 16 Progress indicators 17 Internationalrankings 17 Fourpillars 18 Horizontalpriorities 19 Regionalisation 19 Diversity 19 Sustainablefinance 19 Othergovernmentstrategies 20 Governancestructures 20 Acoherentapproach 21
Pillar 1: Operating Environment 25 Introduction 25 Strongandeffectiveregulation 25 Industryrepresentationofthesector 26 Legalsystem 27 Legislation 27 Supportforinternationaltaxation developments 28 Supportforsmallandmedium-sized enterprises 28 Environmentscanning 29 CapeTownConvention 29 Aviationleasingandbeyond 29
Pillar 2: Technology and Innovation 33 Introduction 33 Collaboration 33 Innovation 34 SupportsforIrish-ownedfinancialservices andfintechcompanies 37 Platforms 38 Paceoftechnologychange 38
Pillar 3: Talent 41 Introduction 41 Renewedfocusoneducationand lifelonglearning 41 Skillsdevelopment 42 Increaseduptakeofapprenticeships 42 Education–industrylinkages 43 Developmentofpostgraduateprogrammes 43 Skillsneedsanalysis 43 Increasingdiversity 44 Visaprogramme 45 SpecialAssigneeReliefProgramme(SARP) 45
Pillar 4: Communications and Promotion 47 Introduction 47 EuropeanFinancialForum 47 ClimateFinanceWeekIreland 47 ‘IFSIreland’brandingandwebsite 48 Communicatingthestrategyexternally 48 Communicatingthestrategydomestically 48 Communicatingthestrategyforandacross theregions 49 Othercommunicationsandpromotional issues 50 Cultureandlifestyle 51 Communicationsonthewider infrastructure 52
Appendix I: Action Measures for 2019 53 HeadlineActions 54 OperatingEnvironment 57 TechnologyandInnovation 61 Talent 63 Communications 67
Appendix II: Glossary 70
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1 Ireland for Finance
Foreword
Ireland has built a very successful international financial services industry over the last three decades. From its origins in Dublin’s Docklands in 1987, the sector has now grown to become a truly national industry with a significant presence across the country in a number of regional locations including Cork, Galway, Letterkenny, Limerick, Waterford and Wexford.
2019marksthefinalyearoftheGovernment Strategy for Ireland’s International Financial Services Sector – IFS2020 – whichhasbeenverysuccessful.Thissuccesscanbemeasuredunderanumberofmetrics:
· employmentgrewfrom35,000in2015toapproximately44,000(attheendof2018)–anincreaseof25percent,whichrepresents90percentoftheIFS2020targetof10,000additionaljobsby2020,
· 14ofthetop15globalaircraftlessorsarenowbasedinIrelandandwecontinuetoattractglobalinvestmentintothatsector,includingfromAsiaandtheMiddleEast,
· Irelandisnowhometo20oftheworld’stop25financialservicescompanies, · withover€4trillioninfundassetsunderadministration,Irelandisthe3rdlargestglobalinvestmentfundsdomicile,thelargestEuropeandomicileforETFs,andaleadinglocationworldwideforhedgefundadministration,
· 17ofthetop20globalbanksand11oftheworld’stop15insurancecompanieshaveapresenceinIreland,and
· theIrishcross-borderinsurancesectorwritesbusinessintomorethan100countrieswithmorethan25millioncustomers.
Future success will demand even more commitmentThisgovernmentiscommittedtobuildingonthesuccessesalreadyachievedbythesector.OurnewstrategyisaimedatensuringthatIrelandcontinuestoberegardedasoneoftheworld’sleadingglobalfinancialcentres.ThestrategyalignswithotherkeygovernmentstrategiesincludingFuture Jobs Ireland 2019,theNational Development Plan 2018–2027,theNational Digital StrategyandtheNational Adaption Framework.
Iamgratefultoallthosewhorespondedtocallsforsubmissionsinrelationtothisstrategy.Wereceivedmanywellresearched,thoughtfulandthoughtprovokingsubmissionsfromawiderangeofindustrysectors,industryparticipantsandconsumersoffinancialservices.Iamalsogratefultoallthosewhohaveworkedtohelpdefineandrefinethatstrategyovermanymonths.Inparticular,IamgratefultothemembersoftheIndustryAdvisoryCommittee,myofficialsattheDepartmentofFinance,andthemembersoftheStrategicAdvisoryGroupfortheirworkinidentifyingandanalysingtheopportunitiesandchallengeswefaceandinhelpingustoshapeournewstrategy.IamconfidentthatthisnewstrategywillplaceIreland’sinternationalfinancialservicessectoronapathtoriseevenfurtherintheworldcompetitiverankingsandthatitwilldeliverfurtherstability,innovationandchoicetoinvestorsandconsumersoffinancialservicesworldwide.
Onethingthatisclearfromthisvaluableprocessisthatourfuturesuccessisgoingtorequireevenmorecommitment.Specifically,itisgoingtorequireamarketleadingcommitmenttocompete.
Improvingourcompetitiverankingswillrequire:
· clear,preciseandmeasurablearticulationsofourobjectivesineachofourtargetmarkets(forexample,remainingtheno.1locationinEuropeforexchange-tradedfunds),
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· clarityaboutwho,specifically,ourcompetitorsareineachofourtargetmarkets, · identifyingwhatourpointsofdifferentiationwillbe–inotherwords,howarewegoingtomeettheneedsofeachofourtargetmarketsbetterthanourspecificcompetitorsdo,and
· speedyandeffectiveimplementationofcompetitivenessenhancingmeasures.
Theenvironmentforinternationalfinancialservicesisincreasinglycompetitive.Industryparticipantscontinuallyfacepressurestooptimisetheirbusinessesbydeliveringnewandinnovativeproductsandbyexploitingprocessandlocationalefficiencies.Theymustdeliverthesewhilecontinuingtoservetheneedsoftheircustomersandensuringtheoverallcontinuedstabilityoftheglobalfinancialsystem.
Theindustryismoretechnologyintensivethanithaseverbeenandtheuseofartificialintelligence(AI)andautomationpresentbothopportunitiesandchallengesforIreland.Irelandmustcontinuetopositionitselfasalocationthatisopentoprovidinganinnovative,supportiveanddynamicenvironmentforcompanieslookingtoleverageourexpertiseandlonghistoryintechnologyandfinancialservices.OneofthenewmeasuresinthestrategytodrivethisaspectofdevelopmentistheestablishmentoftheFintechForesightGroupwhichwilladvisetheJointCommitteeaboutkeydevelopmentsintechnologyintheinternationalfinancialservices(IFS)sector.
InIreland,werecognisethatinordertocompeteforandwinbusinesswemustbeagileandcreativeinseekingtomeetthedemandsofcompaniesoperatinginarapidlychangingenvironment.Wealsorecognise,however,thedangersofpromisingmorethancanbedeliveredandtheimportanceofremainingtruetoourdualgoalsofmaintainingfinancialstabilityandupholdingEUregulatorypolicyinaconsistentway.OuraimmustthereforebetoensurethatIrelandisbothaprudentlocationfromwhichtooperateandisregardedgloballyasthemostcompetitivelocationinwhichtolocateandfromwhichtoconductactivities.
ThereforeIproposetomakeraisingthecompetitivenesspositionofIrelandintheleadingrankingsapriorityobjective.Forthistobeachieved,werequirestructuresthatwillenableustohaveongoingearlyvisibilityofkeydevelopmentsintheglobalfinancialservicescentresworldwideandanabilitytoquicklyassessthosedevelopmentsfromanIrishperspective.WemustbeinapositiontoidentifythosedevelopmentswhichpresentopportunitiesforIrelandandtoreject,onaninformedbasis,thosedevelopmentsthatwebelievewillnotaddtoIreland’sofferingorwhichwouldthreatenfinancialstabilityortheinterestsofconsumersorinvestors.Inthisregard,theCentralBankmustatalltimesretainitspositionasastrongandindependentregulatordeliveringeffectivelyonitsfinancialstability,prudentialandfinancialconductmandatesandwithhighlevelsofcredibilityaspartoftheEuropeansystemoffinancialsupervisionand,forbanks,theSingleSupervisoryMechanism(SSM).
Wemustalsobewillingtobecreativeandtocontinuetostayaheadofcompetitivepressuresthroughtheintroductionoflegislationwhichenhancesourproductoffering,whilecontinuingtoensureadequateprotectionofthepublicandinvestors.
BeinginapositiontoreactquicklyandtoimplementchangerapidlyalsorequiresthatwelookinternallyatourstructuresandthewayinwhichweconductbusinesswithinIreland.IbelievethatwealsoneedtoconsiderwhetherwehavetheappropriatestructuresinplaceformarketingtheIrishinternationalfinancialservicesofferinginternationally.Inachanginglandscape,wheresomeofourcompetitorsareinvestingheavilyinmarketinginitiativesandwhereitisevidentthatthoseinitiativesareincreasingthevisibilityofcertainjurisdictionsthroughouttheworld,wemustaskhowweinIrelandneedtoadapttothechangingcompetitivelandscape.
TheIndustrialDevelopmentAuthority(IDA)andEnterpriseIrelandhavebeenkeycontributorstothedevelopmentofourinternationalfinancialservicesindustry.Ihavenodoubtthatthenumberofstaffemployedacrossthesixmainbusinessareas–justunder44,000peopleattheendof2018–wouldbemuchloweriftheagencieshadnotbeencentraltoourmarketingeffortsovermanyyears.Likewise,thedevelopmentofthe‘IFSIreland’brandhasbeenanimportantfirststepinbuildinganintegratedofferingacrossdifferentsectors
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ininternationalfinancialservices.WemustcontinuetobuildontheworkdoneundertheIFSIrelandbrandtoidentifywhereandhowthatworkcouldbeenhancedbyadditionalsupport,bynewapproachestomarketingandpromotion,orbyotherinitiatives.
WemustalsolookbeyondbrandingtotheskillsavailableintheworkforceintheinternationalfinancialservicessectorinIreland.Increasedautomationandrapiddevelopmentoftechnologymakeitcriticalthatourworkforceremainsadaptableandskilled.Wemustinvestineducationandtrainingtoensureworkerscanupdatetheirskillsinordertostayrelevantandproductive.WemustalsobringthestrengthsthatIrelandhastoofferinthetechnologysectormorestrategicallytogetherwiththestrengthsofourinternationalfinancialservicesindustryinordertopositionIrelandastheworldleaderinfintech,platformdevelopment,andtechnology-basedfinancialservices.
Ireland’skeyassetsincludeitspeopleandtalent:thecountryhasawell-educated,highlyskilled,flexible,internationallydiverseandmultilingualworkforce.With33percentofthepopulationunder25yearsold,IrelandhastheyoungestpopulationintheEU,andover50percentofthoseaged30–34haveathird-levelqualification–abovetheOrganisationforEconomicCo-operationandDevelopment(OECD)average.IrelandistheonlyEnglish-speaking,commonlawcountryinboththeEUandtheeurozone.Itpossessesastrongpro-businessenvironment,characterisedbyanopeneconomywithastableandconsistentrateofcorporationtax.IrelandhasastrongandfullyindependentfinancialservicesregulatorthatisfullyembeddedintheEuropeanSystemofFinancialSupervisionandtheSingleSupervisoryMechanism.Irelandalsohascloseandlong-establishedbusinesslinkswithboththeUKandtheUS.
OverridingallofthesedevelopmentsmustbeacommitmenttoensuringthatthecultureofourinternationalfinancialservicessectorinIrelandisstrong,thatIrelandisrecognisedasadiverse,people-friendlyplaceinwhichtoworkandlive,andthatIrelandisajurisdictionwhichupholdsthevaluesofconsumerprotectionandinnovationinabalancedandpositiveway.Akeyprioritywillbethepushforgreaterdiversityoftalentinthesector.Thisgoesbeyondthenumberofwomenintheworkplaceorinleadership;itwillalsoseektoimprovediversityofage,ethnicity,sexualorientation,education,background,nationality,disability,beliefs,andmore.Finally,regionalenterprisegrowthandjobcreationisakeyelementofnationalpolicy.
Todeliverontheseobjectives,thisIFSstrategyisbuiltonfourkeypillars,focusingontheoperatingenvironment,ontechnologyandinnovation,ontalent,andoncommunicationsandpromotion.ActionpointswillbeidentifiedundereachofthesepillarswithaviewtodeliveringtheimprovementsthatwillenableIrelandtoincreaseitsglobalcompetitiveness,toimproveitsinternationalvisibility,toinvestinworld-leadingtalent,toinnovateinwaysthatwillenhanceefficienciesandproductdelivery,andtopositionitselfastheinternationalfinancialservicescentreofchoicefortheglobalfinancialservicesmarket.
MichaelD’ArcyTD Minister of State for Financial Services and Insurance 26April2019
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5 Ireland for Finance
Executive Summary
Over the last 30 years, Ireland has built a well-regarded, specialist IFS sector comprising more than 430 companies and approximately 44,000 employees. The IFS sector makes a significant contribution to the economy. Ireland is the third largest global centre for fund administration with €4.2 trillion worth of assets under administration. Overall, many aspects of IFS in Ireland work well because of the ambition, hard work and dedication of the people who work in both the industry and the public sector.
Themultinationalorforeign-ownedsegmentoftheindustryaccountsforapproximatelythree-quartersofthetotalnumberoffirmsand80percentofheadcount,makingforeigndirectinvestment(FDI)akeyfeatureofthesector.Theinternationaldimensionoftheindustryhasexpandedinthenumberandmixofinvestors,withasignificantincreaseintherangeandsophisticationofactivitiesundertakeninIreland.
OurvisionisforIrelandtoremaininternationallycompetitiveandatop-tierlocationofchoiceforspecialistIFS.Thisstrategyseekstobuilduponthesuccessofpreviousstrategies.
TheprincipalobjectiveforthisstrategyistomoveIrelandfurtherupthevaluechainandtocontinuegrowingthesectorsIrelandalreadyhasinplace,toensuretheycancapitaliseonchangesandopportunitiesthatarise.Inparallel,Irelandwillneedtodevelopnewandalternativebusinesslinesinordertoadapttothechangingenvironment,tocapturemoreIFSinvestmentfromnewgeographicalmarkets,andtoensurethatIreland’sofferingremainsrelevantinlightoftechnologicalandmarketshifts.
IrelandistheonlyEnglish-speaking,commonlawcountryinboththeEUandtheeurozone.Itpossessesastrongpro-businessenvironment,characterisedbyanopeneconomywithastableandconsistentrateofcorporationtax.IrelandhasastrongandfullyindependentfinancialservicesregulatorthatisfullyembeddedintheEuropeanSystemofFinancialSupervisionandtheSingleSupervisoryMechanism(SSM).Irelandalsohascloseandlong-establishedbusinesslinkswithboththeUKandtheUS.
Ireland’skeyassetsincludeitspeopleandtalent;thecountryhasawell-educated,highlyskilled,flexible,internationallydiverseandmultilingualworkforce.With33percentofthepopulationunder25yearsold,IrelandhastheyoungestpopulationintheEU,andover50percentofthoseaged30–34haveathird-levelqualification–abovetheOECDaverage.
Globally,Irelandisseenasacompetitivelocationbecauseofitsbusinessecosystem.Thecountryscoreshighlyinkeyareasacrossarangeofindependentthird-partymetrics:in2018,ForbesrankedIrelandasthe2ndbestcountryintheeurozonefordoingbusinessand11thoverallintheworld;theInternationalInstituteforManagementDevelopmentrankedIreland12thintheworldforoverallcompetitiveness;andtheGlobalInnovationIndexrankedIreland10thintheworld.Wewanttoimproveourofferingandourstanding.
Thisstrategyisaboutpositioningnowforthefutureandaboutharnessingtheindustry’spotentialtodeliversustainableeconomicdevelopmentandemployment.Thiswillrequireincreasedcollaborationandpartnershipsbetweenallactors:government,industry–fromestablishedgloballeadersandincumbentfirmstostart-ups–andeducationalinstitutionsatdomestic,EUandgloballevels.Fullyusingpublic–privatecollaborationandcontinuingawhole-of-governmentapproachwillbekeytoensuringthesuccessofthisstrategy.
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Theseobjectiveswillbesupportedbyactionmeasuressetoutacrossfourpillars:operationalenvironment;technologyandinnovation;talent;andcommunicationsandpromotion.Horizontalprioritieswillbeintegratedacrossallofthepillars.Thethreehorizontalprioritiesare:diversity,regionalisation,andsustainablefinance.Seekingtoachievegreaterdiversityoftalentwithinthesectorwillbecore.Theaimwillbetoachievegreaterdiversityacrossanumbergrounds,includinggender,age,ethnicity,sexualorientation,education,nationality,disability,andbelief.Nationalpolicyhasmaderegionalenterprisegrowthandjobcreationapriority,andthatisstronglyreflectedinthisstrategy.WhiletheregionshaveoftenbeenhighlightedforofferinglowercoststhanDublin,theyhavemanyotherbenefitsasbasesforoperationsincludinganavailablelabourpool,third-levelinstitutionsengagedwithlocalfirms,theavailabilityofcommercialrealestate,airconnectivity,andqualityoflife.Promotingtheseadvantageswillformakeypartofthecommunicationsprocessunderthisstrategy.Thethirdhorizontalpriorityistheexpansionofsustainablefinanceandapushtoimprovethedepthandawarenessofthisareawillbeakeytaskoverthelifeofthestrategy.
TheestablishmentofaFintechForesightGroupwillbringtogetherstakeholdersandtaskthemwithscanningforandadvisingonallrelevantdevelopmentsinbothfintechandgeneraltechnologyforthewiderIFSsector.ThiswillallowthestrategytocapitaliseonemergingopportunitiesandtoensuretheannualactionplansremainrelevanttotherapidlychangingIFSecosystem.ThisgroupwillworktoexpandthevariouslinkagesandencouragegreatercollaborationbetweenfintechcompaniesandIrishthird-levelinstitutionsthroughengagementwithtechnologycentres,researchcentresandtechnologygateways.ItalsoaimstoenhanceinteractionbetweenfintechcompaniesandIFScompaniestoidentifyopportunitiesforsynergy.
ItwillbevitaltoupskillandretrainstafftokeepabreastofchangesandtoensurethatIrelandcanmoveupthevaluechainandremainatop-tierIFSlocation.Thiswillensuretheflowofstaffneededandthattheskillsareinplacetomaximisetheopportunitiesthatwillariseinemergingareas.TheNationalSkillsCouncil’sremitistoadviseontheprioritisationofidentifiedskillsneedsandonhowtosecuredeliveryofresponsestoidentifiedneeds,andtheIFSsectorwillbeconsideredalongsideothersectorsoftheeconomywithskillsrequirements.Forthisstrategy,akeychallengewillbetoenhancethecollaborativeapproachbetweeneducationinstitutionsandIFScompaniestoensureanadequatesupplyofskillsnecessaryforthesectortomeettheneedsarisingfromchangesinfinancialtechnology.
Geopoliticaldevelopmentsalsopresentpotentialchallenges.TheseincludeBrexitanditsaftermath,internationaltradedisputeswiththeirassociatedrestrictionsontrade,andchangestoregulatoryorsupervisoryregimes.However,theycanalsobeanimportantsourceofopportunities.Free-tradeagreements,negotiatedbytheEuropeanCommissiononbehalfofEUMemberStates,allowforincreasedmarketaccesswithkeytradepartners,bothintermsofexportopportunitiesforIrish-basedfinancialservicescompaniesandFDIintoIreland.Inordertomeetthesechallengesandensurethatanygeneralopportunitiesthatarisearerealisedinthecomingyears,thisstrategywillbuilduponwhatworkedwellunderthepreviousstrategyandinvestigatehowwecanimproveonwhathasbeenachievedtodate.
Thecommitteestructuresputinplaceunderthepreviousstrategywillbeusedtoensurethatthetalentsandexpertiseofbothsectorsandacrossallrelevantgovernmentdepartmentsandstateagencieswillbeharnessedtodeliverthestrategy’sobjectives.
AdedicatedMinisterofStateattheDepartmentofFinancewillleadtheimplementationofthisstrategy,allowingatargetedandfocusedapproachtodevelopingthesectorwithconsiderablepoliticalcommitment.TheDepartmentofFinancewillactassecretariatandwillsupporttheMinisterofStateinleadingthesector’scontinueddevelopmentandgrowth.
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ThisstructuremaximisestheresourcesavailableinboththepublicandprivatesectorstoachievethesharedambitionofgrowinganddevelopingtheIFSindustryacrossIreland.EngagementattheJointCommittee(whichconsistsofboththepublicandprivatesectors)isalsobeingbroadenedtoincludequarterlypresentationsbykeyindustryfiguresondevelopingareasofstrategicimportance.TheorganisationsthatformtheJointCommitteewillbeaskedtoensuregenderbalanceinthecommittee’smembership,inlinewiththeactionsinthisstrategy.
Annualactionplanswillbepreparedtoallowaclearandtransparentmethodwithwhichtotrackprogressagainstclearlydefinedmetricsandtimelinesandensureaccountabilityforallactorsinthestrategy.Theplanswillalsoallowforannualreviewstoestablishnewprioritiesandallowthestrategytobeflexibleandadapttoaworldwherechangeiseverconstant.
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Introduction
Background to international financial services in IrelandIreland has succeeded in building a very successful international financial services (IFS) industry in that last 30 years.
Morethan430firmsemploy44,000peopleinbankingandpayments,funds,insuranceandreinsurance,investmentandassetmanagement,aircraftleasing,and,increasinglyinrecentyears,fintech(financialtechnology).Approximately300multinationalandforeignfirmsemployabout80percentofthepeopleworkingintheIFSsector,whichmakesFDIanimportantfeatureofthesectorinIreland.TheinternationalshareoftheindustryhasexpandedsincetheUKvotedin2016toleavetheEU.ThisgrowthhasreflectedinbothintherangeandsophisticationofactivitiesundertakeninIrelandandinthemixandnumberofinvestors.
ThesectorhasasignificantpresenceacrossthecountryinseveralregionallocationsincludingCork,Drogheda,Galway,Kilkenny,Letterkenny,Limerick,Waterford,andWexford,makingitagenuinelynationalindustry.Thesectormakesasignificantcontributiontotheeconomyofanestimated€11billioninexports,6.3percentofGDP,and€2billionintaxreceipts.
