GIPF increase funds during the 2018/2019 financial year
05 Jun 2019 09:00am
WINDHOEK, 05 JUN (NAMPA) - The Government Institutions Pension Fund (GIPF) has increase its fund from N.dollars 110.4 billion to N.dollars 117 billion during the 2018/2019 financial year.
In a statement issued to the media on Tuesday, the GIPF said the growth is tacit proof of its commitment to adopting world class practices in all its endeavors.
The statement said GIPF caters to a growing membership base, which currently stands at over 135 000 in the form of active members and annuitants.
'These members demand nothing less than the highest level of service delivery. Hence, there is no region, town or village without GIPF members. We really seeks to live up to the value of providing service excellence,' reads the statement.
GIPF further condemned reports that purport that the fund gambles with pension money and that it is bailing out government form its debt.
'These stories are also devoid of truth. GIPF is a prudent asset owner, which has a fiduciary duty to its members to ensure that it adopts and applies best practices in all its functions. The investments that the Fund makes on behalf of its members are guided by leading global practices, with the guidance of a qualified investment consultant and are reviewed by an actuary on a regular basis,' the statement adds.
The statement said although GIPF is aware of the government budget challenges, the Fund believes that the Namibian government's debt is still a sound investment and the risks of default are significantly lower compared to other asset classes.
'GIPF especially believes the government's fiscal consolidation efforts will lead to positive results. The International Monetary Fund expects Namibia to gradually recover from the recession with 2019 GDP expected to grow at 1.4%, and at 2% and 3.3% in 2020 and 2021 respectively,' it said.