KAMPALA – The National Social Security Fund (NSSF) has promised that its members will get a better interest rate this year after the Fund posted better financial results in the 2018/2019 financial year.
Presenting the financial results in Kampala on Tuesday, the NSSF Managing Director, Mr Richard Byarugaba, said members’ contributions increased from Shs1 trillion to Shs1.2 trillion, reflecting a growth of 15 percent.
He said this was reflected in the asset under management which increased by 13.1 percent from Shs9.9 trillion in June 2018 to Shs11.3 trillion at the end of June 2019.
“Since fiscal year 2012/13, we have consistently delivered on that commitment. I am, therefore, extremely confident that the minister will declare a rate that will achieve and even surpass this target. This promise which we started fulfilling in the FY 2012-13 will be maintained this year,” he said.
Mr Byarugaba said the Finance minister, Mr Matia Kasaija, will next week declare the interest the NSSF plans to pay to its members for the last financial year.
Mr Byarugaba said they paid out benefits of UGX450 billion, up from Shs360 billion the previous year.
He said NSSF’s current membership stands 1.981 million, with 830,000 contributing every month.
“Employers are 46,000 but the active employers are 21,000,” he said.
Mr Byarugaba said the future of the Fund remains bright and they will continue to invest member’s money in instruments that are defensive and growth in nature.
“Our members should be confident about the health of the Fund in the short, medium and long term as the Fund remains financially stable and growing. We have the ability and means to withstand any shock in the economy, given our aggressive but prudent investment approach and our investment diversification strategy,” he said.