TheGovernment Strategy for Ireland’s International Financial Services Sector 2015–2020(IFS2020)endsin2019.IFS2020hasbeenverysuccessfulsinceitslaunchbythegovernmentinMarch2015.
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OVER
2015 2018
35k 44k
430COMPANIES
17 of the top 20 global banks
14 of the top 15 global aircraft lessors are now based in Ireland
11 of the top 15 insurance companies
A STABLE &PREDICTABLE business environment
OVER
2015 2018
35k 44k
430COMPANIES
17 of the top 20 global banks
14 of the top 15 global aircraft lessors are now based in Ireland
11 of the top 15 insurance companies
A STABLE &PREDICTABLE business environment
OVER
2015 2018
35k 44k
430COMPANIES
17 of the top 20 global banks
14 of the top 15 global aircraft lessors are now based in Ireland
11 of the top 15 insurance companies
A STABLE &PREDICTABLE business environment
4thlargest exporter of financial services in EU
#1
no.1location worldwide for hedge fund administration
4.2 trillionof investment fund assets under administration
Increasedemploymentfrom35,000in2015to44,000attheendof2018
OVER
2015 2018
35k 44k
430COMPANIES
17 of the top 20 global banks
14 of the top 15 global aircraft lessors are now based in Ireland
11 of the top 15 insurance companies
A STABLE &PREDICTABLE business environment
IFS Landscape
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Overview of IFS Sector
Ireland’s IFS sector covers many different strands. The current importance and recent developments in a number of areas are outlined below.
Investment management and fund servicesIrelandisthethirdlargestfundjurisdictionintheworldandthesecondlargestinEuropewith7,290domiciledfundsmanaging€2.4trillionofassets,and6,624non-domiciledfundsmanaging€1.8trillionofassetsattheendof2018.Over900fundmanagersfromover50countrieshaveassetsadministeredinIreland.Seventeenofthetop20globalassetmanagershaveIrish-domiciledfundsandthesearedistributedtoinvestorsinover90countriesaroundtheworld.Theecosystemforfundshasbeenbuiltoverthelast30yearsandnowrepresentsarecognisedglobalcentreofexcellence.
Morerecently,anincreasingnumberofassetmanagershavechosentoincreasetheircommitmenttotheirfundoperationsbyopeningofficestosupportfutureregulatoryrequirementsandtoallowthemtocontinuetoserviceEU27clientsfromanIrishbase.TheseincludeLeggMason,AberdeenStandard,BaillieGifford,Hermesandanumberofotherhigh-profilefundmanagers.Thesenewoperationshaveastrongfocusonregulatoryoversightandcomplianceactivities.
IrelandisaleadingEuropeandomicileforexchange-tradedfunds(ETFs).Ireland’shighlydevelopedservicemodelensuresthatETFissuershaveaccesstoserviceproviderswithhighlyautomatedandscalableglobalmodels.
Investment banking MajorinvestmentbanksarealsobasedinIreland.In2017,BankofAmericaMerrillLynchbecamethefirstmajorUK-basedentitytoselectDublinasitsnewbaseforEUoperations.JPMorganhasannouncedplanstohireasignificantnumberofpeopleinDublin.BarclayshasalsoopenednewofficesinDublintoextenditsIrishandpan-Europeanactivities
Investment fund and debt listing Since2018,EuronextDublin(formerlytheIrishStockExchange)isthegloballeaderfordebtfundlistingsworldwideandfortradingIrishshares.EuronextDublinhasover35,000listedsecurities,7,000classes,4,000issuers,andinvestmentmanagersfrommorethan40locations.
Trading platformsInadditiontotheregulatedmarket,EuronextDublinoperatestheEuronextGrowthDublinMTF.VirtuPosit(formerlyITG),afinancialtechnologycompany,operatesanalternativeMTFfortheEuropeanmarketfromDublin.SeveralleadingMTFoperatorshaveappliedtotheCentralBankforauthorisationfollowingBrexit,includingRefinitiv(formerlyThomsonReuters)andEquiLend.
Ratings agenciesS&PGlobalandKrollBondRatingAgency(KBRA)haveselectedIrelandastheirEuropeanheadquartersfortheirESMAregulatedbusiness.Inaddition,theDepositaryTrustandClearingCorporation(DTCC)hasopenedaDublinofficeforitsEuropeanUnionTradeRepository.
Corporate treasury operationsAlongsideregulatedfrontofficeactivitiesinbanksandotherfinancialservicesfirmsthatincorporatesophisticatedtreasuryoperations,IrelandisaprominentinternationallocationforcorporatetreasuryactivitiesandactsastheglobalcorporatetreasurycentreforahostofmultinationalorganisationsbeyondtheIFSsector.
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InsuranceTheinsurancesectorisamajoremployerintheIrisheconomy,employingmorethan15,000people.TotalfinancialassetsofIrishinsurancecorporationsincreasedby€14billionto€304billionoverthetwoyearstoSeptember2018. TheIrishcross-borderinsurancesectorwritesbusinessintomorethan100countrieswithmorethan25millioncustomers.
ReinsuranceThereinsurancesectorinIrelandisaninternationallyfocusedbusiness-to-businesssector.Irishreinsurancefirmsgenerated€17.7billioninpremiumincomein2017,almostallofwhichwasearnedabroad.
FintechFintechisanumbrellatermfor technologyforthefinancial servicessector;itincludesfinancialsoftware,‘regtech’,‘insurtech’,andpayments.Thecountryisnowrecognisedasaglobalhubforfintechandisoneofaveryfewlocationswithaprovenrecordofaccomplishmentinthefinancialservicesandtechnologyarena.Allofthetop10globalsoftwarecompaniesandthetop10‘born-on-the-Internet’companieshavechosentolocateinIreland.
PaymentsIrelandisasignificantlocationforpaymentstechnologyfirms,with25companiesemploying2,000people.Irelandhasalongrecordofsuccessinpayments,bothwithindigenousfirmsandfromattractingsomeoftheworld’slargestpaymentbusinessestoIreland.
Aviation financing AircraftleasingcompaniesinIrelandmanageassetsvaluedatover€159billion,whichisequivalentto63percentoftheworld’sfleetofleasedaircraft.Theindustryemploysnearly5,000peopleinIreland.Thenumberofaircraftunderleaseincreasedby36percentbetween2012and2016,andindustrygrowthof22percentisexpectedby2021.
Environmental, social and governance (ESG) fund management ThegrowthofESGinvestmentissteadilyincreasingandIrelandalreadyhasaclusterofrenewableenergyinfrastructurefundmanagerswith€7billionofassetsundermanagement.TheseincludeBlackRock,BrookfieldRenewable,GreencoatRenewables,NTR,InframEnergy,andMainstreamRenewableCapital.
Global business services Globalbusinessservices(GBS)companiesprovidefunctionssuchasIT,legalservices,HR,finance,andprocurement,amongothers,tootherfirms.GBScentresareamajoremployerinIrelandwithapproximately45,000workinginavarietyofrolesindifferentsectorsthroughouttheregions.ForIFS,thesecanincluderolesinareassuchasR&D,ITdevelopment,legalservices,accounting,andfinancialfunctions.IDAIrelandhasastrategythataimstomakeIreland‘globallyrecognisedasacentreofexcellenceforGBS,leadinginspecialisedtalentandinnovativebusinessservices’.Italsoaimstoexpandhigher-valueareassuchasAI,automation,androbotics.
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Global reachThe global economy continues to expand, although in January 2019 the IMF noted that this expansion is weakening. This continued growth offers opportunities for Ireland, while the challenges create a need for Ireland’s IFS sector to diversify its presence across the world’s regions.
FirmsintheIFSsectorhavebeenverysuccessfulintappingintonewandemergingareasofinternationalfinancialservicesandsecuringnewmarkets,whichhashelpedthemdeveloptheirbusinessesandcreateextraemployment.Inmanycases,theyareassistedbyEnterpriseIreland(EI),whichworkswithIrish-ownedfinancialservicesandfintechcompaniesatallstagesofdevelopment–fromstart-upstolargebusinesses–thatdemonstratetheambitiontoscaleinworldmarkets.TheIrishfirmsareexportingproductsandservicestodiversifiedmarketswhichhighlightstheextentofourglobalreach.EIreportsthatapproximately30percentoftotalclientcompanyexportsinfintechgototheUK,30percenttotheAmericas,andmorethan17percentgototheAsia–Pacificregion.However,thelocationanddistributionofthegrowthintheglobaleconomy,andtheeconomicpowerandinfluencethataccompanyit,areshiftingwiththerebalancingofgeopoliticalandeconomicpowertowardsAsia.
Asiaisaregionofgreatdiversity,fromtheestablishedandadvancedeconomyofJapantotheemergingeconomicandgeopoliticalstrengthsofChinaandIndia.TheOECDprojectsthatby2030ChinaandIndiatogetherwillaccountfor35percentofglobalgrossdomesticproduct(GDP),whileOECDcountries’sharewillfallbymorethan10percent.
VariousgovernmentstrategiesrecognisetheimportanceofAsiaasaregionfortradewithIreland,includingGlobal Ireland: Ireland’s Global Footprint to 2025andtheforthcomingAsia–Pacificstrategy.ThestrategicimportanceofAsiaappliestoIrelandgenerally,butalsototheIFSsector.Ireland’sconnectivitywithChinaandtheentireAsianregionhasfurtherdeepenedwiththeestablishmenthereofseveralChinesefinancialservicesinstitutions,withIreland’smembershipoftheAsianInfrastructuralInvestmentBank,andwiththeintroductionofdirectairlinksfromDublintoHongKong(viaCathayPacific)andtoBeijingandShenzhen(viaHainanAirlines).
InDecember2016,thePeople’sBankofChinaandtheCentralBankofIrelandconfirmedthatIrelandhadbeengrantedanRenminbiQualifiedForeignInstitutionalInvestor(RQFII)quotaof50billionyuan(€6.8billion),makingIrelandthe17thjurisdictionoutsideChinatobeawardedaquota.ThisallowsIrish-domiciledfinancialinstitutionstoinvestinChina’sdomesticbondandequitymarketsusingChina’sowncurrency,andfirmshavebeguntakingupthisquota.
ThisstrategyandtheactionplansdevelopedunderitwillconsiderfurtherhowtodeepenandexpanditspresenceinChina,IndiaandacrossSouthEastAsia.
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A pro-business environment Irelandcontinuestohaveaverycompetitiveofferingasaplacetodobusiness.ItwasthesecondbesteurozonecountryintheForbes Best Countries for Business2018ranking,andplaced11thintheworldoverall.TheInternationalInstituteforManagementDevelopmentranksIreland12thintheworld,seventhinEurope,andthirdintheeurozoneforoverallcompetitiveness.Thisisanimprovementfromour
previousworldrankingsof24thin2011and15thin2014.Irelandisranked10thintheGlobal Innovation Index 2018rankings,andfourthinknowledgeandtechnologyoutputsandforinfrastructure.
Cultureconcernsvaluesandethics;itisanintangiblequalitybutaveryimportantconsiderationforassessingcompetitiveness12.SomeofIreland’sadvantagesintermsofitsvaluesandcultureincludeabusiness-friendlyenvironment,itseducatedworkforce,andthatitisEnglish-speaking.Ouroveralloffering–althoughnotwithoutpressures–continuestoratehighlyinaverydynamicandanincreasinglycompetitiveinternationalenvironment.
1 AccordingtoBeateReszat,‘Globalisationhasledtoanincreasingcompetitionbetweenfinancialcentresworldwideandculturehasbecomeonedeterminantofcompetitiveness’.BReszat(2000)‘Cultureandfinanceinaglobalisedworld–Anuneasyrelation’,Hamburg Institute of International Economics HWWA Discussion Papers,No.101.
A well-regulated financial sector, with an independent regulator that has an international reputation for delivering high quality, effective financial regulation and supervision
Effective engagement between public and private stakeholders
A business-friendly environment
A prominent reputation in product and technological developments
English speaking
A well-educated workforce, supported by colleges and third-level institutions with good international reputations
Competitive costs and pricing
15 Ireland for Finance
IFS in Ireland – looking forwardThisstrategyhighlightsthegovernment’scommitmenttodevelopingIreland’sIFSsector.Thiscommitmenthasbeeninplaceforoverthreedecades,sincetheInternationalFinancialServicesCentrewasestablishedin1987.Thesectorhasprovenresilientovermultipleeconomiccyclesandtochangesininternationalregulatoryframeworks.
TheIrishgovernancemodelcombinesstability,apartnershipapproach,andappropriateflexibility,whichallowsustorespondtorapidlychangingglobaldynamicsandtoemergingchallengesandopportunities.
Profoundchangesthatcontinuetoaffectthesectorincluderestructuringtriggeredbytheglobalfinancialcrisis,regulatoryandtechnologicalchanges,climaterisk,macroeconomictrends,andgeopoliticaldevelopments.
Globally,theIFSindustryisbecomingincreasinglycostsensitive,technologicallyenabled,heavilyregulated,andselectiveofbothproductandgeographicalfocus.Theindustryisineffectrunningaquasi-permanentoptimisationagendainwhichitcontinuallyseeksefficienciesincapital,product,process,andlocation.InIreland,theindustryhasgrown,becomemoretechnology-intensive,addedmoreregulatedfront-officeactivity,createdastrongfintechecosystem,becomeanemerginghubforsustainablefinance,andstrengtheneditsproductandserviceoffering.Thesectorisrelativelylabourintensive(especiallyinback-officefunctions),andhasasignificantmultipliereffectthroughitsextensiveuseoflegal,audit,accounting,software,andotherprofessionalservicesfirms.
AIandautomationcouldreduceemploymentinthesector,especiallyinback-officefunctions.Oneoftheaimsofthisstrategyistoavoidaconcentrationofbusinessactivitiesthatcouldbevulnerabletothateffect.Thiswillbecoupledwitheffortstosecureactivitiesthatarehigherupthevaluechain.DevelopmentsinAIandautomationwillneedfurtheranalysisonanongoingbasistoensurethatIrelandcanreacttoemergingchallengesandopportunities.ThisanalysiswillbeinformedbytheworkoftheEU,IMF,WorldBank,andOECD,andbyindustry.ItwillalsoneedtoidentifywhichtypesofworkandwhichIFSsectorsfacethegreatestthreatsfromAIandautomationandhowthesecanbestbeaddressed.Ontheotherhand,developmentsintechnologycanalsohaveapositiveimpactonIFSinIreland.Itprovidesopportunitiestostreamlinebusinessprocesses,reducecosts,andimprovethelevelofskillsavailable. Thelevelofexpertiseandlinkagesinfinancialservices
andtechnologyinIreland,togetherwiththehighlevelsofeducationandskilledworkersintheeconomy,meanthatIrelandiswellplacedtocounterthesechallengesandmaximisetheopportunitiesthatemerge.Thisstrategysupportsthestructuresalreadyinplace,andpromotesnewactionstoensurethatIrelandhasacoordinatedresponsetothesechallenges.
ItisclearthatmanycurrentIFSjobscouldundergosignificantlevelsofchangeinthenextfivetotenyears.Forsomesubsectors,jobsinthefuturewillbeverydifferentfromtoday’sandthereisthepotentialfortheretobefeweroftheminsomeareasofthesector.Conversely,newjobsarelikelytobecreatedinnewareasofactivity,someofwhichareintheveryearlystagesofdevelopment.Irelandwillneedtofuture-proofexistingemploymentandbusinessactivitiesbyidentifyingvulnerableareasandworkingwithcompaniestodevelopmechanismstoassisttheiradaptation.Asworkersmovebetweenoccupationsandsectors,therewillneedtobeagreaterfocusonreskillingandupskillingthosealreadyinwork,onimprovinglifelonglearning,andonensuringgraduatesareequippedwiththeskillstocontributeinthehigh-techeconomyofthefuture.Wemustprepareourselvesforchangeandensureoureconomyiswellpositionedtoadapt.AtanationallevelinMarch2019,thegovernmentlaunchedFuture Jobs Ireland 2019: Preparing Now for Tomorrow’s Economy,awhole-of-governmentframeworktoenhanceproductivity,ensurequalityandsustainablejobs,andbuildaresilientandinnovativeeconomy.Itwillensurewearewellpositionedtoadapttothetechnologicalandotherchangesthatoureconomyandsocietywillfaceintheyearsahead.Thiswillinvolveworkingwiththeeducationsector,EnterpriseIrelandandtheIDA.
ThequestionofhowIrelandcanbetterpositionitselftowinagreatershareofbusinessfromtheAsia–Pacificregionwillalsoneedfurtherconsideration.Irelandhasmadeprogressinrecentyears,suchasensuringthatChineseRQFIIquotasareavailabletoIrishfundsandthatIreland’sattractivenessasafundsdomicileiscleartoChineseassetmanagers.IrelandoffersChinaanidealrouteforaccesstoglobalcapitalmarkets,andhowwecanharnessthatopportunitywillbeconsideredoverthelifeofthestrategy.
Thisstrategyprovidesanannualopportunitythroughtheactionplanstoidentifyandimplementactionsthatmaybecomenecessarybecauseofdevelopmentsinthewiderecosystem.
16
Vision and key objectives Overall, many aspects of the IFS industry are working well through the ambition, hard work and dedication of the people working in it and in the public sector. In this context, this strategy is about positioning now for the future, and about harnessing the industry’s potential to deliver sustainable economic development and employment for the benefit of all our citizens.
The vision of this strategy is for Ireland to be a top-tier location of choice for specialist international financial services and to enhance and protect our future competitiveness. Therefore, our key objectives are to leverage the success achieved to date to maintain and extend existing business lines and to expand into emerging geographical markets and new product areas.
Employment targetsTheemploymenttargetforthisstrategyistoreach50,000peopleindirectemploymentinthesectorby2025.Thisrepresentsanetincreaseofaround5,000overthetargetsetoutinIFS2020.IFSinIrelandremainsvibrant,withastrongcapacitytoattractnewbusinessandjobs,asdemonstratedbytheachievementsrecordedoverrecentyears.However,thesectorfacesmajortransformativechallengesarisingfromtechnologicaldevelopmentsthatareincreasinginpaceandscopewitharelatedpotentialforimpactonexistingactivities.InIreland,asinothercountries,thesetechnologicaldevelopmentsmaysignificantlychangethenatureofworkandtheeconomy.WhilesomeaspectsofIFSarewellsuitedtoautomationintermsofservicedeliveryimprovement,theExpertGrouponFutureSkillsNeedsfoundthatfinancialservices
wasoneoftwosectorsintheIrisheconomywhichisnotexpectedtobeemployingmorepeoplein2023thanin2018.Thepotentialimpactfromtechnologicaldevelopmentsoninternationalfinancialservicesislikelytobemorepronouncedthaninothersectorsoftheeconomybecausethisareaoperatesinaglobalenvironmentthathasalreadybeenfundamentallychangedbytechnology.
Althoughthestrategytargetsoveralljobgrowth,italsoaimstoensurethatthejobslocatedinIrelandwillbehighquality,wellpaidand‘sticky’(thatis,lesslikelytobeoutsourcedoreasilytransferrable).Technologicaldevelopmentswillsignificantlyimpactinternationalfinancialservicesandemploymentinthesectorbutthestrategyseekstoensurethatthejobsoverthenextfiveyearswillbejobswithaninherenthighervalue:oneswith
17 Ireland for Finance
improvedskilllevels,greatersalaries,moreresilienttoshocks,andmorespin-offpotentialfortherestoftheeconomy.Highervaluejobsarealsolesslikelytobeaffectedbyincreasedlevelsofautomationinthesector.
Inoverallterms,thestrategyiscognisantoftheever-evolvingimpactoftechnologyandautomation,andpotentialimpactonemployment.Theannualactionplanswillreviewandevaluatetheimpactsoftechnologyontheindustrytoensurethatthestrategyremainsrelevantandup-to-dateinidentifyingandaddressingemergingchallengesandopportunitiesforemployment.
Progress indicators Thisstrategywillbeassessedfirstbyitsprogresstowardsachievingthetargetof50,000peopleemployedinthesectorby2025.However,thisisjustonemeasureofsuccess,andinordertogiveafullpictureofthedevelopmentandgrowthoftheindustry,anumberofsuccessindicatorshavebeenselectedwhichwillbereportedonperiodically.
ThesuccessindicatorsareasuiteofmeasuresthatwillreflecttheoverallgrowthanddevelopmentofthesectorincludingarangeoftrendssuchasIFSemployment,regionalgrowth,newandspecialisedsubsectors,high-levelpoststhatwillreflectamoveupthevaluechain,thebreadthofskillsandsubsectors,andthedepthofspecialisedfinancialservicesavailableinIreland.
Otherindicatorstobereportedonfromtimetotimeincludethenumberofcompaniesineachsector,includingthenumberofmarketleaders,thenumberofnewinvestmentsorexpansionsannounced,andtheshareofaspecificproductorgeographicalmarket.
International rankingsManyfirmslookingatestablishingapresenceinIrelandconsiderthecountry’spositioncomparedwithotherjurisdictionsonarangeofmeasures.SuccessindicatorsinthisareaincludepresenceinselectedforeignmarketsandIreland’srankingingloballyrecognisedrankingindices.Therefore,anincreasinglyimportantmetricwillbeIreland’srankingsasafinancialservicescentreataglobalandEUlevel,anditsoverallcompetitiveoffering,suchasratingsbyForbesandtheNewYorkStockExchange.Wealsoaimtoincreaseourperformanceinanumberofspecialisedindicesforsustainablefinanceandfintech,suchastheGlobal Fintech Hub Report(whichranksDublinonanumberoffintechmetrics).OtherindicesincludeIreland’srankingsincompetitiveness,easeofdoingbusiness,innovationandproductivityasmeasuredbyrecognisedinternationalorganisationssuchastheOECD,theIMF,etc.
Irelandhaswithinitsgrasptheopportunitytobeaworldleaderby2025asalocationforfinancialservicesandasasourceoftechnologyandinnovation-ledsolutions.ItwillbeacountrythatsucceedsinembracinganddrivingpositivedisruptioninfinancialservicesandinmaintainingaregulatorysystemthatprotectsandservesIreland’sinterests.
