THE “GREEN IFSC” has the potential to create about 7,000 new jobs over the next five years, Taoiseach Brian Cowen said yesterday.

In one of the final policy initiatives to be launched by the outgoing administration, Mr Cowen said the green finance industry could generate revenues of €6 billion for the country.

Despite the political uncertainty of the last week, the Green IFSC initiative – which has been in the pipeline for almost two years – was officially launched yesterday, almost two months earlier than envisaged.

While the final policy document related to the Green IFSC had been circulated to Cabinet almost two weeks ago, it was thought the official launch would take place in March.

The Green IFSC seeks to establish Ireland as a hub of green finance, by building on the country’s existing financial services industry and expertise.

Mr Cowen said a central strand of the proposal is the establishment of an international carbon standard and an associated international voluntary offset registry for Ireland. He said the Government had agreed “in principle” to provide seed funding of €6.8 million over three years to develop the plan.

However, the final business plan will need Government approval, he said. The IDA and Enterprise Ireland, in conjunction with the Green IFSC Steering Group, are to prepare and submit the final business plan by March 2011.

Fine Gael’s Richard Bruton said last week that his party is “sympathetic to the concept of the Green IFSC” and would look at the specific merits of the plan.

Ibec welcomed the announcement of the details of the proposed Green IFSC initiative.

Financial Services Ireland, the Ibec group that represents financial services companies, said the commitment of €6.8 million to this initiative is a demonstration of public-sector support for the IFSC and is “an indicator of the value of green financial services to the economy”.

“Ireland is already a world-leading centre for asset finance and leasing, and with the right approach we can also become a leading exporter of green financial services,” a spokesman said.