Unclaimed pension benefits increased to N.dollars 172.8 million in 2017
03 Sep 2018 15:20pm
WINDHOEK, 03 SEP (NAMPA) The Namibia Financial Institution Supervisory Authority (Namfisa) has revealed that unclaimed pension benefits increased by 65.8 per cent in 2017.
According to the Namfisas 2017/18 financial report released on Thursday, the unclaimed benefits amounted to N.dollars 172.8 million.
The report indicated that tracking down beneficiaries proved challenging, especially when the information provided was inadequate, making payments difficult.
It further noted that pensioner accounts increased by 14.3 per cent, amounting to N.dollars 14.2 billion, as more members reached retirement.
Furthermore, the report indicated that the amount in reserves accounts decreased significantly from N.dollars 39.9 billion to N.dollars 25.5 billion by 31 December 2017, adding that pensions paid to retired members exceeded the amounts contributed made by new members.
The report also noted an increase pension fund assets by 11.2 per cent, which amounts to N.dollars 152.9 billion in 2017.
Current liability (companys legal financial debts) similarly increased by 88 per cent, which amount to N.dollars 4.1 billion by 31 December 2017, it said.
The report indicated that significant increase was because of other liabilities that comprised of unallocated reserves.
It further specified that the active members share account decreased by 0.5 per cent, amounting to N.dollars 82.6 billion.
The decrease in the active members share account was a result of the increase in retiring members outnumbering the increase in active members, the report added.