Withthispotentialinmind,anothertargetforthestrategywillbetoensurethatIrelandremainsalocationofchoiceforinternationalfinancialservicesinthefaceofgrowingcompetitionfromotherjurisdictionsandthechallengeposedbytechnologicaldevelopments.Overthelifeofthestrategy,Irelandwillseektobeamongstthetop-ratedfinancialcentres.Thiswillbemeasuredbyreferencetorankingsofinternationalfinancialcentresandrankingsforparticularsectorswithfinancialservices,andakeymetricwillbeforIrelandtofurtherimproveitsrelativerankingamongstEuropeancentres.
18
Four pillarsTheimplementationofthisstrategy’sobjectivesisstructuredaroundfourpillars.ThesearedesignedtomaintainexistingachievementswhileenablinggrowthacrossallsectorsinIFS.Actionmeasuresundereachofthesepillarswillbesetoutinannualactionplans.
Top Tier Location of Choice for Specialist IFS
Annual Action Plans
Public – Private Collaboration
Operating Environment
Technology& Innovation
Talent Communications& Promotion
Pillar1
Pillar4
Pillar2
Pillar3
Pillar1,Operating Environment,isfocusedonensuringthepolicy,cultureandlegislative conditionsunderpinningIFSwillsupportgrowth.
Pillar2,Technology and Innovation,isfocusedonprovidingacollaborativeapproachtoaddressingemergingchallengesandopportunitiesintechnologicaldevelopments.
Pillar3,Talent,seekstoensurethatwecontinue tohaveskilledpeopletomeetthedemandsofthe IFSsector,includingmeetingneedsfornewand changingskills.
Pillar4,Communications and Promotion,isfocusedonensuringthatIreland’sIFSofferingiscommunicatedtoallthosewhoareormaybeattractedtoininvestinginIreland.
19 Ireland for Finance
Horizontal prioritiesThree horizontal priorities will apply across the four pillars: regionalisation, sustainable finance, and diversity.
RegionalisationRegionalenterprisegrowthandjobcreationisakeyelementofnationalpolicy,asarticulatedinProject Ireland 2040: National Planning Framework,in Future Jobs Ireland 2019: Preparing Now for Tomorrow’s Economy, in Enterprise 2025: Ireland’s National Enterprise Policy 2015–2025,andinthe Regional Enterprise Plans to 2020.ThisstrategyforIFSreflectsthatnationalpriority.EstablishingaregionalpresenceoutsideDublinprovidesthepotentialforbenefitssuchasreducedcostsforIFScompaniesandsupportstheregionstorealisetheirfulleconomicpotential.Italsoenablesbusinessestodrawonregionallabourpoolsandwell-renownedthird-levelinstitutionsthatworksuccessfullywithIFScompanies.
HousingandinfrastructuremaybetwoconstraintssometimesassociatedwithDublin.However,Dublinisnotaloneinthisandthesearecommonchallengesexperiencedbymanyinternationalcitiesandfinancialcentres.ThegovernmenthasrecognisedthesupplyconstraintsinDublinandisimplementinganumberofactionstotacklethisthroughRebuilding Ireland and its Action Plan for Housing and Homelessness.Demonstrableprogressisbeingmadeinincreasinghousingsupplywith21,450newhomesbecoming
availablenationallyin2018.RegionallocationsofferarealalternativetolocatinginDublinbothasaviableprimarysiteandasaviablesecondsitetoasiteinDublin.
DiversityWorkforcediversityisimportantforfinancialservicesfirms.TheCentralBankofIrelandhashighlightedresearchwhichshowsthathavingdiverseteamscanimprovethequalityofdecision-making,reducegroupthink,andallowassumptionstobechallengedmoreeffectively.Heterogeneousteamsare,onaverage,betterthanhomogeneousteamsforcreativelysolvingcomplexproblems.Theyincreasethenumberofperspectives,providebetterunderstandingofcustomerneeds,andadoptflexiblemanagementapproaches.Inadiverseandinclusiveworkplace,thereisgreaterpotentialforinternalcrowdsourcingofideas,innovation,challengingofideas,andrefiningideasinrealtime.
Sustainable financeSustainablefinanceisthecapitalrequiredtotackleclimatechange.Sustainablefinanceincludesgreenbonds,ESGandsociallyresponsibleinvesting(SRI)investments,sustainableinfrastructuralinvestments,climatefinance,andperformancebonds.EUdevelopmentsonsustainablefinancerepresentasignificantopportunityforIrelandtobeinthevanguardofthisgrowingarea.
Todate,Irelandhasdonesignificantworkinthissectorwithsomenotableachievements.Irelandissueditsfirstsovereigngreenbondinlate2018,
SUSTAINABLEFINANCE POSITION
IRELAND'S
HALF OF ASSET MANAGERS
2019€31bn
IN SUSTAINABLE FINANCE
ACTIVITIES UNDERWAY
€500m CLIMATE ACTION
FUND ESTABLISHED
1ST
COUNTRY IN THE WORLD
TO DIVEST FROM FOSSIL FUELS 2018
2MEMBERS OF THE TEG
ARE BASED IN DUBLIN
50% ARE INVESTING IN
SUSTAINABILITY-THEMED
ACTIVITIES TO FIGHT
CLIMATE CHANGE
81% HAVE A RESPONSIBLE
INVESTMENT POLICY
IN PLACE
DEEP DIVE ANALYSIS
ON EDUCATION
AND SKILLS
HAVE PUT SUSTAINABILITY-THEMED STRATEGY IN PLACE
RESPONSIBLE INVESTOR EDITOR IN CHIEF SAYS IRELAND IS “IN IT TO WIN IT”
(If there is a race to become a green finance hub, Ireland is very much in it to win it.)
UNITED NATION'S ENVIRONMENT FC4S EUROPEAN NODE IS BASED IN IRELAND
€22bn CLIMATE ACTION
INFRASTRUCTURE
INVESTMENT PROGRAMME
UNDERWAY
€3bn STATE BACKED GREEN
BOND ISSUED 2018
sustainablenation.ie @SusNatIrl
NATIONAL
BLUEPRINT ON
SUSTAINABLE
FINANCE 2019
IN THE HEADLINES
IRELAND IS THE HQ
FOR THE UN ENVIRONMENT
FC4S EUROPE INITIATIVE
Source:SustainableNationIreland
20
showingitscommitmenttodevelopingthissector.Inaddition,investmentinESGfundsissteadilyincreasing.Irelandwillalsobecomethefirstcountryintheworldtodivestpublicmoneyfromfossilfuelcompaniesandindustry–some€318million–followingthepassingoftheFossilFuelDivestment Billin2018.
Irelandhasanumberofworldleadersinsustainablefinanceinvestments,andincreasinglyinassetmanagementcompanies,insurancecompaniesandpensionfunds.TheimportanceofDublinasalocationforsustainablefinanceissignalledbyDublin’sinvolvementinFC4S(theInternationalNetworkofFinancialCentresforSustainability),thecity’sselectionasitsEuropeanbase,andappointmentsatstrategiclevelsinthisareatothenetwork.
Actionmeasurestosupporttheseandotherprioritieswillbesetoutintheannualactionplansundertherelevantpillar,e.g.educationcoursesinsustainablefinance.
Other government strategiesAnimportantfactorforthisstrategyistoensurethatitcloselyalignswithotherkeyGovernmentstrategiesincludingFuture Jobs Ireland 2019,theNational Development Plan,theNational Digital StrategyandtheNational Adaption Framework.
Whilstthisstrategycannot,anddoesnot,dealwithinfrastructure,itwillbeimportanttofullyarticulateimportantconsiderationsforgrowinganddevelopingIreland’sIFSsector,toalignthemwiththeclimateagenda,andtotakeintoaccountanyotherrelevantgovernmentstrategiesandplansdealingwithinfrastructure.Officeaccommodation,housing,urbantransport,internationalairconnectivity,andthereliableprovisionofinfrastructuretosuccessfullyunderpintechnology-basedservicesareimportant.Infrastructureinareassuchaswater,cleanenergy,healthcareandeducationarealsoimportant.
Project Ireland 2040,nowbeingimplemented,providesformassiveincreasesininvestmentinourpublicinfrastructureincludinghousing,transport,broadband,education,andhealthcare.Aninvestmentof€116billionovertenyearsaimstoremovebottlenecks,modernisepublicservices,reducecongestion,andtoensureeconomicdevelopmentisbroughttoallpartsofourcountry,withcapacityforfuturegrowth.Capitalspendingoninfrastructureisbudgetedtoincreaseby28percentin2019.
TheEuropeanCommissionnegotiatesfree-tradeagreementsonbehalfofEuropeanUnionMember
States.Theseagreementsprovidesignificantopportunitiestoliberalisemarketsandincreasemarketaccesswithkeytradepartners,intermsofbothexportopportunitiesforIrish-basedfinancialservicescompaniesandFDIintoIreland.ItwillbeimportantthatIrelandcontinuestoeffectivelyarticulateitsinterestsandprioritiesregardingfinancialserviceschaptersinfuturefreetradeagreements,includingthroughcollaborationwithlike-mindedMemberStates.Itwillbeessentialthatrelevantagenciesanddepartmentscontinuetocollaborateeffectivelytoensurethishappens.
Governance structuresTheIFSstrategyisawhole-of-governmentstrategy,supportedthroughcollaborationbetweenpublicandprivatestakeholders.StructureswereputinplaceunderIFS2020toensurethetalentsandexpertiseofbothsectorscouldbeharnessed,reflectingthethemeofcollaborationwhichpermeatesthisstrategy.
Thegovernanceofthisstrategyprovidesfortransparentoversightofprogress.ItsimplementationwillbeledbyadedicatedMinisterofStateattheDepartmentofFinance.Thisallowsafocusedapproachtothesector’sdevelopmentwithconsiderablepoliticalcommitmenttoIFSasasignificantcontributortoIreland’seconomicgrowth.
AdedicatedteamintheDepartmentofFinanceactsasthesecretariatforthestrategyandsupportstheMinisterofState.Thisteamprovidesoversightandcoordinationoftheworkofthepublicandprivatesectorsinimplementingthestrategy.Theteam,withindustryinput,alsogeneratesannualactionplansandreportsonprogressduringthelifeofthestrategy.Thiswillrequireadequateresourcing.TheresourcingofthisareaisimportantandwillbeconsideredinthecontextoftheimplementationofthisstrategyandtheexpansionoftheIFSsectorinIreland.
TheMinisterofStatechairsthepublicsectorHighLevelImplementationCommittee(HLIC),whichconsistsoftheseniorofficialsoftheDepartmentsoftheTaoiseach,ofFinance,ofBusiness,EnterpriseandInnovation,ofEducationandSkills,andofForeignAffairsandTrade,andtheCEOsofEnterpriseIrelandandtheIDA.TheHLICprovidesstrategicleadershiptocontinuethedevelopmentofthesectorandensurescoordinated,timelyandeffectiveimplementationofthestrategy.TheHLICwillreporttogovernmenteverysixmonthsonprogressoftheannualactionplans.
TheIndustryAdvisoryCommittee(IAC)consistsof
21 Ireland for Finance
representativesofIrishandinternationalIFScompanies.TheIACsupportstheHLICinimplementingthestrategyandinmonitoringandreportingonprogress.Inparticular,itwilladviseonemergingopportunitiesandenablersofgrowthinthesector,andonchallengesandbarriers.Thiscommitteewillstrivetocontinuetoachieve50:50genderdiversitytoreflectthefocusofthehorizontalthemeofdiversity.
TheIACforthepreviousstrategy,IFS2020,includedoneinternationalmemberwhobroughtanoutsideperspectiveontheopportunitiesandchallengesforIreland’sIFSsector.Forthisstrategy,apanelofinternationaladvisorswillbeestablished.ItsmembershipwillbedrawnfromthevarioussubsectorsofIFSandwillincludeSMEsaswellaslargercompanies,ensuringafairreflectionofgeographicalspreadanddiversity.TheHLICandIACwillmeetquarterlyastheJointCommitteetoensureregularupdatesareavailableandtoensurehorizonscanningfordevelopmentsorchallengesisundertaken.TheJointCommittee’sworkwillincluderegularfocusedpresentationsbymembersandrelevantexternalbodiesontopicssuchasemergingchallengesandopportunitiesthatfocusonkeyareassuchasregionalisationandskillsdevelopment.
Flexibility,transparency,andaccountabilityarekeystandardsinthegovernanceofthestrategy.Flexibilityinparticularisensuredthroughthepreparationofannualactionplansandquarterlymeetingsofthecommittees,whichallowsemergingchallengesandopportunitiestobeidentifiedandconsidered,andtimelystepsdeterminedtorespondtothem.AccountabilityandtransparencyareensuredthroughthechairingofthecommitteeseveryquarterbytheMinisterofState,throughreportingonprogresstothegovernmenteverysixmonths,andthroughthepublicationoftheminutesofthecommitteesandtheprogressreports.
A coherent approachThisdeliveryofthisstrategyisgroundedineffectivecollaborationbetweenthepublicandprivatesectors,drawingonthestrengthsthateachcanofferandrespectingtheirdifferentrolesintheeconomyandIrishsociety.Thefourpillars–operatingenvironment,technologyandinnovation,talent,andcommunicationsandpromotion–arethecorestructurethatwillensureastrategicfocusonthekeyissuesthatneedtobeaddressedtofurtherdeveloptheIFSsectoroverthelifeofthestrategy.Ineachyear,thepillarswillbebuiltuponwithannualactionplanswhichwillidentifyspecificactionsacrossthefourpillarsandwhichrespondtoemergingdevelopments.TheoverallobjectiveistomakeIrelandatop-tierlocationofchoiceforspecialistinternationalfinancialservices.
Minister of State
Joint Committee
High Level Implementation
Committee
IndustryAdvisory
Committee
22
Top Tier Location of Choice for Specialist IFS
Annual Action Plans
Public – Private Collaboration
Operating Environment
Technology& Innovation
Talent Communications& Promotion
Pillar1
Pillar4
Pillar2
Pillar3
23 Ireland for Finance
24
25 Ireland for Finance
Pillar 1: Operating Environment
IntroductionPillar 1 deals with the key enablers necessary to ensure that Ireland has an effective and efficient operating environment. The operating environment is key to maintaining and growing existing products and markets, along with identifying and developing new areas. The main focus in this pillar is policy and legislation.
Strong and effective regulationAstrongandeffectiveregulatorisessentialtofinancialstabilityandtoinvestorandconsumerprotection.TheCentralBankofIrelandissucharegulator.
Itprovideshigh-quality,effectiveregulationandsupervision,andisfullyembeddedintheEuropeanSystemofFinancialSupervisionand–forbanks–theSingleSupervisoryMechanism(SSM).TheCentralBankofIrelanddischargesitsstatutorymandatethroughahigh-qualityregulatoryframework,effectivegatekeepingandassertivesupervision,underpinnedbyrobustenforcementsystems.Itiscommittedtoprovidinghigh-quality,timelyandtransparentprocessesinauthorisation,supervision,andpolicydevelopment.
TheCentral Bank of Ireland Strategic Plan 2019–2021 setsoutfivestrategicthemesthattheCentralBankofIrelandwillfocuson.Theseare:strengtheningresilience,Brexit,strengtheningconsumerprotection,engagingandinfluencing,andenhancingorganisationalcapability.
TheCentralBankofIrelandseekstouseitsinfluence,bothwithinEuropeandinternationally,toensureaconsistentandeffectiveapproachtofinancialregulation.
Financialstabilityandhighlevelsofinvestorandconsumerprotectionunderpinconfidenceandtrustinafinancialsystem.Theyalsoprovideacontextinwhichinnovationandcompetitionbeneficialtoconsumersoffinancialproductscantakeplace.In2018,theCentralBanklauncheditsInnovationHubtobetterfacilitatefirms’engagementwiththeCentralBankoninnovation.ThisengagementallowsfortheexistingintelligenceondevelopmentsinthefintechsectortobefurtherexpandedandprovidesopportunitiesfortheCentralBanktodeepenitsunderstandingofemergingtechnologiesbeforetheyenterthemainstream
SincetheUKvotedin2016toleavetheEU,therehasbeenanotableincreaseinthenumberoffirmsseekingauthorisationfromtheCentralBank.Thishasincludedanumberoffirmsinareasrelatedtocapitalmarketsandinvestmentbankingthatoperateanexpandedrangeofbusinessmodels.Inresponse,theCentralBankestablishedanewInvestmentBanksandBrokerDealersDivision.Moreover,anumberofthenewfirmswillfallwithinscopeofSSMsupervision.
TheCentralBankofIrelandiscommittedtohighlevelsoftransparencyandeffectiveengagementwithstakeholders,includingindustrystakeholders.
TheestablishmentofaCentralBankstakeholdergroupwillbeconsidered.Suchagroupcouldprovideformoreformalstructuredengagementonmarketandregulatorydevelopmentsandtrends.ResearchwillbeundertakentoidentifyinternationalbestpracticeandtodrawinsightsfromtheimplementationofvariousmodelsinotherEUMemberStatesforstructuresofengagementbetweencentralbanksandfinancialservicesstakeholders,andthisresearchwillbeanalysedtoidentifyhowthatmighttranslateintotheIrishsystem.
26
Industry representation of the sectorToreflecttherapidongoingexpansionoftheIrishfinancialservicessector,thesectoralrepresentativebodieshavecommittedtocontinuetoworktogethertohelpdeliveranecosystemthatfacilitatesthegrowthoftraditionalandemergingfinancialservicesproviders.ThiswillincludeacoordinatedEUapproachonissueswheretheyhavesharedadvocacyobjectivesandconsiderationofhowtoexpandandoptimisetheirinfluencewithinEurope.
Overview of sectors
Insurance InvestmentManagement
Banking Payments Start-ups Prop Traders
Fund/Servicing
Source:IDA
27 Ireland for Finance
Legal systemAreliableandefficientlegalsystemisessentialforanyjurisdiction’sdevelopmentofathriving,internationallycompetitivefinancialservicesindustry.TheIrishjudiciaryiswidelyregardedashavingarecordofintegrity,commercialawareness,fairness,andimpartiality.
TheCommercialCourtprovidesefficientandeffectivedisputeresolutionincasessuchasdisputesofacommercialnaturewherethevalueoftheclaimisatleast€1million.ItalsoprovideseffectiveresolutioninproceedingsconcerninganyfunctionoftheRegistrarundertheCapeTownConventionortheAircraftProtocoltotheConvention.TheIrishcourtsystem’sefficientprocesseswereoneofthekeystrengthshighlightedwhentheInternationalRegistryofMobileAssetsforprotectingandenforcinginternationalinterestsinaircraftchosetolocateinIreland.
InJuly2018,anIrishlawversionoftheInternationalSwapsandDerivativesAssociation’s(ISDA)industrystandardMasterAgreementwasintroduced.UsersofthisagreementcannowchooseIrishlawtogoverntheirderivativescontractsandusetheIrishcourtstodeterminerelateddisputes.ThisinitiativeformspartofISDA’sstrategytoprovideusersofitsdocumentationwiththetoolstheyneedtofuture-prooftheircontracts.
Finally,thereisajointinitiativeoftheBarofIrelandandtheLawSocietytopromoteIrelandasa‘LeadingCentreGloballyforInternationalLegalServices’.
LegislationMuchofthelegislationgoverningtheIFSsectoremanatesfromtheEU.IrelandneedstocontinuetoinfluenceEUpolicyandlegislationfromtheearlystageofdevelopment,wellbeforetheEuropeanCommissionpublishesproposals,bycontributingtotheconsultationprocess.ThisensuresthatanydraftlegislationrecognisesIreland’spolicyobjectives.AllrelevantgovernmentdepartmentsmustcarefullyexamineCommissionproposalstoassesstheimplicationsforIrelandatbothanoverallandasectorallevel.Whenneeded,andwhereitisappropriateandinlinewiththenationalposition,consultationwithindustryrepresentativesathomeandabroadshouldbeinitiatedearlyintheprocesssothatallaspectsoftheproposalsareunderstoodandanalysed.Thiswillrequireseriousandproactiveengagementbyindustryparticipantsattherelevantstagesandwithappropriatebodies.
Irelandwillalsocontinuetoexplorearrangementsfortheexchangeofstaffandexpertisebetweenthepublicandprivatesectorstoworkonparticularchallengesandopportunities.Inaddition,theCentralBankofIrelandsupportsstaffsecondmenttootherregulatoryandsupervisoryauthorities,includingEuropeaninstitutions.TheCentralBankalsosupportsreciprocalarrangementsforstafffromtheseinstitutionstoIreland.
WorkingcloselywitharangeofEUpartnershasalwaysbeenimportantforIrelandandwillremainapriority.However,strengtheninganddiversifyingourrelationshipswithintheEUhasassumedrenewedimportanceinlightofBrexit,giventhattheUKhasbeenaveryimportantallyonmany,thoughnotall,issuesrelatingtoIFS.BuildingnewallianceswillbeimportantinordertoinfluencethedebateatEUlevel.AconcreteexampleofeffortsonalliancebuildingandinfluencingEUpolicyisthejointpaperonCapitalMarketsUnion(CMU)thatIrelandputforwardinconjunctionwithDenmark,Estonia,Finland,Latvia,Lithuania,theNetherlands,andSweden.
WewillcontinuetoassessthepotentialimpactonIrelandandtherestoftheEUofproposalsintheEuropeanCommission’sAction Plan on Financing Sustainable GrowthanditsproposalsonaCapitalMarketsUnionandonaBankingUnion.
Financialserviceslegislationisconstantlybeingupdatedandamended,generallyonanannualbasis.ThisincludesthetranspositionofEUDirectivesandtheDepartmentofFinancedevelopinglegislationspecifictothefinancialservicesindustry,suchastheIrishCollectiveAsset-managementVehicleAct2015.ThisprovidesthelegislativeframeworkforanIrishbespokevehicleforinvestmentfunds.Theupdatingandamendingoflegislationmustcontinueonatimelybasisandinapragmaticmanner.Ingeneral,adoptinglegislationislengthyandcomplexbecauseofthetimeneededfordrafting,thevariouspolicyconsultations,assessments,andrefinementsasitpassesthroughtheOireachtas.Aspartofthisprocess,theIndustryAdvisoryCommitteewillbetaskedwithidentifyingandmakingsubmissionsonnationallegislativeprovisionsthattheyconsiderimportanttofurtherdeveloptheoperatingenvironment.Therefore,annualactionplansunderthestrategyshouldattempttoidentifypriorityareaswherelegislationmayberequired,andallrelevantgovernmentdepartmentsshouldworktoprogressthatlegislationthroughthevariousstagesifagreeabletothegovernment.
