Nasfund has K597mil in profits, K7bil in assets: CEO

The National Business

THE National Superannuation Fund (Nasfund) has announced a net profit of about K597 million with assets valued at K7 billion for the 2023 financial year.
Nasfund chief executive officer Rajeev Sharma said the result was underpinned by their resilience and strategic adaptations undertaken.
“2023 has been the best performing year of the fund since 2013,” he said.
“Throughout the year while there were economic challenges, Nasfund has managed to strategically adapt through these challenges to achieve this result.
“Despite the increased tax on the tier one banking sector, which rose from 30 per cent to 45 per cent in January 2023 and had a significant influence on Nasfund, our financial expertise helped mitigate the impact to a loss of around K20 million or 0.31 per cent of the annual crediting rate for the 2023 financial year,” Sharma said.
He added that although the fund experienced a 3 per cent decline in yields on Government securities in 2022, impacting its FY23 results with reduced interest income of K30 million or 0.46 per cent, its strategic response and portfolio adjustments had been proactive, measured and considered.
Nasfund’s highlights for FY2023 include:

  • Cash income of K485 million compared to budget of K432 million (FY22: K493 million Income);
  • Valuation gain of K180 million (FY22: K44 million loss);
  • Foreign currency gain of K84 million (FY22: 40 million loss);
  • Expenses of K74 million compared to budget of K82 million (FY22: K72 million);
  • Net profit before valuation of K415 million against Budget of K278 million;
  • Net profit after tax of K597 million (FY22: K256 million);
  • Total assets of K7.13 billion (FY22: K6.35 billion);
  • Net assets of K7.07 billion (FY22: K6.30 billion);
  • Employer receipts of K706 million, 9 per cent higher than collected in 2022 (FY22: K650 million);
  • Member withdrawals of more than half a billion Kina – K534 million – (FY22: K546 million);
  • 34,415 new members registered resulting in a 5 per cent increase in total membership to 688,169 members (FY22: 653,754);
  • Gross employer base increased by 7 per cent to reach 3,585 employers (FY22: 3,020);
  • 905 shop floor presentations covering 26,163 members / potential members compared to 771 conducted in 2022; and,
  • Reserve K31 million to K34 million.