The National Social Security Fund (NSSF) has announced a 12.15 per cent interest rate for its members for the Financial Year 2020/2021.
The announcement was made today by Finance Minister Matia Kasaija during the 9th Annual Members meeting held at Sheraton Hotel.
“In exercise of the powers conferred upon me by section 35(2) of the NSSF Act, I have the pleasure to declare an interest of 12.15 per cent to be paid in interest to members for the Financial Year 2020/2021,” Kasaija said.
This is higher than the 10.75 per cent paid by the fund in the previous financial year 2019/20. In the 2017/18 financial year, NSSF paid the highest interest rate to its members at 15 per cent.
According to Kasaija, the fund will now pay Shs1.52 trillion to all its members which is an increase from the Shs1.14 trillion paid last financial year.
“This new rate equals Shs1.52 trillion. It is above the 10 years average rate of inflation which currently stands at 5.43 per cent. It is one of the most competitive rates in the market this year,” Hon Kasaija said.
“As provided for in the NSSF Act, this new rate will be calculated and credited on the balance outstanding on the members’ accounts as of 1st July 2020. I would like to congratulate the NSSF Board, Management and Staff once again for a stellar performance,” he added.
Kasaija called upon Ugandans to adopt the culture of saving saying the #Covid-19 pandemic has taught many a tough lesson.
The NSSF Managing Director Richard Byarugaba said the fund grew its asset base by 17 per cent translating into Shs15.5 trillion largely driven by investment incomes. He added that their biggest growth was registered in incomes from Shs1.4 trillion to Shs1.8 trillion.