28
Pan-European Personal Pension Product (PEPP)In2017theCommissionpublishedaproposalforaPan-EuropeanPersonalPensionProduct(PEPP)intheformofadraftEURegulation.TheCommissionaimstolaythefoundationsforasafer,morecost-efficientandtransparentmarketinaffordableandvoluntarypersonalpensionsavingsthatcanbemanagedonapan-Europeanscale.ThisproposalwillultimatelyhelpworktowardsthegoalofaCapitalMarketsUnionbychannellingmoresavingstowardslong-terminvestmentsintheEU.ThePEPPisoneofmanyinitiativesunderwayatEUleveltounlockfundingthatcanflowfromEurope'ssaversintoproductiveinvestmentsacrossEurope.
Inearly2019,politicalagreementbetweentheEuropeanParliamentandMemberStateswasreachedonthePEPPRegulation.DepartmentofFinanceofficialswilltakethestepsneededtoimplementthelegislationinIreland,anditisestimatedthatPEPPsmaybeavailabletoconsumersfromlate2020.
Support for international taxation developmentsIrelandhasastrongpro-businessenvironment,aninclusiveandopeneconomyandastableandconsistent12.5percentrateofcorporationtax–oneofthemostcompetitiveandtransparentratesintheOECD.Despitevaryingeconomiccircumstancesandpressures,thestabilityofthisratehasbeenmaintainedoverthepastdecadeandthegovernmentremainscommittedtoretainingthisrate.Thisstabilityofthe12.5percentrategivesconsiderablecertaintytobusiness,whichisanimportantfactorwheninternationalfirmsdecidewheretolocate.
Irelandremainsfirmlycommittedtotheimportanceofhavingaconsensus-basedandstableinternationaltaxframework,agreedgloballyattheOECD.Ireland’sdeepengagementwiththeOECD’sBaseErosionandProfitShiftingProjectisanimportantpartoftheoperatingenvironmentforIFSfirms.Manyaspectsoftheexistingtaxregimearepro-businessandhelptheinitialdevelopmentoftheIFSsectorandcontinuetosupportitsongoinggrowth.Otherpoliciesaimedatpromotingthedevelopmentofindustryincludethefollowing:
· TheEmploymentandInvestmentIncentiveofferstaxrelieftoinvestorsinsmalltomedium-sizedcompaniesthathavepotentialforstronggrowth.
· TheStart-upRefundsforEntrepreneurs(SURE)taxreliefsupportsthosestartingnewbusinesses.
· TheStart-upCapitalInitiativebeginsin2019andwillprovideatailoredcapital-raisingincentivefornewmicro-enterprises.
· TheKeyEmployeeEngagementProgramme(KEEP)isafocusedshareoptionprogramme,intendedtohelpSMEsattractandretaintalentinahighlycompetitivelabourmarket.
· TheKnowledgeDevelopmentBox(KDB)isanintellectualpropertyrelieftoencouragecompaniestocarryouttheirsubstantiveactivitiesinIreland.
· TheResearchandDevelopment(R&D)taxcreditprovidesa25percenttaxcreditforallqualifyingR&Dexpendituretoencouragecompaniestoundertakehighvalue-addedR&DactivityinIreland,therebysupportingjobsandinvestmenthere.
· Taxrelieffornewstart-upcompanies(colloquiallyknownasthe‘Three-YearStart-UpRelief’)providesrelieffromcorporationtaxontradingincome(andcertaincapitalgains)fornewcompaniesinthefirstthreeyearsoftrading.
Irelandalsohasdoubletaxationagreementswith74countries,whichareimportantforallinternationallyfocusedbusinessesinIreland.Irelandwillcontinueseekingtomaintain,expandandenhancethistreatynetwork.
Support for small and medium-sized enterprisesTheDepartmentofBusiness,EnterpriseandInnovationnotesthatthereareover170supportsfrom27differentgovernmentdepartments,agenciesandinitiativesforIrishstart-upsandsmallbusinesses.Across-governmentalonlinetoolallowscompaniestodeterminewhichsupportstheymaybeeligibleforandprovidesinformationonlocalenterpriseofficesandonaccessingcredit.Thesearekeptunderreviewtoensuretheyremainrelevantandeffectiveandtheyareconstantlyevolving.Irishindustryisinvolvedinthisreview.
29 Ireland for Finance
Environment scanningTogrow,theIrishIFSsectormustremainflexibleandabletofacethechallengesthatarelikelytoemerge.Thismeansthatbothindustryandthepublicsectorwillneedtoenhancetheirapproachtoenvironmentscanning,toidentifyandmitigatepotentialchallengesandtorecogniseandexploitopportunities.Thisstrategyprovidesformoreengagementbetweenthepublicandprivatesectors.Thiswillincludeestablishingworkinggroupsofindustryandpublicsectorexpertstoscantheregulatory,legislativeandbusinessenvironmentinareaswhereIrelandhasdevelopedastrongreputation,andinemergingsectorssuchasfintech,payments,platform-basedactivities,andmaritimefinance(includingopportunitiesforashippingservicecentre).AnexistingexampleistheFinanceGreenIrelandCommittee,whichfocusesongreenandsustainablefinance.
Finance Green Ireland Committee (environment scanning activity)Theglobaltransitiontoalow-carboneconomicmodelisanopportunityforfinancialcentrestoplayaleadingroleinunlockingthecapitalrequiredtokeepglobalwarmingbelow2°CandtomeettargetsintheParisAgreementandtheUNSustainableDevelopmentGoals.Sustainablefinanceactivitieswillcontinuetoincreasewithchangingmarketforces,thespreadofpoliciesandinitiativesdesignedtoacceleratethetransition,technicaladvances,andotherinnovationsthatsupportnewproductdevelopmentinfinancialcentres.
TheFinanceGreenIrelandCommitteeprovidesexpertadviceonthegreenandsustainablefinanceagendaandaimstodriveawarenessofIreland’sworld-leadingsustainablefinancecredentials.ItpromotesIrelandasaleadingsustainablefinancehubandadvocatesforpolicyandregulatorycertaintytoallowlocalandglobalcapitaltocontributetoIreland’snationaldecarbonisationefforts.
Cape Town ConventionTheCapeTownConventiononInternationalInterestsinMobileEquipmentwasadoptedin2001andenteredintoforcein2016.Itcreatesauniforminternationallegalframeworktoprotectinvestorsinaircraft.
Aviation leasing and beyondAviationleasinghasexperiencedsignificantgrowthineconomicactivity,inthenumberofcompaniesandinemploymentlevelsunderIFS2020.Althoughthereissomeexpectationthatthesetrendsmaycontinue,thereareemergingchallengestothissectorespeciallyfromChinaandotherAsianlocations.AcombinedapproachbetweenindustryandgovernmentisrequiredtoensurethatongoinganalysisoftheemergingchallengesandopportunitiesisunderstoodsothatIrelandcancontinuetoholditspositionasaleadinglocationforaviationleasing.
Inaddition,considerationcanbegiventothedevelopmentofrelatedareaswhicharealsolargelycoveredbytheCapeTownConvention,whichledtotheinitialgrowthofaviationleasing.TheLuxembourgProtocoltotheConvention,onrailwayrollingstock,wasadoptedin2007andtheBerlinProtocol,onspaceassets,wasadoptedin2012.Onceinforce,theywillcreateasimilarlegalframeworktorecogniseandregulatethesecurityinterestsoflenders,lessorsandvendorsofrailwayrollingstockandspaceassets,whichshouldresultinanincreasedpoolofcapitalfinanceavailableforinvestment.Theimplicationsandbenefitsofratifyingtheseprotocolscouldbeexaminedoverthelifetimeofthestrategy,ifdeemedappropriate.
30
50+
5,000
MSc
€550m+leasing companies based in Ireland
contribution to the local economy
first European Masters in Aviation Finance
of the world’s leased aircraft are managed from Irelandlocal jobs
Not just a leader in Ireland but in Europe
Supporting60%
over
Double tax agreements74
40
Enviable legal and regulatory framework
Committed governmental support
Years of experience dating back to the foundation of GPA
Highly skilled workforce
Home to Aviareto – managers of the international registry of mobile assets
50+
5,000
MSc
€550m+leasing companies based in Ireland
contribution to the local economy
first European Masters in Aviation Finance
of the world’s leased aircraft are managed from Irelandlocal jobs
Not just a leader in Ireland but in Europe
Supporting60%
over
Double tax agreements74
40
Enviable legal and regulatory framework
Committed governmental support
Years of experience dating back to the foundation of GPA
Highly skilled workforce
Home to Aviareto – managers of the international registry of mobile assets
50+
5,000
MSc
€550m+leasing companies based in Ireland
contribution to the local economy
first European Masters in Aviation Finance
of the world’s leased aircraft are managed from Irelandlocal jobs
Not just a leader in Ireland but in Europe
Supporting60%
over
Double tax agreements74
40
Enviable legal and regulatory framework
Committed governmental support
Years of experience dating back to the foundation of GPA
Highly skilled workforce
Home to Aviareto – managers of the international registry of mobile assets
50+
5,000
MSc
€550m+leasing companies based in Ireland
contribution to the local economy
first European Masters in Aviation Finance
of the world’s leased aircraft are managed from Irelandlocal jobs
Not just a leader in Ireland but in Europe
Supporting60%
over
Double tax agreements74
40
Enviable legal and regulatory framework
Committed governmental support
Years of experience dating back to the foundation of GPA
Highly skilled workforce
Home to Aviareto – managers of the international registry of mobile assets
50+
5,000
MSc
€550m+leasing companies based in Ireland
contribution to the local economy
first European Masters in Aviation Finance
of the world’s leased aircraft are managed from Irelandlocal jobs
Not just a leader in Ireland but in Europe
Supporting60%
over
Double tax agreements74
40
Enviable legal and regulatory framework
Committed governmental support
Years of experience dating back to the foundation of GPA
Highly skilled workforce
Home to Aviareto – managers of the international registry of mobile assets
Why Ireland?
Ireland’s aircraft leasing industry at a glance
Source:AircraftLeasingIreland
31 Ireland for Finance
32
33 Ireland for Finance
Pillar 2: Technology & Innovation
IntroductionPerhaps more than the other pillars, technology and innovation underpin much of the possible advances in existing markets and into new markets, and underpin maintenance of what has already been achieved.
Thedigitalrevolutionhasthepotentialtobeoneofthegreatestdisruptorsinthefinancialservicessectorinthenextdecade.Toolssuchasblockchain,AI,andbigdatawilltransformthewayinwhichmanyfinancialservicessectorscurrentlyoperateanddeliverservicestocustomers.Althoughthiscouldbeperceivedasathreat,italsoprovidesopportunitiesforbetter,fasterandcheaperservicesforclientsandcustomers.TheIrishfinancialservicesindustrywillneedtoseizeopportunitiesthatemergefromthese,andother,financialinnovations.ThisstrategywillworktoprovidethestructuresneededforIrishcompaniestoexaminewaysinwhichtheycantakeadvantageoftheseopportunities.
Thepositivepotentialimpactoffintechonimprovedfinancialaccessinthedevelopingworldisasignificantbenefit.AccordingtotheWorldBank,digitalfinancecanleadtogreaterfinancialinclusion,expansionoffinancialservicestonon-financialsectors,andtheexpansionofbasicservicestoindividuals,sincenearly80percentofpeopleinthedevelopingworldalreadyownamobilephone(whereasonly63percenthaveaccesstoafinancialaccount).Ireland,asacentreforfintech,canplayakeyroleinthedevelopmentofnewservicesavailabletoconsumersglobally.
AsignificantanduniquestrengthofIrelandisthecombinationofthedeepdomainknowledgeinfinancialservices,ontheonehand,andtechnologycapabilities,ontheother.Thedivisionbetweenfinancialservicesandtechnologyisbecomingevermoreblurred,withfrequentcrossoverandsuccessfulcollaborationsbetweencompaniesineacharea.Thiscollaborationisacceleratingthedigitaltransformationofthefinancialservicesecosystem.
Technologicalchangesaffectexistingbusinessmodelsinthefinancialservicessector,leadingtogreaterlevelsofcollaborationacrosssectorsandbetweencompaniesofdifferentsizes.Start-upscontributeagilityandlargeincumbentsprovidetheabilityfortheuseofnewdevelopmentsatalargescale.TheEuropeanCommission’sFinTech Action Plan provides avaluableroadmapforIreland.Thisisparticularlyrelevantinareassuchasopenbanking,includingstandardisationofbankingapplicationprogramminginterfaces(APIs),engagementwiththeEUFintechLab,andregulatoryapproachestonewlydevelopingfinancialservices.
CollaborationCollaborationisasignificantthemeinthispillarbecauseclosercooperationbetweenincumbentsandnewcompaniesintheIrishfinancialservicessectorwillmaximisethesector’sgrowthpotentialoverthecomingdecade.Irelandmustbuildonitsexistingcompetitiveadvantageinthisarea,namelyastrongrecordofengagementacrossandbetweenmultinationals,start-ups,government,academia,andotherstakeholders.
Manyoftheworld’sleadingtechnologyfirmsinhardware,softwareandtheinternetemploythousandsofpeopleacrossIreland.Inthefuture,thereshouldbegreatercollaborationbetweenfintechfirms(andIFScompaniesingeneral)andtheseglobaltechnologygiants.Ineffect,thiscanbea‘digitalbridge’fromSiliconDockstotheInternationalFinancialServicesCentre.Thereshouldalsobecloserlinksbetweeninternationalfintechcompaniesandindigenoustechnologyfirms,buildingonsignificantgrowthinrecentyearsfollowingEnterpriseIreland’seffortstoexpandexportsandcountertheadverseaspectsofBrexit.
EnterpriseIrelandwillseektoworkcloselywithIDAIreland,representativebodies,andtheIFSindustrytocontinuedevelopingspecificactivitiesthatconnectfinancialservicesandfintechcompanies.Thiswillaimtodevelopcapabilities,createopportunitiesandgeneratesynergies,especiallywheretherearestrongprospects–forexample,openbanking.Thiscollaborationwillinvolvespecificactivitiesoncommercialopportunities(forexample,globalsourcing)andoninnovation(forexample,theDisruptiveTechnologiesInnovationFund)among
34
others.Anumberoffocusedeventswillbeincludedasspecificactionsintheannualactionplans.
TechnologycompaniesinIrelandareseenasveryattractiveemployersandareattheforefrontofdevelopingnewtechnology.Similarly,therearecareeropportunitiesintechnologyrolesatIFScompaniesandincutting-edgeprojectssuchastheKBCITandInnovationHub,Citi’sGlobalResearch,Development,InnovationandLearning(RDIL)centre,andDeloitte’sBlockchainLab.Providingopportunitiesforengineersandtechnologiststomovebetweensectorscancreateopportunitiesformoreinnovationandgrowth.EnterpriseIrelandseekstobroadenanddeepenongoingcollaborationbetweeninnovation-ledcompaniesandIFScompanies.
Closercollaborationbetweenfintechcompaniesandthird-levelinstitutionsandrelevanttechnologycentresincludingCeADAR(theCentreforAppliedDataAnalytics)willalsobecriticalinenablingaccesstoinnovationandR&D.Increasingtheselinksiskeytomovingtheseactivitiesandrelatedemploymentupthevaluechain.
Collaborationwithotherjurisdictionswillbecomeincreasinglyimportant.GivenIreland’sexpertiseinfintechanditssuccessasaglobalfinancialservicescentre,itsabilitytooperateasa‘fintechbridge’fromtheEUtolocationssuchasSingapore,HongKong,AbuDhabi,andpost-BrexitLondonwillbeassessedduringthelifeofthestrategyandusedtocreatefutureopportunities.
Additionally,thegovernment-supportedinitiativetoestablishaGrandCanalInnovationDistrict(GCID)willbeanimportantfeatureofthestrategy.AlthoughtheroadmapfortheGCIDisstilltobefinalised,itislikelytofacilitateincreasedcollaborationbetweenthefinancialservices,technology,digitalmedia,andeducationsectors,andprovideafocalpointforeducationandinnovationinfinancialservices.IDAIrelandwillconsultwithallrelevantpartiesinvolvedindevelopingtheGCIDandwillprepareareportonhowthedistrictcouldsupporttheIFSindustry’sfuturedevelopment.TheJointCommitteewillworkwiththeIDA,governmentdepartments,highereducationinstitutions,industry,andotherstakeholderstoidentifyactionsrelevanttotheGCIDthatmightbeincludedinIFSannualactionplansoverthelifeofthestrategy.
InnovationIrelandisrapidlydevelopingexpertiseinenablinginnovativetechnologies,whichcanallowexpansionintonewmarketsandgrowthinexistingmarkets.
Irelandalreadyhasmanyexcellentexamplesoflargemultinationalfinancialservicescompaniessuccessfullyengagingwithfintechinnovators.Thisincludesprovidingstart-upspaceandmentoring(suchasCiti’sAcceleratorHubandUlsterBank’ssupportforDogpatchLabs).TheextenttowhichfinancialservicescompanieswillconsiderIrelandforsimilaractivitieswillbeanimportantfactorinthesector’sgrowth.
Inaddition,growingnumbersofIFSfirmsarechoosingIrelandasalocationforresearchingnewfinancialtechnologies–theyincludeMetLife,FirstData,Citi,Infosys,Mastercard,Aon,Fidelity,Prudential,DeutscheBank,andUnitedHealthGroup.Toensurethiscontinues,itwillbevitaltoincreasetheuseofthegrowingnumberofinnovationhubs.Thiswillneedtheencouragementandsupportofkeystakeholders.Inthiscontext,IDAIrelandwillcontinuetotargetfinancialservicesandfintechinvestments,whilesimultaneouslysupportingtechnologydevelopmentactivitywithinitsexistingclientbase.Likewise,EnterpriseIrelandwillcontinuetosupportstart-upandscalingactivitiesinfintechandthebroaderfinancialservicessectorandtoassistcompaniesthatprovidesupporttofinancialservicesfirms.OtherstakeholderssuchastheCentralBank,theDepartmentofFinance,andindustrywillcontinuetoplayacrucialpartinshapingtheecosystemtosupportstart-ups,existingfinancialserviceproviders,fintechbusinesses,andglobaltechnologycompanies.
Inaddition,theCentralBankhasidentifiedthatitwillactontheemergingrisks,opportunitiesandchallengespresentedbyfinancialinnovationandtherapidlyevolvingtechnologicallandscapewithinwhichit,thefirmsandindividualsthatitsupervisesandregulatesoperate.TheCentralBankhasestablishedaninnovationhubwhichprovidesanaccessible,directpointofcontactforregulatedandunregulatedfintechfirmsandforotherincumbentsseekingtoinnovate.TheycanengagewiththeCentralBankonrelevantpartsoftheregulatoryregime,specificsupervisionrulesandpolicies,andonnavigatingIreland’ssupervisoryandregulatorylandscape.In2019,theCentralBankwillundertakeaninternalreviewoftheinnovationhubtoassessitseffectiveness,theresourcesrequiredandwhatpotentialenhancementsmaybeappropriate.
InthecontextoftheEuropeanCommission’sAction Plan: Financing Sustainable Growth,animportantareaofinnovationandsignificantgrowthforIFSinIrelandissustainablefinance–inparticular,theunderlying
35 Ireland for Finance
RESEARCH
CENTRES
GO
VE
RN
ME
NT
&
REG
ULA
TOR
S
INN
OVATIO
N LA
BS
TEC
HN
OLO
GY
FIR
MS
INDUSTRY BODIES
FINA
NCIA
L
FIRMS
INCUBATORS
ACAD
EMIA
FINTECH
SVC INVESTORS
Fintech and blockchain ecosystem in Ireland
Source:IDA
36
datainfrastructure,analytics,andfinancialproductdevelopment.ApplyingadvancesinmachinelearningandAItobothenvironmentalissuesandfinancialdatasetsopensupopportunitiesin:
· testing,andscalingdataandanalyticsinnovationsingreenAIandgreendatascienceactivities,
· evidence-basedsustainableinvestingandmodellingtheimpactsoftheUNSustainableDevelopmentGoals,and
· developinganti-greenwashingidentificationtoolsforinvestors.
Moreover,agrowingnumberoflargecompaniesaredevelopingnewproductstosupportthesustainablefinanceandthebroaderESGagendas.Thispresentsanopportunitytodevelopamechanismtoacceleratethedevelopmentofsuchsector-themedinnovations.Inbothrealisingopportunitiesandexploringtheestablishmentofasustainablefinanceinnovationcentreofexcellence,IrelandissupportedintheseeffortsbytheEUEITClimate-KnowledgeandInnovationCommunity(KIC),theworld’slargestclimateinnovationplatform.
FinTech FusionInSeptember2018,ScienceFoundationIrelandawardedtheADAPTResearchCentre€1.9minfundingforFinTechFusion,aresearchprogrammethatwillstrengthentheinternationalcompetitivenessoftheIrishfinancialservicesindustrythroughtheproductionofnewresultsfromcutting-edgefintechresearch,generatedbyateamofIreland’stopresearchersandtheirforward-lookingindustrycollaborators.Industrypartners,includingFidelityInvestments,DeutscheBörse,andZurich,willmatchtheinvestmentfromSFIwith€3m,creatinga€5mresearchprogramme.Thebreakthroughtechnologies,forgedfromacademicexpertiseandindustryexperience,willprovideIreland’sstart-upsandmultinationalswiththebasisforoptimised,cost-efficientandrisk-managedproductsthatwillimprovecompetitivenessandbuildconsumertrustthroughefficientandtransparentregulatorycompliance.
TheunionoffinancialresearchexpertisebroughtbyAcademicsfromtheUCDMichaelSmurfitGraduateBusinessSchoolandoftechnologyexpertisebroughtbytheADAPTResearchCentreinstitutionsworkingwiththeInsightCentresforDataAnalyticsandwithLero,theIrishsoftwareresearchcentre,createsaunique,highlyrelevantresearchinfrastructurethatwillacceleratethedigitaltransformationofthefinancialandinsuranceinstitutionsthatcollaborateintheprogramme.
