✳ Year – Interest
2018 ✅ 15%
2019 ✅ 11%
2020 ✅ 10.75%
2021 ✅ 12.15%
NSSF to give out sh1.52 trillion to members
Kampala, Uganda | THE INDEPENDENT | Finance Minister Matia Kasaija has announced a 12.15% interest rate for National Social Security Fund (NSSF) members for FY 2020/2021. The announcement was made today during the 9th annual members meeting held at Sheraton.
This new rate equals sh1.52 trillion shillings. It is above the 10 years average rate of inflation which currently stands at 5.43%. It is one of the most competitive rates in the market this year, Kasaija said.
It is the second year in a row that NSSF declares an unexpected double digit interest despite the economic slowdown occasioned by the COVID-19 pandemic. Last year’s rate was 10.75% for the financial year 2019/2020.
“For over six years that I have been Minister of Finance, Planning and Economic Development, charged with overseeing the Fund, the Fund has registered growth every year across its key performance indicators,” Kasaija told members, many of who followed the day’s event online.
“I am aware that this growth is not by accident but has been borne out of a deliberate vision and strategic focus. I would therefore like to applaud the Board and Management for a job well done.”
2020/21 performance summary
- Assets under management increased by 17% from Shs13.3tn to Shs15.5tn
- Total comprehensive income increased by 25% from Shs1.472tn to Shs1.84tn.
- Member contributions increased by 8% from Shs1.27tn to Shs1.37tn.
- Benefits paid to qualifying members increased by 29% from Shs496.4bn in 2019/2020 to Shs642.3bn in 2020/21.
- Cost of administration improved from 1.20% in 2019/2020 to 1.03% in 2020/2021