National Social Security Fund (Uganda)

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National Social Security Fund
Type Quasi-Government
Industry Social Security
Founded 1985
Headquarters 14th Floor Workers House
1 Pilkington Road
Kampala, Uganda
Key people Ivan Kyayonka
Chairman
Richard Byarugaba
Managing Director
Geraldine Ssali Busuulwa
Deputy Managing Director
Products Investments
Revenue Increase Aftertax: US$93.2 million (UGX:238.8 billion) (2012)
Total assets US$1.56 billion (UGX:3.9 trillion) (December 2013)[1]
Website Homepage

The National Social Security Fund (NSSF) is a semi-government agency responsible for the collection, safekeeping, responsible investment and distribution of retirement funds from employees of the private sector in Uganda, who are not covered by the Government Retirement Scheme. Participation for both employers and employees is compulsory.

Investment Portfolio[edit]

The current National Social Security Fund investment portfolio includes the following:

  • Fixed Income
    • Short term: Fixed deposits & Treasury bills
    • Long term: Corporate loans, Corporate bonds & Government bonds
  • Real Estate
    • Properties
    • Land
  • Equities
    • Private Equities
    • Listed Equities

The Fund is a leading investor on the Uganda Securities Exchange (USE)[2] According to its 2012 Annual Financial Report, the Fund had cash deposits in Ugandan commercial banks valued at about US$270 million (USh686 billion). At that time, its investment in domestic and foreign equities was valued at over US$540 million (USh1.386 trillion).[3] The table below lists the known investments that the Fund is involved in, with the approximate shareholding in each investment:


NSSF (Uganda) Investment Portfolio
Rank Investment Percentage Shareholding
1 Housing Finance Bank* 50.00
2 Uganda Clays Limited* 32.51
3 Kampala Serena Hotel* 20.00
4 New Vision Group* 19.61
5 DFCU Group* 5.93
6 Stanbic Bank Uganda* 1.72
7 Bank of Baroda Uganda* 1.50
8 Centum Investments* 0.66
9 Safaricom* 0.60
10 Umeme* 14.27
11 Nsimbe Holdings Limited 100.00
12 Victoria Properties Limited 50.00
13 Temangalo Estate 100.00
14 Pension Towers 100.00
15 Workers House 100.00
16 Social Security House 100.00
17 Lubowa Housing Project 100.00[4]
18 Others 100.00

(*) = Shares traded on Uganda Securities Exchange and/or Nairobi Stock Exchange.

History[edit]

The National Social Security Fund (NSSF) is a National Saving Scheme mandated by Government through the National Social Security Fund Act, Cap 222 (Laws of Uganda) to provide social security services to employees in Uganda. It was established by an Act of Parliament (1985) to provide for its membership, payment of contributions to, and payment of benefits out of the Fund. NSSF is a provident fund (pays out contributions in lump sum). It covers all employees in the private sector including Non-Governmental Organisations (NGOs), that are not covered by the Government's pension scheme. It is a scheme instituted for the protection of employees against the uncertainties of social and economic life.

Ownership[edit]

As of 31 December 2013, NSSF had a total of about 8,500 employers registered with the Fund. The number of account holders stood at over 450,000 members. In February 2009, the President of Uganda fired the Minister of Finance, whose ministry supervises the activities of NSSF. Also terminated were the Managing Director of the NSSF and his deputy.[5] With the appointment of a new Board of Directors in 2009 and a new management team, the NSSF has since recorded significant improvements in corporate governance. Analysts in the country say NSSF has since moved on to be a leading player in the country's economy.[6]

Restructuring[edit]

In late 2010, NSSF underwent a restructuring process aimed at making it more efficient, competitive and responsive to the needs of the members. The Fund is now poised to provide a wide range of social security products and also play its role as the lead institution for domestic capital formation and deepening the financial sector.[7]

Pension Towers[edit]

Beginning in the early 2000s, NSSFU has been developing an office complex known as Pension Towers, along Lumumba Avenue, on Nakasero Hill, one of the most prestigious neighborhoods in Kampala, Uganda's capital city. The complex consists of three interconnected towers; one central tower of twenty-five stories in height, flanked on either side by a ten-story tower. Roko Construction Company, a Ugandan construction company constructed the four basement floors between 2008 and 2012, but failed to qualify for further works on the project. Three Chinese firms are in a final bidding process to complete the construction, between 2012 and 2015. Construction costs for the complex are estimated at US$107 million (UGX:260 billion).[8] When finished, the three towers will contain in excess of 59,410 square metres (639,500 sq ft) in office space. Parking for over 500 vehicles will be provided in the development.[9]

Board of Directors[edit]

Government of Uganda appointed a Board of Directors in May 2012. The current Board has the following as its members, as of June 2012:[10]

  1. Ivan Kyayonka - Chairman
  2. Pius Bigirimaana
  3. Sarah Walusimbi
  4. Musa Okello
  5. Henry Mukasa
  6. Agnes Kunihira
  7. Christopher Kahirita
  8. Richard Bigirwa
  9. Richard Byarugaba - Managing Director and CEO

Management[edit]

The management of the NSSF consists of the following individuals, as of December 2014:[11]