FinTechFusionwillcreateimpactinanumberofwaysacrossthreepillarsofregtech,insuretechandpaytechbyconductingexcellentscientificinvestigation,publishingintop-rankedjournalsandpresentingstudiesatleadingconferencesworldwide.ItwillincreaseIreland’sR&Dcapacity,forgingnewsynergies,notonlybetweenuniversities,butalsobetweenacademiaandindustry,deliveringtoolsforincreasedcompetitivenessandacceleratedpayment,regulationandinsuranceprocedures.Researchinpaytechwillimprovepaymentprocessestoprovideabettercustomerexperiencewithseamlesstransactions.Regtechwillprovideenhancedregulatorycomplianceandreduceassociatedcosts.Insuretechwillintroducemethodstodetectfraudandanalyselivingbehaviours,therebyinformingthedevelopmentofinsurancepoliciesinthefuture.
FinTechFusionwillbeattheforefrontofcreatinghighlyinnovativefinancialbusinessservicesmodelsandproducts.Atthecentreoftheseresearchthemeswillbeafocusonproducinghigh-quality,publishedscience.Throughacollectivedrive,itwillplaceIrelandinthecentreofaprofounderaofchangefortheglobalbusinessandresearchlandscapesanddeliversignificanteconomicandsocialimpact.
37 Ireland for Finance
Supports for Irish-owned financial services and fintech companiesOverthelifeofthestrategy,EnterpriseIreland’sGlobal/SectorFinancialServicesTeamwillcontinuetodrivetheglobalexpansionbyIrish-ownedfinancialservicesandfintechcompaniesacrossmarketsbyworkingone-to-onewithcompaniesontheirbusinessplans.Thiswillincludekeysalesandmarketing,operationsandinnovationactivities,ensuringIrish-ownedfintechandfinancialservicescompaniessustainandgrowmarketshare,particularlyinthecontextofBrexit.EnterpriseIrelandwillcontinuetodevelopthesupportsitprovidestoentrepreneursandinnovation-ledstart-ups,includingfintechstart-ups.Thiswillincludenewapproachestofunding,whereappropriate.ThiswillalsoincludeworkingwiththeDepartmentofFinanceandtheDepartmentofForeignAffairsandTradetoidentifyanddeveloppossibleopportunitiesforfintechcompanieswithrelevantinternationalfinancialinstitutions(forexample,theWorldBank,theAsianDevelopmentBank,andtheEuropeanInvestmentBank).Togetherwiththeseinstitutions,thiswillseektodevelopnewwaystosolveidentifiedissueswherenocurrentsolutionsexist,usingmethodssuchashackathons,prototyping,andinnovativepre-commercialprocurement.
WhileEnterpriseIrelandhasbeeninstrumentalingrowingIrish-ownedfinancialservicesandfintechcompanies,thefuturedevelopmentofinnovation-ledstart-upswillrequiresufficientfundingfromtheprivatesector.Thiswillincludethematicinvestorswhofocusontechnology-enabledinnovations.Asthesectorandtheenvironmentcontinuetoevolveoverthelifeofthestrategy,thenatureandleveloffundingrequiredbystart-upswillneedtobemonitoredonanongoingbasistoensurethatsuitablepolicyprovisionsaremade.
TheroleofsmartcitiesandtownsinIrelandwillbeconsideredwithspecificreferencetofintechandfinancialservicesasatestbedandsourceofnewopportunities.Inparticular,EnterpriseIrelandwillconsiderthefeasibilitythistypeofprojectinconjunctionwithkeystakeholders.Anyrecommendationstobeimplementedwillbeincludedinannualactionplans.
Fintech Foresight GroupEnsuringimplementationofthestrategyremainsoncourseandthevisionisachievedwillrequirecontinualbutstructuredmonitoringofever-evolvinginnovationandtechnologicaltrendsinfintech.OneofthenewmeasurestodrivethisaspectofthedevelopmentinthestrategyistheestablishmentofaFintechForesightGroup.Membershipwillincludemultinationalfinancialservicescompanies,globaltechnologycompanieslocatedinIreland,existingindigenousfintechcompaniesandstart-ups,third-levelinstitutions,publicsectorrepresentatives,andinternationalexpertswithastrongrecordinthisarea.Thisgroupwillbechairedbyanindustry-appointedchair.
ItwilladvisetheMinisterandJointCommitteeofpertinenttechnicaldevelopmentsintheIFSsector.Thetechnologiesthatcouldbeinvolvedinfintechincludemachinelearningandcognitivecomputing,bigdataanalytics,blockchain,regtech,mobilepayments,alongwithothersatthegroup’sdiscretion.
Thegroup’scontributionwillinformpolicyandhelpscopetheannualactionplanspreparedunderthestrategy.OneparticulartaskforthegroupwillbetofocusonhowIrelandshouldseektopositionitselfontechnologicaldevelopmentsbeyond2025.
ThegroupwillmeetasappropriatetoreviewtheIFSlandscape.Itwillberesponsiblefordeliveringspecificactionsundertheactionplan,whichwillincludeworkingwithgovernmentagenciestoembedstructuresforincreasedcollaborationbetweentheIFSsector,technologyfirms,theeducationsector,andgovernment.
TheIFSJointCommitteewillworktoconsiderdevelopmentsandchangesintechnologyandnewadvancesmadeoverthelifeofthestrategy,aswellastheappropriateresponse.Thesemayinclude,butarenotlimitedto,designinganddeployingcoursestocapitaliseonthesedevelopments,andpromotingthemarkettoattractemploymentandbusinesses.
38
PlatformsBusinessmodelsthataredata-intensiveyetcapital-lightandusecloudcomputingtechnologyhaveledtoinnovationssuchascrowdfunding,peer-to-peerlending,andcashlesstransactions.GivenIreland’sprovenexpertiseinfinancialservicesandtechnology,thereisscopetomovefrommerelyprovidingservicefunctionstoplatformstoundertakingtheirdevelopmentandoperation.ThiswillincreasetheopportunityforplatformstobecontrolledandmanagedfromIreland.
Irelandisaworld-leadinglocationforboththetechnologyandaircraftleasingsectors.ItiscriticalthatweharnessthiscompetitiveadvantagebyusingthelatesttechnologicaldevelopmentstoprovideinnovativesolutionsandproductstosupporttheaircraftleasingandwiderIFSsector.
Pace of technology changeGiventhelikelyfuturepaceofchangearisingfromtechnologysuchasdistributedledgertechnology,robotics,andAI,itisvaluabletoengagewithstakeholdersandundertakespecialistresearchinthisareaoverthelifeofthestrategy.Thisway,Irelandcancontributeto,andshape,theautomationagendaandidentifyhowcompaniescanbestretrainandredeploystaff.TheremaybeothernicheswhereIrelandcouldseektodevelopexpertise.
GiventhepresenceinIrelandofglobaltechnologycompanies,thepresenceofleadinginternationalfinancialservicesfirms,andthecutting-edgeR&Dandinnovationbeingundertakenbythird-levelinstitutions,Irelandiswellplacedtobecomealeaderincybersecurity.ThepossibilityofestablishinganEU-widecybersecurityorganisationwillbeexploredinthelifetimeofthestrategy.Theopportunitiesforcybersecurityinfinancialserviceswillevolveintandemwithhowthesectordevelops.
39 Ireland for Finance16 17Ireland for Finance
We are a committed member of the European Union and we consistently rank as one of the best countries in the world for doing business
We offer guaranteed access to financial services regulatory passporting across the EU
Culture and lifestyle
Although it is not an outcome of IFS2020, Ireland is increasingly becoming an attractive location for people employed in IFS to live and work. This is based on a wide range of factors. Ireland is a place of stunning natural beauty with plenty of natural resources to enjoy, including 3,000km of coastline, more than 30 mountain ranges, 37 rivers, six national parks and countless beaches.
Irish people are renowned for being open and welcoming, and for our passion, humour, and imagination. Steeped in history and mythology, ours is a creative tradition expressed through art, music, dance, theatre, literature and film. We relish the opportunity to play, to share, to compete and to challenge ourselves. We value our sense of community and we embrace difference. There are lots of things to do in Ireland; perhaps this is one of the reasons why a 2016 survey by Indeed found that employees in Ireland are the fourth happiest in the world, while employees in Dublin are the happiest in Europe.
Irish society is increasingly diverse as more people from around the world choose to live, work and study here. Ireland ranks 12th out of 146 countries on the Social Progress Index 2018. Some 15 per
cent of Ireland’s workforce is international meaning that proportionally Ireland has the third-highest international workforce in Europe. Ireland is a multilingual society – over 600,000 Irish residents speaking a foreign language fluently. A 2015 Eurobarometer report on discrimination in the EU showed Ireland has much higher rates of acceptance than other EU countries on issues of gender, race, sexuality, age and disability. In that same year, Ireland became the first country in the world to introduce equal marriage rights for same-sex couples through a popular vote.
Other indicators for lifestyle and enjoyment show very positive results. Ireland ranks eighth on the UN Development Programme’s Human Development Index (HDI). The HDI was created to emphasise that people and their capabilities should be the ultimate criteria for assessing a country’s development, not economic growth alone. Ireland is fourth on the Cato Institute World Freedom Index, which is a global index of civic, political and social freedom. In 2018, Ireland was recognised as the 10th most peaceful country in the Global Peace Index.
We believe that work must harmonise with life, as summarised by the phrase ‘Ireland – a great place to live and work’.
Why Ireland?
There are many factors that make Ireland an attractive and competitive location for foreign Direct Investment by global financial institutions:
When the UK leaves the EU, Ireland will become the only English speaking, common law jurisdiction
We have a highly-regarded education system with over 50% of Irish 30–34 year olds holding a third-level degree – higher than any other country in the EU
We have a highly skilled English-speaking workforce, access to 325m EU workers, including UK workers via the common travel agreement
We are committed to our stable and competitive corporation tax regime 12.5%
50%over
12.5%
50%over
12.5%
50%over
12.5%
50%over
12.5%
50%over
12.5%
50%over
12.5%
40
41 Ireland for Finance
Pillar 3: Talent
IntroductionIreland’s IFS sector draws a significant competitive advantage from its well-educated, highly skilled and adaptable workforce, which was a key pillar of the success of IFS2020.
However,skillsarevulnerabletoobsolescenceandaconsistentfocusmustbemaintainedonworkforcedevelopment.Advancesintechnologyandcompetitiveandgeopoliticalforcesconstantlycreaterequirementsfornewskills.
Irelandisfortunatetohaveayoung,well-educatedpopulationandagrowingbirthrate.Ithasthehighestproportionofunder15sintheEUand52percentofIrish25-to34-year-oldsholdathird-levelqualification.Irelandhasapopulationofnearlyfivemillionpeopleand,crucially,itsEUmembershipprovidesunfetteredaccesstoaworking-agepopulationofover325milliontoserveitstalentrequirements.Inaddition,theCommonTravelAreabetweenIrelandandtheUKallowsworkerstomovefreelybetweenthetwojurisdictionsforemploymentpurposes.Thiswillcontinuepost-Brexit,incontrasttothepositionwithotherEUMemberStates.
TheimpactofBrexitfeedsintothetalentavailableinIreland.Thereareapproximatelyroughly2.25millionEUnationalsworkingintheUK,someofwhommaybelookingtorelocate.TheCharteredInstituteofPersonnelandDevelopmentreports2thatthenumberofEU-bornworkersintheUKincreasedbyjust7,000betweenQ12017andQ12018,comparedwithanincreaseof148,000betweenQ12016andQ12017,adecreaseof95percent.IrelandisarealalternativetotheUKforpeoplelookingtorelocate,duetoitsEnglishspeaking,young,internationalpopulationanditsvibrantcities.
2 https://www.cipd.ie/news-views/brexit/uk-labour-supply-impact
AmajorHumanCapitalInitiativewasannouncedinBudget2019.Thering-fencedallocation,totalling €300millionbetween2020and2024,willforma keypartofthegovernment’sstrategicresponsetoBrexitandotherchallengesfacingtheeconomy.Itwillmeetthefutureskillsneedsoftheeconomyandprovideadditionalinvestmentinhighereducation.
Renewed focus on education and lifelong learningAkeyrequirementforthesuccessofthisstrategywillbetheavailabilityofsufficientnumbersofpeoplewiththeskillsneeded–inquantityandquality–forthesectortocontinuegrowingandmovingupthevaluechain.Partofthisprocesswillbetoencourageongoinglearninganddevelopment.Theretrainingandupskillingneedsofthesectorwillbecontinuallyreviewedoverthecourseofthestrategy.
SkillnetIrelandisanenterprise-ledbodythatprovidescompanieswithnewopportunitiestodeveloprelevant,effectiveanswerstotheirtraininganddevelopmentneeds.Itappliesanenterprise-ledapproachtoworkforcedevelopmentinwhichgroupsofbusinessesprimarilyowntheprocessofdeterminingandaddressingtrainingneeds.Encouragingenterprisetoleadtheprocesshelpstoensurethattheprogrammesarerelevanttoindustryneeds.Thisdecentralisedapproachalsoenablescohesiveenterprisenetworkingandtheflexibilitytorespondtochangingskillsneedsthroughbothformalandinformallearning.SeveralSkillnetIrelandlearningnetworkswillcontributetoimplementingIFSworkforceinitiativesthatalignwiththisstrategy.
FinuasisSkillnetIreland’sleadprogrammefortheIFSsector’seducationalandskillsneeds.IthasthreelearningnetworksexclusivelyfocusedonIFS:AviationFinanceFinuasSkillnet;LawSocietyFinuasSkillnet;andIFSSkillnet.ThereareseveralotherSkillnetnetworks3thatincreasinglysupport
3 TechnologyIrelandICTSkillnet,TechnologyIrelandSoftwareSkillnet,SustainabilitySkillnetandregionalnetworksprimarilylocatedintheWest,Mid-WestandSouth-West.
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Ireland’sIFSsector.Finuaswillcontinuetorespondtoemergingneedsandopportunities.Inaddition,theFinuasnetworkswillcollaborateextensivelywithkeyindustrystakeholdersandeducationproviderstodeviseinnovativeeducationandtrainingprogrammesforIreland’sIFSsector.
Insupportofthesustainablefinanceagenda,SustainabilitySkillnetworkstodevelopleadershipcapacityandspecialistskillsacrossthesustainablefinanceandbroaderESGagendatosupportIreland’semergenceasasustainablefinancehub.
SkillnetIrelandwillcontinuetosupportcompaniesinthebanking,fintech,insurance,securitisation,aircraftleasing,fundsandassetmanagementsectorstoaddressissuesofworkforceplanning,development,andinnovation.Thedevelopmentofspecificprogrammestoencourageenterpriselearningandskillsdevelopmentwillberegularlyassessedandtranslatedintostrategicactions.
Springboard+Springboard+complementsthecorestate-fundededucationandtrainingsystemandprovideshighereducationopportunitiesthatarefree,orfundedat90percent,inareasofidentifiedskillsneeds,toenablethetargetgrouptoupskillorreskill.Theinitiative’soriginaltargetgroupwasunemployedpeople,butthefocushassincebeenwidenedtoincludemorepeopleinemployment.Coursesaredevelopedinconjunctionwithindustryandchosenannuallybyanindependentpanel.Springboard+2018providedmorethan8,000courseplaces,includingonIFS-relatedcourses.
TheintroductionofsmarttechnologysuchasAI,theInternetofthings,andbigdataanalyticsmayleadtothetransformationofbusinessmodelswithanincreasingfocusonexistingandnewserviceofferings.Theimpactofthisonfinancialservicesisunknown,butithasthepotentialtodisplaceasignificantnumberofjobs.ThebestwaytorespondtothischallengeistoensurethatweprepareforandeducatetheworkforcesothatthehighvaluejobswillbelocatedinIreland.
Skills developmentEncouragingforeignlanguagesandSTEM-relatedsubjectsshouldcontinuetobeaprioritythroughtheeducationsystemfromprimarytopostgraduatelevelandthroughthewholelifecycle.
TheDepartmentofEducationandSkillspublishedSTEM Education Policy Statement 2017–2026 in November2017,anditwillbeimplementedoverthelifetimeofthisstrategy.Specificoutcomesthatare
relevanttotheIFSsectorinclude:
· femaleuptakeofSTEMsubjectstoincreaseby40percent,
· qualitycareerinformationtobeavailabletoallschoolsforlearnersandparents,and
· increasedpartnershipsbetweenschools,industry,publicsectorbodies,researchorganisations,furtherandhigher-levelinstitutions,andthewiderSTEMcommunity.
InitiativesunderthestrategycanencouragegreaternumbersofwomenandgirlstotakecoursesinSTEMsubjectsand,induecourse,toenterrelatedemployment.
Future Jobs Ireland 2019hasalsoidentifiedthisasakeyareaandhassetambitioustargetsforincreasingourlifelonglearningrateandbasicdigitalskills,etc.Inaddition,theTechnology Skills 2022 initiativeisIreland’sthirdICTskillsactionplanandisacollaborativeeffortbygovernment,theeducationandtrainingsystemandindustrytomeetIreland’shighlevelICTskillsneeds.TheSkillstoAdvanceinitiativeallowsfortargetedsupportedforvulnerablegroups,particularlythosewhohavelowerskillslevelsandwhoneedmoreopportunitiestoadvancetheirworkinglives.
Increased uptake of apprenticeshipsAsnewandemergingsubsectorsoffinancialservicescontinuetogrow,theavailabilityofahigh-qualityskillsbasewillbecrucial.Apprenticeshipsallowindividualsfromavarietyofeducationalbackgroundstodevelopthekeyskillsneededforacareerinfinancialservices.
Apprenticeshipsthatcombineacademicstudywithon-the-jobtrainingareavailableininsurance,accounting,andIFS.Successfulapplicantshavetheabilitytonotonlyimprovetheirskills,butalsotoearnasalary.LaunchingIFSapprenticeshipswasakeyeducationaloutputunderIFS2020.
Aspartofthisstrategy,theexistingIFSapprenticeshipschemeswillbedevelopedfurther,withongoingpromotionofthecurrentapprenticeshiproutes.IncreasingboththenumberofapprenticesandthenumberofemployersintheschemeswillensureapipelineofskilledstaffforthesectorandwillkeepIrelandcompetitive.ApprenticeshipsprovideanopportunitytohighlightIFScareeropportunitiestoschoolleaversandtoensureearlyentryintotheworkforceatage18–19years,ratherthanadelayedentryafteradegreecourse.Additionally,
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apprenticeshipssecurecommittedemployeesforabusinesswhereastrongrelationshipbetweenworkandstudyisestablishedbyanemployee-apprenticeandtheiremployer.Thisimprovesemployers’abilitytoattractandretainstaff.
OneofthemeasuresofsuccessforthiselementofthestrategywillbethenumberofparticipantsonIFSapprenticeships.TheApprenticeshipCouncil’songoing‘GenerationApprenticeship’campaignpromotesthisinitiative.Apprenticeshipscouldalsobeencouragedbyeffortstodevelopschooleducationprogrammesworkingwiththird-levelproviders in dedicated DEIS4areas,andtodevelopaLocalHeroesprogramme.
Education–industry linkagesForward-thinkingorganisationsareincreasinglyengagingwiththird-levelinstitutionstomeettheirskillsneedsformainstreamaswellasresearchroles.Itisimportanttoadvancecoordinationbetweenindustryandthird-levelinstitutionstosupportthedevelopmentofskillsandinnovation.Closercoordinationandcooperationbetweenindustryandtraininginstitutionswillensurethatprogrammescontinuetomeettheneedsoftheindustryandregulatedprofessions.Benefitscanbeparticularlyimportantinregionallocations.Severalregionallybasedinternationalfinancialinstitutionsarealreadyinvolvedinthisworkonaninformalbasis.
Anexampleofthiscollaborationisintheaviationleasingsectorwhichneededacontinuedsupplyofskills.Educationcoursesweredevelopedtomeetthatneed.Industrysupportedthecoursedesignbyidentifyingmodulesandbyofferingexperiencedpersonneltoteachspecialisttopics.ThismodelcanbereplicatedacrossmanyareasinIFS.
TheNetworkofRegionalSkillsFora,createdaspartofthegovernment’sskillsarchitectureassetoutin Ireland’s National Skills Strategy 2025,providesanopportunityforemployersandtheeducationandtrainingsystemtoworktogethertomeettheirregions’emergingskillsneeds.ClosercollaborationbetweenindustryandtheRegionalSkillsForawillcontributetoadeepeningandbroadeningoftheskillsbaseavailableinthevariousregionsandwillfurtherincreasetheselocations’attractivenesstoemployers.
4 Launchedin2005bytheDepartmentofEducationandSkills,DEIS(DeliveringEqualityofOpportunityinSchools)isthemostrecentnationalprogrammeaimedataddressingtheeducationalneedsofchildrenandyoungpeoplefromdisadvantagedcommunities.
Factorsaffectingthedemandforhighereducationalprogrammesincludepotentialemploymentoptionsoncompletionandtheircost.Althoughemploymentoptionsforundergraduatesandpost-graduatesaregoodatthemoment,deferringemploymentandengaginginaresearchmastersisanadditionalexpenseforstudents.Co-fundingofcoursefeesbyindustryortheprovisionoffundingtostudentsbyemployerswithapathwaytoindustryemploymentareusefulmeanstobridgethegapbetweenacademiaandindustry.
Development of postgraduate programmesWiththerapidexpansionoftheIFSsectorcomesagreaterdemandforanappropriatelyskilledworkforce,especiallyinaviation,payments,compliance,financialservices,fintech,sustainablefinance,andresponsibleinvestment.Recentyearshaveseenawelcomedevelopmentofrelevantprogrammesintheseareas.
InordertosafeguardIreland’spositionandensureanongoingstreamofqualifiedpersonnel,continuedprovisionofeducationprogrammesbeyondgraduatedegreelevelisessential.TheseprogrammesareakeysourceofIreland’sattractiveness,givingthecountryanopportunitytobecomeatruecentreofexcellenceindevelopinghumancapitalfortheindustry.
Whereskillsneedshavebeenidentified,thedevelopmentofpostgraduateprogrammeswillbeconsideredandincludedinannualactionplans.Examplesofcoursestobeconsideredinthefutureincludepaymentsandthebroaderdigitaleconomy,andfinanceandtheaviationsector.Lessspecificcoursesonfinancialservicesandbigdatamayalsobeneeded.Coursedevelopmentshouldbecarriedoutinconjunctionwithindustry,usingindustryexpertsaslecturerswhereappropriate.
