GIPF pays members N$6.3 billion

The Government Institutions Pension Fund (GIPF) has paid its retired members N$6.3 billion for the year ended 31 March 2024.
Of this, over N$3.5 billion was disbursed as pension benefits.

This is, however, a decrease when compared to N$6.9 billion in the previous period.

“This reduction represents a total decrease in benefit payments of over N$585 million,” the company’s report reads.

Contributions from members in the same period stood at N$4.8 billion.

At the time of reporting, the fund had 99 722 members – an increase from 97 512 recorded in 2023.

“The active membership base grew as new members joined and began contributing to the fund,” it states.

During the period under review, contributions increased by N$119.8 million, reaching N$4.8 billion.

“This represents a marginal increase of 2.6%, compared to the contributions received in the previous financial year,” the fund reports.

The fund’s assets, which are currently valued higher than the country’s gross domestic product, are standing at N$167 billion.

Of the total assets, N$40 billion is managed within the GIPF treasury portfolio, N$2.4 billion in direct investments, and N$117.1 billion by external investment managers, with N$12.6 billion allocated to international opportunities.

The fund says it is aware of the limitations of the Namibian market and is diversifying investments.

“We are aware of the limitations of the Namibian market and are diversifying investments,” the report says.

The GIPF’s investment portfolio comprises equities, fixed income, derivatives, private equity, collective investment schemes, cash, and deposits.

The fund invested N$18.5 billion in private markets, N$13.6 billion in dual-listed counters, and N$8.6 billion in primary listed counters.

Speaking at the launch of the fund’s report yesterday, GIPF board chairperson Penda Ithindi said the fund has a well-diversified asset portfolio.

“The fund’s investment return has increased with 13.2% to N$18 billion, compared to an increase of 7.7% (N$6.5 billion) in the prior year.”

Ithindi said active membership has increased by about 2.24% when compared to a decrease of about 3.4% during the previous financial year.