Today sees a significant and very welcome announcement by Irish Funds in relation to the Irish implementation of the ELTIF 2.0 framework.

Irish Funds has confirmed in a communication to member firms that following constructive engagement with the Central Bank of Ireland (the "Central Bank") on the implementation and application of an Irish ELTIF offering, the Central Bank is developing a standalone ELTIF chapter for inclusion in its AIF Rulebook and will consult on this shortly.

The revised European Long-Term Investment Funds Regulation (EU) 2023/606 (the “2023 Regulation”) will apply across the European Union from 10 January 2024. The asset management industry in Ireland has been focused on maximising the opportunities presented by the enhancements to the ELTIF framework contained in the 2023 Regulation and to ensure that Ireland will have an ELTIF 2.0 offering from 10 January 2024 when the 2023 Regulation comes into effect.

Irish Funds has confirmed that the Central Bank proposes to create a standalone ELTIF chapter of the AIF Rulebook which will set out rules for Irish ELTIFs which complement the requirements contained in the 2023 Regulation. The Irish ELTIF will be a standalone product and therefore, it will not need to be separately authorised as a RIAIF or a QIAIF. Accordingly the existing range of investment fund structures, including the ICAV and ILP, would be available to establish ELTIFs as a standalone category of regulated AIF.

It is understood that the Central Bank intends to consult on the amendments to the AIF Rulebook reflecting the specific requirements for ELTIFs as a regulated AIF which will facilitate the authorisation of ELTIFs under the 2023 Regulation as soon as possible.