Skills needs analysisWhileIrelandbothproducesandattractsaverycapablepooloftechnologytalent,theindustrycontinuestogrowquickly,andmanyskillsareinhighdemand.Itwillbeimportanttoidentifytheskillsneeds,particularlyinnew,innovativeandemergingsectors,andinrelatedareaswhereadditionaleducationandtrainingprovisionmayberequired.
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ThisstrategywillseektoengagewiththeExpertGrouponFutureSkillsNeedstoconsiderIFS.Thisanalysiswillneedtocoverallsectorsandtohighlightemergingneedsbysectorandbyregion.Amongotherthingsthisengagementmayhighlightareaswhereeducationandtrainingschemesmaybeneededthatwillprovideworkersforcurrentandfutureneedsacrossavarietyofindustrysubsectorssuchasaviationleasing,appliedalternativeassets,sustainablefinance,law,andfintech.
TheIFSandbusinessservicessectorsalsoneedhighlyskilledICTprofessionals.Anyskillsneedsanalysisshouldtakeaccountofthisdemand,inadditiontoproducingtalenttoservetechnologycompaniesinIreland.TechnologycompaniesinIrelandspanawiderangeoffields,frommobilepaymenttech,gamedesign,andcloudcomputingsolutionstoembeddedtechnologies,theInternetofthings,anddatasecurity.However,highlyskilledICTprofessionalsarenotjustneededintheICTsectoritselfbutalsoinmanyotherfast-growingsectorsoftheeconomysuchasIFSandbusinessservices.
Increasing diversityIncreasingdiversityintheIFSsectorisimportantfortworeasons.First,astheCentralBankofIrelandnotes,diversityofviewsandexperience–alongwithindependencewithinmanagementbodies–formsanessentialsafeguardagainstindustrypracticesthatrestricttheinvestmentpotentialoffirmsand,insomecases,putsmanagers’interestsaheadofinvestors’interests.Researchhasshowndiversityisoneofthemosteffectivewaystoenhancecomplianceandcorporategovernance.Second,diversityisincreasinglyimportantinordertomaintainandfurtherenhanceIreland’sattractivenessasalocationforIFS.
Diversitygoesbeyondthenumberofwomenintheworkplaceorinleadership.Italsomeansdiversityofage,ethnicity,sexualorientation,education,nationality,disability,beliefs,andmore.
AccordingtotheCentralBankofIreland,thereremainsaseriousdeficitinthediversityofbackground,experience,and–critically–thinkingatseniorlevelsinfinancialservicesinIreland.Diversegroupstendtohaveawell-roundedviewonbusinessissuesandrisks.Itiswidelybelievedthatgreaterdiversityofthoughtresultsinbetterdecision-makingandimprovedriskmanagement,whileavoidingthedangerofgroupthink.
Giventhepositiveimpactthatdiversitycanhaveonbehaviourandcultureinfinancialfirms,genderimbalanceisasignificantconcern.Approximately80percentofthemostseniorandinfluential
appointmentsinregulatedfirmsinIrelandbetween2012and2016weremen.
Theannualactionplanswillincludeinitiativesfocusedonbothincreasingwomen’sparticipationandonachievingbroaderdiversityandparticipationamongstminoritygroups.TheinitiativeswillalsohelpwithdemystifyingacareerinIFSandshowcasingitspotentialforvarietyinthesector–bothforthoseenteringorchangingcareer,andacrosstheregions.
Anexampleofthiswillbetheintroduction,overthelifeofthestrategy,ofa‘HeroesinIFSProgramme’.Initiallytargetedtowardsgirlsinschoolandyoungwomeninthird-leveleducation,theprogrammewillinvitehigh-profilewomeninIFStotalkabouttheircareersandtheopportunitiesavailabletothosewhochoosetopursueacareerinthesector.Thiswillbeexpandedacrossthelifeofthestrategytocoverotherareasofdiversityanddisadvantage.ThisprogrammewillexaminewaysitcanlinkintoScienceFoundationIreland’sSmartFuturesprogrammeaspartofdevelopingtheIFSprogramme.
Thestrategywillseektoworkwithgroupssuchas100WomeninFinance,whichisaglobalnetworkofprofessionalsworkingtogethertoempowerwomenateverystageoftheircareersinthefinanceandalternativeinvestmentindustries.ThiswaslaunchedinIrelandin2017withakeyfocusonsupportingwomenintheircareers,fromentryleveltoboardparticipation.Itisalreadyundertakingsomeworkthataimstopromotewomeninkeypositions.
Anotherwaytotacklediversityisbyincreasinglabourmarketparticipation.Currently,IrelandranksbelowtheEUaverageinthis,whichpresentsasignificantbarriertoaneconomyapproachingfullemployment.Asof2018,Ireland’slabourmarketparticipationrateforpeopleaged15orolder(62.2percentasofQ42018)comparesfavourablytotheEU15butisbelowtheequivalentratefortheUK(63.1percentasofQ32018).ThisisapriorityinFuture Jobs Ireland,whichincludesambitioustargetsforincreasingparticipationratesincludingamongwomenandolderworkers.
Overthelifeofthestrategy,alternativeroutesintoacareerinIFSwillbeassessed.Thisprocesswillconsiderdevelopinginternshipprogrammesforunder-representedgroupssuchassociallyexcludedanddisadvantagedindividualswithlimitedcareeropportunities,whoconstituteanuntappedtalentpool.TheseprogrammescouldbesimilartograduatedevelopmentprogrammesalreadyunderwayinIFScompanies.Theremaybesomeadditionalflexibilityconsideredforsomeofthetargetgroup,suchasusingtechnologyandremoteaccesstoremovebarrierstoentry.
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ThestrategywillcontinuetosupporttheworkoftheNorthEastInnerCityInitiativethrough:
· increasingemploymentandtrainingopportunitiesforpeopleinthecommunity,
· engagingwithongoingeducationinitiativessuchasP-TECH,CareerLEAP,andtheNEICTransitionYearWorkExperienceProgramme,
· coordinatedcorporatesocialresponsibility,and · expandingthenumberoffinancialservicesapprenticeshipsinthearea.
Visa programmeCompaniesinIrelandhaveaccesstoalabourpoolofover325millionpeoplefromacrosstheEU,buttheymayalsoneedpeoplefromoutsidetheEUwithcertainspecificskillswhowillrequireemploymentpermitsorvisas.IDAIrelandadvisesclientcompaniesonthisprocess,includingthemosteffectivewaystonavigatetheimmigrationsystem.Itwillcontinuetoliaisewiththerelevantgovernmentdepartmentstoassistinsecuringvisasandemploymentpermitsforseniormanagementandtechnicalandresearchstaffwhenthosepermissionsareneeded.
TheEmploymentPermitsOnlineSystem(EPOS)providesforastreamlinedprocessthatiseasytouseandhasafastturnaroundtime.
Special Assignee Relief Programme (SARP)TheSpecialAssigneeReliefProgramme(SARP)wasintroducedinBudget2012.Itisatargetedmeasureaimedatreducingthecosttocompaniesofassigningcertainskilledindividualsandkeydecision-makersfromabroadtopositionsintheirIrish-basedoperationsoranassociatedcompany.Theschemerelievesaportionoftheincometaxtheindividualpaysonannualearningsabove€75,000andbelow€1millionperannum.Therehavebeenanumberofchangestothereliefsinceitwasfirstintroducedwhichhavemadethereliefmoreaccessibleandattractive.TheFinanceAct2016extendedtherelieftoemployeesarrivingtoworkinIrelanduptotheendof2020.
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Pillar 4: Communications & Promotion
IntroductionIt is critical to continue promoting Ireland as a leading global centre of choice for IFS.
Thegovernment’sstrategyGlobal Ireland: Ireland’s Global Footprint to 2025andotherstrategiesdevelopedtodrivetheworkoftheDepartmentofForeignAffairsandTrade,ofIDAIrelandandofEnterpriseIrelandwillhelpinformtheinitialthinkingontheoveralloutreachprogrammeforthisstrategybyprovidingavaluableoperatingcontext.Moreimportantly,thisstrategywillbeinformedbythesuccessofIFS2020:whatworkedwellandwhatcanbeimproved.Issuessuchasemergingnewareasfordevelopment,includingnewgeographicalandproductmarketswillalsobeimportant.
European Financial ForumIthasbeenstronglyrecommendedthattheEuropeanFinancialForum(EFF)continuestobeheldinDublinCastleinthefirstquarterofeachyearastheannualflagshipeventofthisstrategy.Forthisstrategy,theeventwillbeplacedonathree-yearplanningcyclefrom2020toensurethatpotentialthemesandspeakersfortheEFFcanbeidentifiedinthemediumtermwhilealsoavoidingunnecessaryannualtenderingandrelatedlogistics.TheEFFshouldcontinuetobeapartnershipbetweenIDAIreland,theDepartmentofFinance,andotherstakeholdersincludingtheIFSindustry.
ThelevelofambitionfortheEFFshouldalsoincreasebyfocusingonleadinganddistinguishedspeakers,notallofwhomhavetocomefromfinancialservices,withalargernumberofbreak-outsessions,possibleexpansionintoasecondday,andbook-endingtheconferencewitheventsatthestartandconclusionoftheofficialforum.TheIDAandEnterpriseIrelandcanleadtheseevents,buttheuseofprivatesectorsponsors,representativeorganisationsorindividualbusinessesshouldalsobeexplored.Adoptingathree-
yearplanningcyclewillenabletheEFFtobecomeamajorglobaleventandsecuregreaterreturnsfromtheinvestmentinorganisinganddeliveringit.
InordertodeveloptheEFFoverthecomingyears,officialspreparingtheEFFshouldattendsimilareventsworldwidetolearnfromthem,tonetwork,tohighlighttheforum,andtoidentifypotentialspeakersordelegates.ThisisparticularlyimportantforMinisterialvisitsabroad,engagementsbyIreland’sembassynetwork,andeventsorganisedbyIDAIrelandorEnterpriseIreland.Ideally,thisactivityshouldincludeindustryandrepresentativebodieswheneverpossible.
Climate Finance Week IrelandInrecentyears,theCOP21ParisAgreement,theUNSustainableDevelopmentGoals,theincreasingsevereweather,andforestfireshavepushedclimatechangetowardsthetopoftheinvestoragenda.Thefinancialservicessectorhasacriticalroletoplayinmobilisingcapitaltomeetthischallenge.Leadingcapitalmarketinstitutionsaredefininghowtheycanmovebeyondincrementaltotransformationaltransactionsandsustainablefinancecanformpartoftheirday-to-daystrategicactivities.
Insupportofthistransition,theannualClimateFinanceWeekIrelandorganisedbySustainableNationIrelandensurescapitalmarketparticipantsinIrelandhaveaccesstoglobalthoughtleadershipinthisarea,tobestpracticeasitrelatestothesustainablefinanceandbroaderESGagenda,andtoexamplesofinnovationinaction.Theeventfocusesonwhatittakestomobilisethesustainablefinanceandinvestmentflows,reportingandaccountingthatcanputEuropeontracktomeettheaimsofthe2015ParisClimateaccord.Importantly,ClimateFinanceWeekIrelandbringstogetherpoliticalleaders,c-suiteexecutivesfromacrossthefinancialservicessector,high-levelofficialsfrompublicpolicy,regulatorybodies,stateagencies,andacademicleaders.
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‘IFS Ireland’ branding and websiteTheuseoftheIFSIrelandbrandandwebsiteshouldbereviewedandre-energised.
Forthisstrategy,itisrecommendedthattheIFSbannerbrandisusedforallIFS-relatedpromotionalworkbyboththepublicandprivatesectors,domesticallyandinternationally,withoutexception.ConsiderationwillhavetobegivenastowhethertousethecurrentIFSIrelandbrandortodevelopanewone.Whatevertheoutcome,‘BrandIreland’shouldbefullyutilisedonallpossibleoccasions.InadditiontoensuringitsuseatallIFSevents,greateruseofthebrandcanbemadebymerchandisingthelogo.SponsorshipofsportingandculturaleventswithaparticularIFSfocusoronelikelytoinvolvepeopleinvolvedinIFSshouldbeconsidered.
Akeyelementofanypromotionalworkforthisstrategywillrequirecreatinganewwebsite.Giventheincreasingimportanceofdigitalcommunicationsandanonlinepresence,itisessentialthatkeystakeholdershaveaccesstoup-to-dateandrelevantinformationaboutIFSinIreland,aboutthecountryasaplacetoliveandwork,aboutinvestinginIrelandanditsbusinessenvironmentanditsopportunities,andaboutanyotherissuesthatbothfirmsandindividualswillwantwhenmakingdecisionsaboutchoosingIrelandasplacetoestablishorexpandabusiness,tomoveto,oraboutfinancialservicesasacareer.Thiswillrequireadequateresourcing.
Communicating the strategy externallyThecriticalmessagetobecommunicatedunderthestrategywillbe‘WhyIreland?’ThemessageofsellingIrelandmustbeclearandconcise,highlightingafewkeypointsandtheadvantagetobusinessesoflocatinghere.Thesemessages,whichwillcontinuetobedrivenbythecommunicationssub-groupoftheIFSCommittees,willbekeptunderreviewandamendedasnecessaryoverthelifeofthestrategytoensurethattheyremainrelevantandcaptureongoingdevelopments.ExamplesofthisalreadyexistinanumberofsubsectorsasdevelopedbyrepresentativebodieslikeIrishFundsandInsuranceIreland.
ItisintendedthatinternationalvisitsbyMinistersandseniorofficialsfromtherelevantdepartmentsandagenciestokeymarketswillpromoteIFSin
Ireland.Basedonconsultationwiththeembassynetwork,IDAIrelandandEnterpriseIrelandwilldevelopaprogrammeforthetradeeventstoinvolveMinistersandofficials,representativeorganisations,andindividualbusinesses.
Attendanceandparticipationininternationaltradefairsandfinancialevents,suchasEurofiforumsandseminars,willalsotakeplace.Basedonidentifiedin-marketbusinessopportunitiesinthecontextofstrategicbusinessplans,individualbusinesseswillbeencouragedtoparticipateinMinisterialmissionsandrelevanttradeevents.
Animportant,butsometimesneglected,aspectofpromotingIFSinvolvesoutreachactivitiesbetweentheStateandbusiness.SucheventsprovideforexchangesofinformationonparticularaspectsofIFS,orengagementswheregovernmentdepartmentsandstateagencies,includingtheCentralBankofIreland,usetheopportunitytoexplaincertainaspectsoftheirworktoindustry.InvolvingtheCentralBankofIrelandisparticularlyvaluable,andthisshouldcontinueasanimportantaspectofitsengagementwithcompaniesthatareconsideringexpandingtheirbusinessinIrelandorthoseconsideringmovingtoIrelandasanewenterprise.
Underthisstrategy,clearmessagingwillbedevelopedonthebenefitsofstartingafinancialservicesbusinessinorrelocatingafinancialservicesbusinesstoaregionallocationandontheadvantagesofusingregionalcentresfor‘secondsite’offices.OthermessagingneedstoincludeIreland’sworld-classreputationforcybersecurity,informationsecurityculture,andexecutionandapplication,amongotherareas.
Communicating the strategy domesticallyThereareanumberofreasonswhyitisnecessarytohighlighttheimportanceofthefinancialservicessectortothegeneralpublicinIreland.First,itdemonstratesthebenefitofthesectorfortheeconomyintermsofGDPandemployment.ThisiscriticalwhengeneratingsupportforIFSinitiativessuchasthisstrategyandrelatedactions.Second,highlightingIFSdomesticallyisnecessarytopromotethesectorasapotentialcareerchoiceforschoolleavers,graduates,andpeopleworkinginotherpartsoftheeconomy.
TheIFSsectorinIrelandoffersopportunitiesforemployment,anditisanationwideindustrywith30percentoftheemploymentoutsideDublin.PromotingIFSasacareerchoicewaspartofthe
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previousIFSstrategy,andthiswillcontinue,withaspecificfocusonthevariedcareeropportunities,salariesandchoiceofemployers.HavingavibrantIFSindustryalsoprovidesopportunitiesforentrepreneurshipandprovidesamarketforventuressupportedbyEnterpriseIreland.
MuchworkwillbedoneinIrelandtotrytogrowtheactivitiesofbusinessesalreadylocatedhere.Ideally,high-levelspeakers–Ministers,seniorpublicofficiallevelsandseniorfiguresfromindustryandrepresentativeorganisations–shouldbeencouragedtoparticipateindomesticeventswhereIFScanbehighlightedandpromoted.Inadditiontobuildingonexistingrelationships,theseengagementswillhelpbuildnetworksandserveasameansofexchanginginformationonrelevantdevelopments.
Communicating the strategy for and across the regions AvitalissueforthisstrategywillbetopromoteandmarkettheregionsaslocationsofchoiceinIrelandfornewandexpandingbusinesses.UnderIFS2020,severalinitiativeswereputinplaceforthispurpose,suchaspromotionalmaterialpreparedbytheIDA–includingaregionalnewsletterandacommunicationsdeckhighlightingtheadvantagesoftheregions–andaregionalconsultationforum.TheIDAandEnterpriseIrelandalsoregularlypromotesecondsitesandtheregionsasviablelocationsforbusiness.
AgoodexampleofhowregionalisationcansucceedistheM1paymentscorridor.OthersuccesseswhichcouldformthebasisofcasestudiesfortheregionssuchasBNYMelloninWexford,StateStreetinKilkenny,PramericainLetterkenny;ClearstreamandWillisTowersWatsoninCork;NorthernTrustinLimerick;FexcoinKerry;MetLifeinGalway,andAXAinAthlone.
Underthisstrategy,Ireland’sregionalofferingwillbeassessedtoexaminehowitcanbeimprovedtoattractadditionalactivitiestolocationsoutsideDublin.ThiswillexplorewhethertherearespecificsectorsofIFS–bothexistingbusinessandnewbusinessareas–thatcanbeidentifiedanddevelopedwiththeregionsinmind.
RegionallocationsforIFSnotonlybringimmediateemploymentbenefitsandtheassociatedmultipliereffects,butalsohelptoimprovethegeneralpopulation’sunderstandingofwhatthesectoroffers,itsviabilityasapotentialcareer,andthebenefittotheoveralleconomy.
TheimportanceoflinksbetweenIFSemployers,educationalinstitutions(bothundergraduateandpostgraduate)andtheeducationandtrainingboards(forschoolleavers)shouldnotbeunderestimated.TheselinksarevitalbecauseIFSfirmsinregionallocationsrelyonlocaleducationinstitutionstoprovideaskilledworkforce,andinturn,IFSfirmsprovidecareeropportunitiesforskilledworkersinregionallocations.Somelargeinternationalfinancialinstitutionsarealreadyinvolvedinthisworkonaninformalandlocalbasis;thereshouldbeanexaminationofwhethertoputthisonamoreformalbasis.
The Regional Enterprise Plansprocessisakeypolicyresponseforsupportingemploymentgrowthacrosseightregions,withpublicandprivatestakeholdersengagedindrivingtherangeofinnovativeandpracticalactionssetoutinplansrelevanttoeachregion.AnobjectiveoftheRegional Enterprise Plansisidentifyingsignificantsectoralstrengthsinregionallocations.ThiscanhelpwithunderpinningthedevelopmentofregionalstrengthsintheIFSsector.Thiswouldalsoenabletheregionstoidentifytheirinfrastructuralofferingsandtovisualisethechallengestheyfaceintryingtoattractbusinesses.Itwillalsoallowtheoverarchingstrategytotargetareasofconcernmoreeasilyonaregion-by-regionbasis,andwilllinkitmorecloselytoothergovernmentstrategies.
RegionalisationwillbecriticalforthegrowthoftheIFSsectorasitoffersthepossibilityoflowercostsforfirmsandoffersopportunitiesforsecond-siteoperationsorsupportingsiteswhichcancomplementsitesinDublin.Regionalbasesarealsoattractivelocationsintheirownright.Harnessingtheconsiderableinterestandcapabilityamongregionalactorstoidentifyandfacilitatetheestablishmentofsecond-siteofficeoperationstosupplementgrowingIFSoperationsneedstocontinue.Organisationsinanumberofregionshavealreadytakenstepsinpromotingtheiroffering.Forexample,CorkChamberofCommercehasundertakensignificantworkthroughitsfinancialservicesforumtopromotethecityasIreland’ssecondhubforIFS.
EnterpriseIrelandwillidentifypotentialclustersoffintechactivityinregionallocationsinthecontextoftheimplementationoftheRegional Enterprise Plans to 2020.Thiswillincludethepotentialforsmaller-scaleclustersandacceleratorsthatclearlydemonstrateearlybutidentifiablepotentialforIFSasaregionalsectorspecialisation.
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Other communications and promotional issuesOtherinitiativesinthestrategyincludeexploringtheuseofIFSchampions–high-levelinternationalfigureswhocanbereliedupontopromoteIrelandandIFSdomesticallyandinternationally,especiallyusingtheirpersonalnetworks.RelatedtothisisthecreationofIFSAlumni–individualswhohaveworkedinIFSinIrelandandwhowouldbeinvitedintoanewlyestablishedalumnicommunitytopromoteIrelandonanongoingbasis.AnAnnualAwardsCeremonyfortheIFSsectorwillalsobeconsidered.IndividualsandbusinesseswhohadmadeanimportantcontributiontoIFSinIrelandwouldbehonouredatahigh-levelevent,possiblyaroundtheEuropeanFinancialForum.
Ireland’sembassynetworkandtherelatedinternationalofficesofIDAIrelandandEnterpriseIrelandhaveproveninvaluableanditisrecommendedthattheirrolecontinuesunderthisstrategy,especiallywiththeaddedimpetusofGlobal Ireland, thegovernment’sinitiativetodoublethescopeandimpactofIreland’sglobalfootprintintheperiodto2025,andthemovetowardsincludingallgovernmentdepartmentsandstateagenciesinaforeigncityinasingle‘IrelandHouse’.Underthisstrategy,thereshouldbegreateruseoftheIrishdiaspora,bothrecentmoversandlonger-establishedexpatriates,forpromotionandforinformationgatheringtoaccuratelycapturewhatworksandwhatdoesnotwork.EmbassiesshouldexpandtheirnetworksofIrishpeopleintheircountriestoincludemoreindividualsworkinginIFS.Allrelevantpromotionalmaterialshouldbetranslatedintothelanguageofthecountrywheretheembassyislocated,toenableeaseofaccesstoinformation.
