NSSF total assets shoot up 15.3 percent in March 2022

KAMPALA– The National Social Security Fund [NSSF] issued a transparency statement showing that its total assets as at March 31, 2022 increased by 15.3 percent to about Shs 16.86 trillion from Shs 14.62 trn in 2021.

According to NSSF Managing Director Richard Byarugaba who published the statement that covers events from March 31, 2021, the growth was due to the continued growth in investment assets and contribution collection.

Some of the NSSF assets published include loans and advances, capital work in progress, investment properties, equity, deposits with banks, among others.

NSSF as of March31 2022 had given out loans worth about Shs 11.13bln, lower from about Shs 14.49 bln loaned out as of March 31, 2021.

Byarugaba in his statement says members’ contributions grew by 6 percent in the period under review to about Shs 1.0219 trn from about Shs 965bln in March 2021.

“Despite this being below budget by 9 percent, the improvement was driven by the re-opening of the economy especially the education sector,” he says.

Benefits that the Fund paid to qualifying members grew by 40 percent to about Shs 773bln mainly driven by mid-term benefits payouts, as the Fund commenced paying in March 2020, and had paid Shs 161bln as at March 31, 2022.

“98 percent of the beneficiaries are living members and 2 percent survivor benefit,” he says.

The Fund’s interest income, which makes up 95 percent of the Fund income, grew by 13 percent to about Shs 1.3 trn from about Shs1.2 trn.

“Dividend income grew by 146 percent to about Shs 67.8bln in 2022 from about Shs 27.5bln in 2021, driven by a general increase in dividends earned…from entities in the banking and telecom sectors.

Costs of administration, which is one of the major issues of concern, did better as they improved to 0.9 percent from 1.02 percent in the previous year on account of the growing balance sheet size coupled with cost savings realised from process improvements and better cost management, Byarugaba reports.

Real estate projects at a glance

According to Byarugaba, construction works are on-going at various real estate projects such as; Citadel Mbuya, Pension Tower, Lubowa, Temangalo Housing project, NSSF Mbale City House and Kyanja.

https://thecooperator.news/nssf-procures-new-pension-management-soft-ware/

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