The National Superannuation Fund (NASFUND) has recorded a net profit of K849 million for the year 2024.
The strong financial performance and positive return is credited to the contributions of 715 000 members and a Net Asset Value of K8.1 billion.
Following these results, the Trustee Board has declared an interest crediting rate of 11.75% for the 2024 financial year.
This translates to a distribution of over K839 million to members’ accounts this weekend, reinforcing the Fund’s commitment to Growth and increasing members’ savings despite economic challenges.
According to NASFUND, the positive financial outcomes were significantly influenced by the valuation gains of K487m, more than double the valuation gain of K180m last year.
It should be noted that K280m of this gain is from investment in BSP, which represents 59% of the overall valuation gains.
NASFUND Chairlady Tamzin Wardley said in a year that started with the devastations of Black Wednesday, the continuing Government cashflow crisis adversely impacting local business performance, and shadowed by ‘a cost-of-living crisis’ the team at Nasfund has ensured that returns to members remain steady.
“Despite no major projects commencing in country during the year, we have seen strong Growth from our existing membership with 56,874 new members and 191 new companies joining the Fund.
“Our crediting rate for 2024 of 11.75%, underscores our dedication to providing strong and stable returns to our members above CPI over a rolling five-year period, which on average is 7.2% compared to 5.1% CPI average over the same time during 2020 to 2024.
“This performance underlines our dedication to ensuring the financial well-being and Trust of our members, and we look forward to this positive trajectory in the future,” Wardley said.
Main highlights for FY2024 include:
• Cash income of K482 million compared to budget of K486 million (FY23: K485
million income)
• Valuation gain of K487 million (FY23: K180 million)
• Foreign currency loss of K5.7 million (FY23: 84.9 million gain)
• Expenses of K78 million compared to budget of K86 million (FY23: K75 million)
• Net profit before valuation of K336 million against Budget of K334 million
• Net profit after tax of K849 million (FY23: K596 million)
• Total assets of K8.19 billion (FY23: K7.13 billion)
• Net assets of K8.12 billion (FY23: K7.07 billion)
• Contributions received of K793 million, 12% higher than collected in 2023 (FY23:
K705 million)
• Member benefit payments of K591 million (FY23: K534 million)
• Total membership increased by 4% to 715,873 members (FY23: 688,169)
• Gross employer base increased by 5% to reach 3,776 employers (FY23: 3,585)
• Interest credited of K839 million (FY23: 584 million)
• Interim Crediting Rate paid to Exiting Members during the year of K13.7 million