51 Ireland for Finance
Culture and lifestyleIreland is increasingly becoming an attractive location for people to live and work. This is based on a wide range of factors. Ireland is a place of stunning natural beauty with plenty of natural resources to enjoy, including 3,000 km of coastline, more than 30 mountain ranges, 37 rivers, six national parks and countless beaches.
Irishpeoplearerenownedforbeingopenandwelcoming,andforourpassion,humour,andimagination.Steepedinhistoryandmythology,oursisacreativetraditionexpressedthroughart,music,dance,theatre,literatureandfilm.Werelishtheopportunitytoplay,toshare,tocompeteandtochallengeourselves.Wevalueoursenseofcommunityandweembracedifference.TherearelotsofthingstodoinIreland;perhapsthisisoneofthereasonswhya2016surveybyIndeedfoundthatemployeesinIrelandarethefourthhappiestintheworld,whileemployeesinDublinarethehappiest inEurope.
Irishsocietyisincreasinglydiverseasmorepeoplefromaroundtheworldchoosetolive,workandstudyhere.Irelandranks12thoutof146countriesonthe2018SocialProgressIndex.Some15percentofIreland’sworkforceisinternationalmeaningthatproportionallyIrelandhasthethird-highestinternationalworkforceinEurope.Irelandisa
multilingualsociety–over600,000Irishresidentsspeakingaforeignlanguagefluently.A2015EurobarometerreportondiscriminationintheEUshowedIrelandhasmuchhigherratesofacceptancethanotherEUcountriesonissuesofgender,race,sexuality,ageanddisability.Inthatsameyear,Irelandbecamethefirstcountryintheworldtointroduceequalmarriagerightsforsame-sexcouplesthroughapopularvote.
Otherindicatorsforlifestyleandenjoymentshowverypositiveresults.IrelandranksfourthontheUNDevelopmentProgramme’sHumanDevelopmentIndex(HDI)for2018.TheHDIwascreatedtoemphasisethatpeopleandtheircapabilitiesshouldbetheultimatecriteriaforassessingacountry’sdevelopment,noteconomicgrowth.In2018,Irelandwasrecognisedasthe10thmostpeacefulcountryintheGlobalPeaceIndex.
Webelievethatworkmustharmonisewithlife,assummarisedbythephrase‘Ireland–agreatplacetoliveandwork’.
52
Communications on the wider infrastructureWhilethisstrategyfocusesonthespecificareasofourIFSsector,asignificantnumberofadditionalfactorswillinfluencefirms’investmentdecisionswhenchoosingtoeitherestablishoperationsinanewlocationorexpandoperationsinanexistinglocation.Factorssuchashousing,commercialrealestate,education,transport,communicationsinfrastructure,andregionalconnectivityareessentialtocontinuedeconomicandsocialprogressandtoensuringIreland
remainsadestinationofchoiceforhigh-qualityinvestment.
Althoughtheseareasaretheresponsibilityofanumberofgovernmentdepartmentsandstateagencies,itisimportantthatthisstrategyrespondstowiderinfrastructuraldevelopmentsandtoimprovementsinpublicservicesacrossthecountry.
Thismessagingwillalsoreflectthewhole-of-governmentapproachtotheIFSsector,whichwasakeyelementunderIFS2020andwillcontinueinthisstrategy.Itwillalsoreflectthemandateofgovernmentdepartments,IDAIrelandandEnterpriseIrelandtopromotetheindustry,anddrivecompetitivenessandinnovationwithinthesector.
Multiple suitable locations to choose from
Source:IDA
53 Ireland for Finance
Appendix I: Action Measures for 2019
54
Operating Environment
Summary of Actions Lead Stakeholder Deadline
1 EU legislative and regulatory proposals
TheDepartmentofFinancewillmeetindustryrepresentativebodiesperiodicallytoexchangeviewsandtodiscussprogressonEUdossiersinfinancialservices.
TheDepartmentofFinancewillcontinueeverysixmonthstomeettheincomingPresidencyoftheCounciloftheEUtoexaminepotentialissuesandexpandonIreland’sEUprioritiesincludingfinancialservices.
TheDepartmentofFinance’sengagementmayincludevisitstoBrusselstoDGFISMAtodiscussfinancialserviceswiththeCommissionerandCommissionofficialsonaregularbasis.
D/Fin Industry,PSCG,IDA
H1,H2
2 Consider the establishment of a stakeholder engagement group
TheestablishmentofaCentralBankstakeholderengagementgroupwillbeconsidered.ResearchwillbeundertakentoidentifyinternationalbestpracticeandtodrawinsightsfromtheimplementationofvariousmodelsinotherEUMemberStatesforstructuresofengagementbetweencentralbanks,industryandconsumers,andthisresearchwillbeanalysedtoidentifyhowthatmighttranslateintotheIrishsystem.
D/Fin D/FAT,Industry,EI,IDA
Q4
3 Develop a national blueprint to guide Irish green and sustainable finance activities
InthecontextoftheEU Action Plan on Financing Sustainable Growthandofanalysingcurrenttrendsandfutureneeds,theFinanceGreenIrelandCommitteewilldevelopanationalblueprinttoguidedomesticandinternationalgreenandsustainablefinanceactivitiesacrossthethemesofenablingenvironment,skillsdevelopment,innovation,domesticandinternationalpromotionalcampaigns,andinternationalcollaboration.
Inpartnershipwithindustrybodies,anoutputoftheblueprintwillseeSustainableNationIrelandengagewithseniordecisionmakersinEurope,AsiaandNorthAmericatoshowcaseandpromotethescaleandsophisticationofIreland’semerginggreenandsustainablefinanceactivities.
SNI Industry,FinanceGreenIrelandCommittee
Q3
Headline Actions
55 Ireland for Finance
Technology and Innovation
Summary of Actions Lead Stakeholder Deadline
4 Establish a Fintech Foresight Group
AFintechForesightGroupofpublicandprivatestakeholderswillbeestablishedtodrivethedevelopmentoffintechunderthestrategy.Thetechnologiesthatcouldbeinvolvedinfintechincludemachinelearningandcognitivecomputing,bigdataanalytics,blockchain,regtechandmobilepayments
Membershipwillbebroadandincluderepresentativesfromallelementsoffintech.
Thisindustry-ledgroupwilladvisetheMinister(andJointCommittee)ofrelevantdevelopmentsinallsubsectorsoffintechandgeneraltechnologyforthewiderIFSsector.
InitialprojectsfortheFintechForesightGrouptoexplorewouldinclude:
· Support a virtual digital bridge from the ‘Silicon Docks’ in Dublin to IFS companies in Dublin and in other regions ThepurposeistoformalisethefosteringofcloserlinksandgreatercollaborationbetweenfinancialservicescompaniesandtheglobaltechnologygiantsbasedinandaroundtheSiliconDocksandbuildinglinksfarbeyondthisscopetolinktheseindustriesformutualbenefit.
· Linkages and collaboration between fintech companies and third-level institutions ThepurposeistoexpandthevariouslinkagesandencouragegreatercollaborationbetweenfintechcompaniesandIrishthird-levelinstitutionsthroughcollaborationwithtechnologycentres,researchcentresandtechnologygateways.
· Linkage with Grand Canal Innovation District TheFintechForesightGroupwillforgearelationshipwiththeGrandCanalInnovationDistrictasitbuildsasustainableinnovationecosystemintheSiliconDocksareafrom2019on.
· Fintech bridge with other jurisdictions TheFintechForesightGroupcouldexplorethepotentialforformalcollaborationagreementswithotherjurisdictions,andforfacilitatingafintechbridgefromwithintheEUtootherglobalfintechlocationssuchasSingapore,HongKong,andtheUAE.
BPFI
FintechForesightGroup
HLIC,IAC,BPFI/FPAI,Industryassociations,Third-levelinstitutions,EI,IDA
Q2
Quarterly
Talent
Summary of Actions Lead Stakeholder Deadline
5 Women in Finance Charter
TheCharterreflectsthegovernment’saspirationtoseegenderbalanceatalllevelsacrossfinancialservicesfirms.Abalancedworkforceisgoodforbusiness:itisgoodforcustomers,forprofitabilityandforworkplaceculture,andisincreasinglyattractiveforinvestors.
ThisworkwillconsistofdevelopingaWomeninFinanceCharterandinvitinganumberofIFScompaniestosignitbyendofYear1,Year2andYear3.
IAC Industry,IDA,EI H1,H2
56
Communications and Promotion
Summary of Actions Lead Stakeholder Deadline
6 International launch of the strategy
ThiswillconsistofinternationalvisitsbytheMinisterforFinance,bytheMinisterofStateforFinancialServicesandbyseniorofficialsfromtherelevantdepartmentsandagenciestokeygeographicalmarketstopromoteIreland’sIFSofferingandthenewstrategy.Wherepossible,thiswillalsoinvolverepresentativeorganisationsandindividualcompaniesandtheiradvisers.
LocationsmayincludetheUK,NorthAmerica(USAandCanada),SouthAmerica(especiallyBrazil),Russia,Europe(especiallyGermanyandScandinavia),Asia(Japan,China,Singapore,SouthKorea,andHongKong),Oceania(AustraliaandNewZealand)andAfrica(SouthAfricaandcountriesinEastAfrica).
Workingwiththeembassynetworkandindustry,theIDAandEIwilldevelopprogrammesforthetradeeventstoinvolveotherMinistersorofficialsinacoordinatedmanner.
IndustrybodiesandgovernmentwillexchangeschedulesofforeigneventstocoordinatetheapproachtopromotingIreland’sfinancialservicessectorabroad.
D/Fin D/FAT,IDA,EI,IAC
Q4
7 Regional Focus
PartofthedevelopmentofIFShasbeentheemergenceofanumberofregionalcentreswhicharebecomingincreasinglyimportantinexpertise,employment,economicactivityandlinkagestotheeducationsector.
ToensurethattheselocationscontinuetogrowascomplementarylocationstoDublinwhiledevelopingtheirabilitytoattractandretainbusinessintothefuture,theywillbepromotedunderthisstrategy.ThispromotionbytheIDAandEIwillalsoinvolveclosecollaborationwithindustry,chambersofcommerceandotherstakeholders.Theseregionallocations,theadvantagesoflinkagestotheeducationsector,theavailabilityofaskilledworkforce,andtheemergingadvantagesfromclusteringsimilaractivitieswillbehighlighted.Regionalstakeholderswillbeengagedtoprepareinformationonthepromotionoftheregion,highlightingkeybenefits.
Specificexampleswillbesourcedfromchambersofcommerceandtheenterpriseagenciesforuseinpromotionalmaterialandforregularupdatestothecommitteesestablishedunderthisstrategy.
Aregionalfocuswillbeincludedineachprogressreport.Theseshort,focussedreportswillalsobepublishedontheIFSwebsite.
EI,IDA D/BEI,Regionalchambersofcommerce,D/ES,IAC
H1,H2
57 Ireland for Finance
Operating Environment
Summary of Action Lead Stakeholder Deadline
8 Strengthen representation in EU and international institutions
ArrangementswillbeexploredfortheexchangeofstaffandexpertisebetweenthepublicandprivatesectorsandtheEUandinternationalinstitutionstoworkonchallengesandopportunities,withaparticularfocusonpost-Brexitissues.
ThisincludesengagingwiththeEUinstitutions,regulatorsandsupervisors,andwithbusinessandadvisersinotherglobalfinancialcentres.
ThismeasurewillhelpensurebroaderanddeeperconnectivitywiththeEU.SecondmentstoregulatorsandprivateenterprisewillassistingainingknowledgeoftheoperationalenvironmentofIrishIFScompanies,andtheregulatoryenvironmentfromanoperationside,andfromaregulatoryperspective.
D/Fin D/FATandEmbassyNetwork,IAC
Q4
9 Increased influence at international level: deeper and wider engagement with key jurisdictions
Inthecontextofthedynamicandcompetitivenatureofinternationalfinancialservicessector,wewillengagewithkeyjurisdictions.
Placementofseniorofficialswithanexpertiseinfinancialservicesinembassiesandconsulatesinselectedlocationswillbeanimportantelementofthisengagement.
Inadditiontodevelopingandmaintainingrelationshipswithkeyadministrativeandbusinesslinks,theseplacementswillensureagreaterflowofinformationondevelopmentsinfinancialservices,withregularupdatesprovidedtopolicymakersandthecommitteesestablishedunderthisstrategy.
D/Fin,D/FATandEmbassyNetwork
PSCG Q4
10 Increased influence at EU level: improve collaboration among Irish trade associations in Europe
SuccessfulcollaborationiscriticaltoensureIreland’svoiceonfinancialservicesisheardatEUlevel.WhilethereisstrongengagementwiththeIrishPermanentRepresentationinBrussels(PRB)andindustry,itisimportanttosecureincreasedinfluence.
IndustryrepresentativeorganisationsshoulddevelopstrongerrelationshipswithsimilarbodiesinotherMemberStates,linkingwiththeexistingworkofthePRBandtheDepartmentsofFinanceandofForeignAffairsandTrade.
Thisengagementwillbuildonregularcollaborationbetweenindustryrepresentativeorganisationstoexchangeinformationandtoworktogetheronrelevantissues.Inturn,itwillbuildonincreasedlinkageswithsimilarorganisationsinotherjurisdictions.
IndustrywillreviewandconsiderifamoreeffectiveframeworkofengagementcanbeputinplacetoallowformessagingofrelevantIFSissuestoIrishandEUauthorities.
IAC Industry representativebodies,D/Fin, D/FATandIrishPRB,BPFI,IrishFunds,InsuranceIreland,IAIM,FSI,Ibec
Q4
58
Summary of Actions Lead Stakeholder Deadline
11 Deliver an IFS Legal Brexit Summit
Thesummitwilladdresskeychallengesincluding:passportingagreementsbetweentheUKandtheEU;therelevanceofthecaselawoftheCourtofJusticeoftheEU;andtheapplicationormodificationoftheMarketsinFinancialServicesInstrumentsRegulations.ItwillalsoaddresswhatBrexitwillmeanforinsuranceandthetaximplicationswherethereisanymovementortransferofpolicies,assets,liabilities,capitalandpeople.
D/ES Law Society Finuas Skillnet,SkillnetIreland,CounciloftheBar,LawSocietiesofEurope,InsuranceIreland
Q3
12 Collection and analysis of data
Overthelifeofthestrategy,theDepartmentofFinancewillworkwiththeCSOandstateagenciestoseektogather,recordandpublishmoregranulardataontheeconomiccontributionoftheIFSsectorasasubsetofthefinancialservicessectorasawhole.
AnupdateonprogresswillbepublishedinQ4.
D/Fin CSO,IDA,EI Q4
13 Engagement on and analysis of Brexit and financial services issues
ThePublicSectorFinancialServicesSub-groupwillengageandliaisewithallIFSstakeholders,includingtheJointCommittee,whereBrexitisastandingagendaitem.
Thisworkwillinclude:
· engagingbilaterallywithrelevantstakeholdersinbothIrelandandtheEU,
· engagingbilaterallywithindustryrepresentativebodies,and · evaluatingdevelopmentsinrelationtofinancialmarketinfrastructures.
D/Fin Industry,PSCG,IAC,Allrepresentativebodies,IDA,EI
Q2andthereafterasrequired
14 National legislative and regulatory proposals
TheIndustryAdvisoryCommitteewillbetaskedwithidentifyingandmakingsubmissionsonnationallegislativeprovisionsthattheyconsiderimportanttofurtherdeveloptheoperatingenvironment.
IAC Industry stakeholders, D/Fin,D/BEI
Q4
15 Resourcing of the Department of Finance
TheDepartmentofFinancecommitstoensuringtheoptimalresourcesareinplacetodelivertheobjectivesofthestrategy.
D/Fin Q4
16 Ireland’s double taxation treaty network
TheDepartmentofFinanceandRevenueCommissionerswill,asappropriate,maintainanopendialoguewiththeIFSindustry,theDepartmentofForeignAffairsandTrade,andtheenterpriseagenciesregardingnegotiationsonnewdoubletaxationagreementsandonupdatestoexistingagreements,andrequesttheIFSindustrytoactivelypromotetheopportunitiesofadoubletaxationagreement(DTA)amongkeystakeholderswhereappropriate,includingpolicymakers,investorsandentrepreneursinlocalmarkets.
D/Fin Revenue Commissioners,D/FAT,D/BEI,EI,IDA,Industrystakeholders
H2
59 Ireland for Finance
Summary of Actions Lead Stakeholder Deadline
17 Engage at EU level on the Capital Markets Union proposals
Anumberoftriloguesrelatingtocapitalmarketsunionareduetocommencein2019.TheDepartmentofFinancewillcontinuetomonitorEUdevelopmentsonCapitalMarketsUnion.
Regulation of crowdfunding
In2018,theEuropeanCommissionpublishedadraftregulationoncrowdfundingprovidersataEuropeanlevel,whichwillprovideaEuropeanregulatoryregimeandauthorisationforcrowdfundingserviceprovidersoperatingonacross-borderbasis.
ItisproposedtoregulatecrowdfundinginIrelandandenactadomesticregulatoryregime,inparallelwiththeEuropeanregulation,toensuresufficientconsumerprotectionforunsophisticatedinvestorsandtofacilitatethegrowthofcrowdfundingasanalternativesourceoffinanceforIrishSMEs.
AnupdatereportwillbeprovidedinQ4.
D/Fin Industry Q4
18 Engage at EU level on sustainable finance proposals
TheDepartmentofFinancewillmonitorandseektoinfluenceEUdevelopmentsonsustainablefinance.
D/Fin Industry stakeholders,Relevantdepartments
Q3
19 Feasibility study into the establishment of an International Shipping Service Centre
TheIrishshippingindustryissupportedbyawell-developed,sophisticatedandcompetitiveprofessionalservicessectorwithmaritimeexpertsandserviceprovidersinareassuchasmaritimelaw,tax,accounting,specialistleasemanagementandfinance.TheopportunitiesfortheshippingindustryandmaritimecommerceinIrelandcontinuetoexpandanddevelopatafastpace.
Thestudywillexamineopportunitiesthatexistinestablishedindustrysectorsaswellasthoseemergingintheneweconomy,whereIreland’sstrengthinfintech,technologyanddataanalyticswillbolsterourcompetitiveadvantagesandenhancethevaluepropositionthatisputtothemaritimecommerceindustry.
IMDO D/BEI,D/AFM Q2
20 Ireland as a global location for private equity funds
TheDepartmentofFinancewillprogresslegislationoninvestmentlimitedpartnershipstosupportthedevelopmentofthegrowthfinanceandfundsindustryandwillprovideupdatestotheJointCommitteeonprogressachieved.
D/Fin D/BEI Q2
60
Summary of Actions Lead Stakeholder Deadline
21 Quarterly presentations
Eachquarter,amemberoftheIACwillpresentanoverviewofdevelopmentsandfuturetrendsanalysisintheirsectoronareasthatareofinteresttotheJointCommittee.
PresentationsfromotherinterestgroupsandrepresentativebodiesnotontheIACcouldbeincorporatedintotheworkplanoftheIAC–forexample,100WomeninFinanceDublinCommittee,SustainableNationIreland,ISIF,BlockchainIreland,theBetterBalanceforBetterBusinessgroup(IFSsector),theFintechForesightGroup,andtheFSICoLdialogue.
IAC D/Fin Quarterly
22 Grand Canal Innovation District and further development of the financial services ecosystem
IDAIrelandwillprepareareportonhowtheGCIDcansupportthefuturedevelopmentoftheIFSindustryandofferanattractiveecosystemforcompaniesinthefinancialservicesandtechnologyspacethatareseekingtoinnovateandgrow.
IDA D/Fin,D/ES,EI,Industrystakeholders
H1
23 Continue to raise awareness of the responsible investment agenda
InlightoftheEUAction Plan on Financing Sustainable Growth,theSustainableandResponsibleInvestmentForum(SIF)IrelandCommitteewillaccelerateeffortstoraiseawarenessoftheESGagendaacrossallIrish-locatedassetclasses.SIFIrelandwillproduceanannualreportthathighlightsagendadrivers,measuresthegrowthofthesector,measuresprogressonadvancingtheagenda,identifiesbarrierstocontinuedgrowthandidentifiesrelevantrecommendationstosupporteffortstoraiseawareness.
SIFIreland SNI H1/H2
24 International collaboration to mobilise global financial centres in support of the sustainability agenda
SustainableNationIrelandwillcontinuetosupportinternationalcollaborationeffortstomobilisefinancialcentresgloballytofurtherembedthesustainablefinanceagendainsupportofmeetingtheParisAgreementandtargetsintheUNSustainableDevelopmentGoals.ThiswillbeachievedviaSustainableNationIrelandSteeringGroup’smembershipoftheUnitedNationsEnvironmentFinancialCentresforSustainability(FC4S)globalnetwork.SupportedbyEurope’sEITClimate-KIC,andoverseenbySustainableNationIreland,DublinwillalsohosttheUNEnvironmentFC4SEuropenodeoffice.
SNI Europe’sEITClimate-KIC
Quarterly
61 Ireland for Finance
Summary of Action Lead Stakeholder Deadline
25 Expand Enterprise Ireland’s Irish Advantage campaign for fintech and payments
EnterpriseIrelandwilllaunchandunfoldthroughout2019aspecificpromotionalcampaignabouttheadvantagesofIrelandforfintechandpaytechcompanies.
EI PSCG,Industrystakeholders
Q2
26 Drive operational excellence of financial services and fintech companies
EnterpriseIrelandwillholdaseminaraimedatcompaniesinthefintechandfinancialservicesspaceandrelatedsectors,focusedondrivingoperationalexcellenceinclientcompanies.Thiswillbethefirsttimethisspecificeventwillbeheldandwillincludecompaniesprovidingcasestudiesandpossiblesupports.
EI Industry stakeholders
Q2
27 Undertake a feasibility study into the development of a Sustainable Finance Innovation programme supporting the development of new IFS products and services in support of the environmental, social and governance (ESG) agendas
AnincreasingnumberoflargecompaniesareexploringthedevelopmentofnewproductsandservicesinsupportofthesustainablefinanceandthebroaderESGagendasviaintrapreneurshipprogrammes.SupportedbyEurope’sEITClimate-KIC,theUNEnvironmentFinancialCentresforSustainability(FC4S)Europeannodeandindustrybodies,SustainableNationIrelandwillundertakeafeasibilitystudyintothedevelopmentofasustainablefinanceprogrammetoacceleratethedevelopmentofsuchsector-themedinnovations.
