National Social Security Fund (NSSF) cautions that it will declare a lower interest rate to savers for the financial Year 2018/19 on account of a drop in its total income compared to the previous year.
According to the NSSF Managing Director Richard Byarugaba,while the fund’s revenue which includes interest, dividend and rental income increased by over 20% to Ugx 1.3 trillion, over all income reduced by over Ugx 402.8 billion due to a decline in regional equity prices and currencies.
For instance ,the Nairobi Stock Exchange lost 14%,the Uganda local share index shade 10% while Tanzania plummeted by over 21% said Byraguaba.
Speaking to the media, Byarugaba said that given the NSSF’s performance this year, the fund will not match the 15% interest rate paid the previous FY 2017/18 but it will still pay a competitive return at least 2% points above the 10 year average rate of inflation.
Byarugaba also assured members that the fund is stable and financially sound, and continues to grow both in value and membership.
The Minister of Finance, planning and economic development Hon Matia Kasaija will declare the new interest rate at the annual members meeting on September 27th 2019