Super fund’s net asset at K15bil

TOTAL superannuation industry net assets sit at K15 billion, says National Superannuation Fund (Nasfund) chairman Charles Vee.
Speaking during the fund’s recent 20th anniversary dinner, Vee said since the financial sector reforms in 2000, Nasfund and the superannuation industry in general had grown.
He said net assets for the fund itself grew from K223 million to K5.9 billion at the end of last year.
“Since the financial sector reforms in 2000, Nasfund and the superannuation industry in general has grown in leaps and bounds,” Vee said.
“Net asset value of the Fund (Nasfund) grew from K223 million in 2000 to K5.9 billion as Dec 31, 2021.
“During the same period membership increased from 209,000 members to over 623,000.
“The cumulative growth rate of Nasfund’s net asset value for the first 10 years was 25.8 per cent between 2001 and 2011.
“The next 10 years saw a cumulative growth rate of 9.54 per cent.
“Today, total industry assets sit at over K15 billion holding savings for more than 800,000 members with Nasfund being the largest fund by membership.
“The last 20 years will be recognised for the growth that the fund and the industry as a whole has experienced,” Vee said.
“They were good times and even though economic conditions have varied over time, the priority of successive trustees of the fund has always been to protect members’ savings and produce returns that are above inflation over a rolling five-year period.
“Nasfund has been able to successfully do this in the last 20 years.”
Vee said Papua New Guinea was a resource-based economy however it had been impacted in recent times with domestic economic conditions affecting the fund’s ability to invest internationally and global economic conditions affecting the price of key commodities.
“The board has therefore focused more on improving our processes, and systems, and our core business of service delivery to our members.”
Vee said the fund had initiated several activities and projects in line with its five-year strategic plan.
He said areas such as members’ housing and retirement planning was being addressed as were technology advancements to improve service. This includes the refurbishing of branch offices in Port Moresby, Alotau and building a second client service centre in Lae.