SNI Europe’sEITClimate-KIC,UNEnvironmentFinancialCentresforSustainability(FC4S)Europenode,Industrybodies
Q3
28 Distributed ledger technology (DLT) platform for aircraft leasing
Aworkinggroupwillbeestablishedtoexploreopportunitiestodevelopcutting-edgetechnologicalsolutionsfortheaircraftleasingsector.ThisshouldincludeexploringIrelandbecomingagloballeadforDLT(blockchain)aircraftleasing.
Groupmembershipshouldinclude:
· theaircraftleasingsector(representedbyAircraftLeasingIreland),
· theaviationtechnologysector(representedbyorganisationssuchasAviareto),
· relevantgovernmentdepartmentsandagencies(DepartmentofFinance;DepartmentofTransport,TourismandSport;IrishAviationAuthority),
· Irishbasedairlines, · representativesfromtheeducationsector,and · themaintenance,repairandoverhaulsectorandfinancial,legalandprofessionalservicesfirms.
ThegroupwillupdatetheJointCommitteewithin12monthsofthestartofnewstrategy.
ALI Aviareto,AircraftLeasingIreland,Appropriate State agencies,Industry,IDA,EI
Q4
Technology and Innovation
62
Summary of Actions Lead Stakeholder Deadline
29 Integrating new technology and innovation approaches across Ireland’s IFS ecosystem
ThismeasureinvolvestheIFSsectordeliveringDLTandblockchaininitiativestodemonstrateIreland’scredentialsasanEUcentreofexcellencefordistributedledgertechnologybygoinglivewithMMIFreturnsthroughDLTandapplyingnaturallanguageprocessingandworkflowusingtheDisruptiveTechnologiesInnovationFund.
IAC BPFI,FSI,FPAI,InsuranceIreland,IAIM,D/Fin,IDA,Industryassociations,IrishFunds,EI
Q2,Q3,Q4
30 Support for the development of insuretech
Irelandhasastronglifeinsuranceandlifereinsurancesector.Tomaintainthispositionandtofurtherdevelopthesector,inbothheadcountandproduct,morecollaborationwithinsuretechisneeded.AgreaterengagementwithinsuretechwillenableIrelandtopromoteacommunityofgovernment,financialandtechnologyenterprisesdrivenbyacommonsetofpurposesaroundthemessuchashealthandwellness,integrationofinsuranceintothedigitalecosystem,andbigdata.
ThecurrentjointFSI/IIIFSInsuranceWorkingGroupwillplaceagreaterfocusoninsuretechasakeyareaforexploration,includingpersonalisedconsumerengagementmodelstopromotehealthandwellness,withaviewtobringingconcretesuggestionstotheJointCommittee.
InsuretechproposalswillbepresentedtotheJointCommittee.
Insurance IrelandWorkingGroup
IDA,InsuranceIreland,EI
H1,H2
31 Future opportunities for ePayments
AbenchmarkingofePaymentswillbeundertakentounderstandthebroaderdevelopmentsintheareaandtohighlightemergingchallengesandopportunitiesfortheIFSsector.
RecentdevelopmentssuchasPSD2offersignificantopportunitiesforthepaymentssectortogrow.Furtheranalysisisneededtofullyexplorethescopeandpotentialoftheseopportunities.
FPAI EI,IDA H1,H2
32 Conduct a fintech census in 2019
ThefirstIrishfintechcensuswasconductedin2018.Itisintendedtoundertakeasecondcensusin2019.Thecensuswill,amongotherthings,allowacomparisonoftheIrishfintechsectorwiththoseinotherleadinghubsandhighlightareaswhereIrelandneedstoimprove,drawingonbestpracticefromthosehubs.Thecensuswillbuildonbaselinedatacapturedinthefintechcensuscarriedoutin2018.
EI Industry stakeholders,InstituteofBanking
Q4
33 Assess overseas models of fintech accelerators and hubs and their suitability in an Irish context
Modelsofacceleratorscontinuetoevolve.EnterpriseIrelandwillidentify,examine,andassessinternationalmodelsforfintechacceleratorsandinnovationhubsacrossbest-practicecountriesandacrossmultinationalcorporations.ThesemodelswillthenbeexaminedtodeterminetheirsuitabilityinanIrishcontext.
EI Q2
63 Ireland for Finance
Summary of Actions Lead Stakeholder Deadline
34 Industry to support innovation and collaboration in fintech, payments, and banking by establishing the Financial Foundry
IndustrywillestablishtheFinancialFoundrytopromotethesharingofideas,testingofconcepts,developmentofprototypesandbuildingofpartnershipsbetweenfintech,banks,andpaymentinstitutions.Itwillprovideaplatformforharnessingthecollectiveexpertiseofthefinancialservicesandfintechsectors.
FPAI/BPFI EI,InsightCentreforDataAnalytics,UCC,Industry
Q2,Q4
Talent Summary of Action Lead Stakeholder Deadline
35 Enhance engagement with the Regional Skills Fora
ThenineRegionalSkillsForaprovideacohesivestructureforemployersandthefurtherandhighereducationsectorstoworktogetherinbuildingskillsintheirregions.TheengagementofIFScompanieswiththeRegionalSkillsForaiscurrentlyabout4percentoftotalengagement.
IndustrywillbeencouragedtoengagewiththeRegionalSkillsForainordertoassistwithaddressingskillsneedsinIFSfirms.
TheDepartmentofEducationandSkillswillpromotetheworkoftheRegionalSkillsForaandwillmonitorandregularlyreportondevelopments,includingthelevelofengagementbycompanieswiththeForaandidentifyingpotentialchallengesandopportunitiesforfurthergrowth.
TheannualnationalSkills Bulletinsassessskillsneedsnationally,includingusinginformationobtainedbytheRegionalSkillsFora.ThisinformationtheninformsnationalandregionalcourseprovisionincludingthroughSpringboard+andSkillnetIreland.
TheDepartmentofEducationandSkillswillpresenttotheJointCommitteeonworkdoneatthenationalandregionallevelonskills,includingreportingontheNational Skills Bulletin,identifiedskillsneedsforIFS,andthelevelofengagementofIFScompanieswiththeRegionalSkillsFora.
D/ES Industry,IDA,EI Q3
36 Developing talent in schools
Thecreationofatransitionyearfinancialservicesmodulewillbeexplored.ThemodelwillbesimilartothatfortheTourismInsightmodule,whichinvolvestheState,educationsectorandindustryinanationalefforttoinformtransitionyearstudentsandotherlearnersaboutthetourismsectorandtopresentthesectorasacareerchoice.
OthermechanismstohighlightIFSasacareerchoiceforyoungpeoplewillbeconsidered.
IAC
D/ES Q3
64
Summary of Actions Lead Stakeholder Deadline
37 Deliver and develop sector specific training programmes
Thefollowingactionswillbeundertaken.
Deliver training programmes in sustainable finance and responsible investment supported by Sustainability SkillnetInpartnershipwithindustrybodies,SustainableNationIreland,viatheSustainabilitySkillnet,willcontinuetoassessthedemandanddevelopcapacity-buildingprogrammesandqualificationswhererequiredinordertoexpandthemarketforsustainablefinanceandresponsibleinvestmentinIrelandacrosskeycapitalmarketsegments,includingbanking,insurance,assetmanagement,assetownershipandfunds.
SustainabilitySkillnet
SNI,Industrybodies,SkillnetIreland,D/ES,SIFIreland
Q2
Modular programme on fintechBPFIandFPAIareworkingwiththeIMItodevelopamodularprogrammeonfintech.Theworkingtitleis‘LeadershipinFutureofFinancialServices’.Thetargetconsortiumisbankingandlargefinancialservicescompanies.
BPFI/FPAI IMI,Industry Q2
Deliver the MSc in Renewable Energy and Environmental Finance MeetingtargetsintheParisAgreementandintheUNSustainableDevelopmentGoalswillrequireaglobalinvestmentof$90trillioninsustainableinfrastructureassets.UCDMichaelSmurfitBusinessSchoolwillcontinuetoup-skillfinanceprofessionalsinthisareaviatherecentlyupdatedMScinRenewableEnergyandEnvironmentalFinance.
SNI UCDMichaelSmurfitBusinessSchool,Industry
Q3
Deliver the Postgraduate Diploma in International Financial Services Law ThereisstrongindustrydemandfortheDiplomawhichhasrecentlybeenreconfiguredtoincludeadditionalelectivemodulesonFundsLawandRegulation,onLawandRegulationofInsurance,andonthePrinciplesofBanking.Theexpansionoftheprogrammewillallowforgreaterspecialisationwithintheareasoffundslaw,insuranceandbanking.
Law Society FinuasSkillnet
Law Society of Ireland,UCDSutherlandSchoolofLaw,SkillnetIreland,D/ES
Q3
Develop and deliver and MSc in Applied Blockchain (Distributed Ledger Technologies) TheprogrammewillfurtherdeveloptheblockchainknowledgebaseinIreland,whileenablingindustryprofessionalstofurthertheircareersintheblockchainspace.
TechnologyIrelandICTSkillnet
D/ES,Skillnet,Ireland
Q3
Deliver and extend the postgraduate programme in applied alternative investmentsTheInstituteofBankingwillcontinuetodeliverapostgraduateprogrammeinappliedalternativeinvestmentsandextenddeliveryofthisandotherrelevantInstituteofBankingIFSprogrammestoindustrylocationsthroughoutIreland.
InstituteofBanking
Industry Q4
65 Ireland for Finance
Summary of Actions Lead Stakeholder Deadline
38 Undertake a deep sector analysis of future sustainable finance and responsible investment skills and talent requirements
Inpartnershipwithindustrybodies,SustainabilitySkillnetandSustainableNationIrelandwillundertakeadeepsectoranalysisoffuturesustainablefinance,responsibleinvestmentskillsandtalentrequirements,ensuringIrelandisfitforpurposeasalocationofaglobalsustainablefinancehub,attractingthenextgenerationofgreenandsustainablefinanceprofessionalsandcapitalmarketactivitiestofinanceIrishandinternationalsustainableinfrastructureactivities.
SustainabilitySkillnet
Industry, D/ES,SNI,SkillnetIreland,SIFIreland
Q2
39 Support the development and implement diversity targets across the IFS sector
IncreasingdiversityandinclusionwillreducetheriskofshortagesofstaffbybroadeningtheappealofthesectorandencouragingfurthergrowthofthesectoracrossIrelandbywayofdedicatedprogramssuchas‘WelcomeBackProgrammes’.TheIACwillactasambassadorstopromotediversityandinclusion,andthosenominatedbysectorbodiestotheIACwillreflectwhateachsectorisdoinginthisarea.
Governmentdepartmentsandpublicsectorbodieswillsupportindustrybyhighlightingeffortsindustryundertakesastheydrivetheimplementationandprogressionofincreaseddiversity.
IAC Industry,IDA Quarterly
40 Launch a targeted campaign to support people who wish to change career
Incertainsectors(includingretailbanking)thereiscurrentlyrapidchangeandtransformationwithjobsbeingdislocated.IFSisanattractivesectorinwhichtoworkandadditionalemploymentopportunitiesarisefromBrexit.ThereisanopportunitytosupportpeoplewhowishtochangetoacareerinIFSthroughreskillingandqualifications.TheInstituteofBankingwilllaunchatargetedcampaigntosupportconvertersthrougheducationqualificationsandupskilling.
InstituteofBanking
IrishFunds,IFSemployers
Q4
66
Summary of Actions Lead Stakeholder Deadline
41 100 Women in Finance NextGen Dublin Committee – Events
Followingthesuccessfullaunchofthe100WomeninFinanceDublinCommittee,ithasnowlaunchedits100WomeninFinanceNextGenDublinCommittee.
TheNextGenCommittee’sprogramfocusesonmembersof100WomeninFinancewhohaveupto8–10years’experienceintheindustryandwhoarelookingtobuildlasting,synergisticrelationships.NextGeneventsareuniqueinthefinancialservicesindustry.Theeventswillhearfromleadersinthesectoraboutthelessonstheylearned,getinsightsintotheoutlookforthefinancialmarkets,strengthenprofessionalnetworks,andhoneskillsforadvancement.TheNextGenCommitteecreatesaneducationalandpeer-to-peerforumthroughopendialogueaboutthecurrentinterestsandchallengesfacingworkingwomenandfinancialindustryprofessionals.
NextGenDublinwillhostthreeorfoureducationaleventsin2019andwillestablishacross-industrymentoringprogram.
100WomeninFinanceDublinCommittee
Industry, 100WomeninFinanceNextGenerationDublinCommittee
H1,H2
42 Deliver an accredited programme in risk, governance, ethics and culture
TheInstituteofBankingwillsupportthefinancialservicessectorthroughthedeliveryofarangeofuniversityaccreditedprogrammesin:
· conductrisk,cultureandoperationalriskmanagement, · bankingriskmanagementpractices, · leadingculturalchangeandethicalbehaviourinfinancialservices,
· consumerprotectionrisk,cultureandethicalbehaviour,and · dataprotection.
Itwillcontinuetodevelopdesignationswhichincludemandatorymodulesinethics:
· CharteredBanker,
· ProfessionalBanker,
· fundsdesignation,and · digitaldesignation.
InstituteofBanking
Industry Q4
67 Ireland for Finance
Communications Summary of Action Lead Stakeholder Deadline
43 Marketing of IFS Strategy
Aprofessionalmarketingapproachtolaunchthestrategywillbedeveloped.
D/Fin Industry,PSCG Q2
44 Plan the European Financial Forum 2020
Inlinewiththefive-yearcycleofthestrategyandsubjecttofunding,IDAwillpresentareviewoftheEuropeanFinancialForum2019totheJointCommittee.Basedontheoutcomeofthereview,theIDAwillprepareaplanforthehostingofthe2020event.Inpreparingthisplan,theIDAwillconsultwithpublicsectorandindustrystakeholders.Aprojectplan,includingrequeststoallstakeholdersandresourceimplications,willbepresentedtotheJointCommittee.TheIDAwillcontinuetoupdatetheJointCommitteequarterlyonprogress.
AprojectplanwillbecompletedbyQ2.
IDA PSCG,industrystakeholders
Q2
45 Industry promotion of IFS Ireland brand
IndustrywilllooktofurtherenhanceitsworkinpromotingIrelandasalocationforIFS,workingcloselyincollaborationwithstakeholderssuchastheIDA,EI,theDepartmentsofFinanceandofForeignAffairsandTrade.Thiswillinvolverepresentativeorganisationsandindividualcompaniesandtheiradvisers.TheIFSIrelandbrandshouldbeusedinallpromotionaleventsdomesticallyandinternationally.
TheIACwillupdateJointCommitteequarterly.
IAC CommunicationsGroup,Industry
Quarterly
46 Strategic promotion and marketing of Ireland’s IFS sector overseas under the IFS Ireland banner brand
TheCommunicationssub-groupwillreportonaquarterlybasistotheJointCommitteeonthemeasuresbeingtakentopromoteIrelandasalocationforinternationalfinancialserviceswithafocusonensuring:
Quarterly
· toco-ordinateandsupportcomprehensiveandconsistentmessagingandpromotionalactivitiesacrossbothpublicandprivate sectors and
Communica-tionsgroup
D/Fin,D/FAT,EI,IDA,IAC
· todisseminatepromotionalmaterialonIreland’sIFSoffering.
Communica-tionsgroup
D/Fin,D/FAT,EI,IDA,IAC
68
Summary of Actions Lead Stakeholder Deadline
Tohelpbuildbrandawareness,merchandisingandadvertisingoftheIFSIrelandbrandwillbeconsidered.
Therewillbeactiveengagementbetweenindustryandthepublicsector,includingaquarterlyreporttotheJointCommittee,onoverseaspromotionandmarketingofIreland’sIFSsectortoensureacoordinatedandstrategicapproachtothepromotionandmarketingofIrelandasacentreofexcellenceforIFS.Elementsofthemarketingstrategywillinclude:
D/Fin HLIC,IAC
· overseas trade missions:coordinatedprogrammeofoverseastrademissionsandhigh-profileIFS-relatedeventsinconsultationwithindustrystakeholders,focussedonconsolidatingIFSrelationshipswithestablishedpartnersandtheexplorationofnewIFSopportunitiesingrowingmarkets;
D/FAT,D/BEI Communicationsgroup,EI,IDA, D/Fin
· ministerial and other official visits:promotetheIFSsectortoexistingandgrowingfinancialservicesmarkets,includingviatheStPatrick’sdayprogrammeofvisits;
D/FAT Communicationsgroup,EI,IDA, D/Fin
· shared IFS calendar:publicsectorandindustryrepresentativebodiestocontinuetodevelopandshareaninclusivequarterlycalendarofIFS-relatedevents,bothdomestic(regional)andinternational;
Communica-tionsgroup
IAC,D/Fin,EI,IDA,D/FAT
· banner brand:increasethedeploymentofthebannerbrandinpromotionalmaterialandatpromotionaleventsorganised,supported,orattendedbyMinisters,departments,oragenciesandatindustrypromotionevents,domesticallyandinternationally.
Communica-tionsgroup
IAC,D/Fin,EI,IDA,IAC
47 Co-host the European Climate Finance Innovation Summit in Dublin, May 2019
InpartnershipwiththeDepartmentofFinance,theDepartmentofForeignAffairsandTrade,theWorldBank,othermultilateralagenciesandEurope’sEITClimate-KIC,SustainableNationIrelandwillco-hosttheEuropeanClimateFinanceInnovationSummitinDublin,inMay2019.
Inaddition,SustainableNationIrelandwillorganiseIreland’ssecondClimateFinanceWeekinNovember2019toshowcaseIreland’scommitmenttomobilisingcapitalmarketparticipantsinsupportofmeetingtheParisAgreementandUNSustainableDevelopmentGoals.
BotheventswillbeheldunderthebanneroftheYearofSustainableFinance2019.
SNI D/Fin,D/FAT,WorldBank,Othermultilateralagencies,Europe’sEITClimate-KIC
Q2,Q4
48 Promotion of Ireland abroad
TheIDAandEIwillhosteventsinselectedlocationstopromoteIrelandasalocationforIFS,andwillsupportotheractionsinthestrategy.
EI,IDA Industry Representativebodies
Q2
69 Ireland for Finance
Summary of Actions Lead Stakeholder Deadline
49 Promote Ireland as a location for sustainable finance
SupportforthedevelopmentofIrelandasagloballocationforsustainablefinancewithinthecurrentfinancialservicesecosystemwillbecontinued.KeytothisdevelopmentisthepromotionofIrelandasthehubfortheUNEnvironmentFinancialCentresforSustainability(FC4S)EuropeannetworkandtheestablishmentofIrelandasagloballocationforsustainablefinancewithinthecurrentfinancialservicesecosystem.
TheIDA,IFSIreland,andFinanceGreenIrelandCommittee(FGI)willworkwithfinancialsectorassociationsinthepromotionofthejurisdictionwithrespecttoDublinandIreland’ssustainablefinancecredentialsthroughanannualisedClimateFinanceWeekSummitandyearlyupdatetotheSustainableFinanceNationalBlueprint.
TheFGICommitteeshouldcoordinateandworkwiththeCommunicationsgrouptoensuretheofferingreflectsdevelopmentsinthearea.
For2019,allsustainablefinancepromotionalactivitieswillbebrandedunderthebanneroftheYearofSustainableFinance(YOSF19).YOSF19willclosewiththehostingofIreland’ssecondClimateFinanceWeek,inthefourthquarterof2019.
SNI CommunicationsGroup,IDA,Stateagencies,Governmentdepartments,Financialservicesrepresentativebodies,Europe’sEITClimate-KIC
Q4
50 Host a number of events at which Ireland will be promoted as a location for international insurance services
Theeventswillconsistof:
· twopromotionaleventsinBrussels, · aninternationalCEObreakfastmeeting, · theInsuranceIrelandannuallunch,and · theEuropeanInsuranceForumDublin.
Insurance Ireland
IDA,Individualstakeholders
H1,H2
51 Establish roundtable to discuss the legal perimeter applicable in Ireland for Security Token Offerings and Initial Coin Offerings
AroundtablediscussiononthecurrentregulatoryperimeterapplicabletoSTOsandICOswillbeorganised,tobeattendedbytheDepartmentofFinanceandotherrelevantstakeholders.
D/Fin LawSociety,FinuasNetwork,Skillnet,BarCouncilofIreland
Q4
70
Appendix IIGlossaryALI AircraftLeasingIrelandAPI applicationprogramminginterfaceBPFI Banking&PaymentsFederationIrelandCoL City of LondonCSO CentralStatisticsOfficeD/AFM DepartmentofAgriculture,FoodandtheMarineD/BEI DepartmentofBusiness,EnterpriseandInnovationD/ES DepartmentofEducationandSkillsD/FAT DepartmentofForeignAffairsandTradeD/Fin DepartmentofFinanceDLT distributedledgertechnologyEFF EuropeanFinancialForumEI EnterpriseIrelandESG environmental,socialandgovernanceESMA theEuropeanSecuritiesandMarketsAuthorityETF exchange-tradedfundFC4S InternationalNetworkofFinancialCentresforSustainabilityFDI foreigndirectinvestmentFPAI Fintech&PaymentsAssociationofIrelandFSI FinancialServicesIrelandGBS globalbusinessservicesHLIC High-LevelImplementationCommitteeIAC IndustryAdvisoryCommitteeIAIM IrishAssociationofInvestmentManagersIDA TheIndustrialDevelopmentAuthorityIFS internationalfinancialservicesIII InsuranceInstituteofIrelandIMDO IrishMaritimeDevelopmentOfficeIMI IrishManagementInstituteISIF IrishStrategicInvestmentFundKIC KnowledgeandInnovationCommunityMTF multilateraltradingfacilitiesOECD OrganisationforEconomicCo-operationandDevelopmentPEPP Pan-EuropeanPersonalPensionProductPRB PermanentRepresentationinBrusselsPSCG PublicSectorCoordinationGroupPSD2 the2015EUPaymentServicesDirectiveRQFII RenminbiQualifiedForeignInstitutionalInvestorSARP SpecialAssigneeReliefProgrammeSME Smallandmedium-sizedenterprisesSNI SustainableNationIrelandSSM SingleSupervisoryMechanism
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