  • Richard Byarugaba - Managing Director & Chief Executive Officer[12]
  • Geraldine Ssali Busuulwa - Deputy Managing Director[13]
  • Richard Wejuli Wabwire - Head of Legal and Corporation Secretary
  • Edward Ssenyonjo - Ag. Head of Risk Management
  • Patrick Ayota - Chief Finance Officer
  • Collin Babirukamu - Head of Information Technology
  • Barbara Teddy Arimi - Head of Marketing & Communications
  • Geoffrey Barigye - Head of Internal Audit
  • Eseza C. Byakika - Head of Human Resources:
  • George Kyarikunda - Head of Administration
  • Stevens Mwanje - Head of Sales & Operations
  • Gerald Paul Kasaato - Head of Investments

Branch Network[edit]

As of June 2011, the National Social Security Fund has a branch network of twenty four branches in the central, eastern, northern and western parts of Uganda, with 6 in Kampala, the capital.[14]

  1. Head Office - Workers House, One Pilkington Road, Kampala
  2. Nakasero Branch
  3. Bugolobi Branch
  4. Kireka Branch
  5. Zzana Branch
  6. Kawempe Branch
  7. Bakuli Branch
  8. Arua Branch - Arua
  9. Gulu Branch - Gulu
  10. Lira Branch - Lira
  11. Moroto Branch - Moroto
  12. Soroti Branch - Soroti
  13. Mbale Branch - Mbale
  14. Tororo Branch - Tororo
  15. Jinja Branch - Jinja
  16. Lugazi Branch - Lugazi
  17. Masaka Branch - Masaka
  18. Mubende Branch - Mubende
  19. Masindi Branch - Masindi
  20. Hoima Branch - Hoima
  21. Fort Portal Branch - Fort Portal
  22. Kasese Branch - Kasese
  23. Bushenyi Branch - Bushenyi
  24. Mbarara Branch - Mbarara
  25. Kabale Branch - Kabale

Recent developments[edit]

NSSF Rebrands[edit]

On 6 December 2012, NSSF unveiled its new corporate identity - a refreshed blue and green logo as well as a new tag-line - A Better Future, which according to Richard Byarugaba, the NSSF Managing Director, symbolizes the fund's renewed commitment to be even more relevant to its members. The Fund also changed its tagline to "A Better Future".

Economic performance[edit]

The company's total assets increased to UGX:3.4 trillion (US $1.34 billion), as of June 2013. The fund's assets are invested in Fixed Income:(UGX2.7 trillion or 81 percent), Equities:(UGX391 Billion or 13 percent), and Real Estate:(UGX175 billion or 6 percent). Monthly contributions are up by 71 percent from UGX 24.5 billion in the financial year 2011/2012 to 42.0 billion in the financial year 2012/2013, while, member balances have also grown by 70 percent from UGX:1.7 billion to UGX:2.9 billion over the same period. The fund's balance sheet is growing by about UGX:50 billion (US$20 million), every month.[15]

See also[edit]

References[edit]

  1. ^ Nakaweesi, Dorothy (4 March 2014). "NSSF Profit Soars As Assets Increase to Shs3.9 Trillion". Daily Monitor. Retrieved 27 June 2014. 
  2. ^ Biryabarema, Elias (19 May 2014). "UK's Actis Says Sold Stake In Uganda's Umeme for $86 Million". Reuters. Retrieved 27 June 2014. 
  3. ^ NSSFU, . (2013). "31 December 2012 Financial Report". NSSF Uganda (NSSFU). Retrieved 27 June 2014. 
  4. ^ Otage, Stephen (30 November 2013). "NSSF Approves Shs100 Billion Lubowa Housing Project". Daily Monitor. Retrieved 27 June 2014. 
  5. ^ PTV, . (17 February 2009). "Uganda's President Yoweri Museveni Has Reshuffled His Cabinet, Sacking His Finance Minister And Handing Posts to His Brother And Wife". PressTv.com (PTV). Retrieved 27 June 2014. 
  6. ^ Kidimu, Gilbert (12 September 2013). "Uganda: Workers To Benefit From Pension Reforms". New Vision (Kampala) via AllAfrica.com. Retrieved 11 December 2014. 
  7. ^ Busuulwa, Bernard (3 April 2009). "NSSF Turns to Fund Managers". The EastAfrican. Retrieved 29 June 2014. 
  8. ^ Mugabe, David (23 May 2012). "NSSF Constructs Uganda’s Tallest Tower". New Vision. Retrieved 27 June 2014. 
  9. ^ NSSFU, . (2011). "Pension Towers to Reduce Office Space Shortage In Kampala". NSSF Uganda (NSSFU). Retrieved 27 June 2014. 
  10. ^ NSSFU, . (1 June 2012). "NSSF Board of Directors". NSSF Uganda (NSSFU). Retrieved 27 June 2014. 
  11. ^ NSSFU, . (December 2014). "Senior Management At NSSF Uganda". National Social Security Fund Uganda (NSSFU). Retrieved 11 December 2014. 
  12. ^ Vision, Reporter (29 October 2014). "Byarugaba Bounces Back As NSSF Boss". New Vision (Kampala). Retrieved 29 October 2014. 
  13. ^ Mukasa, Henry (20 March 2011). "NSSF Gets New Deputy Managing Director". New Vision. Retrieved 27 June 2014. 
  14. ^ NSSFU, . (June 2011). "NSSF Uganda Branch Network". NSSF Uganda (NSSFU). Retrieved 27 June 2014. 
  15. ^ NSSFU, . (June 2013). "Summary of NSSF Performance for Financial Year 2012/2013". NSSF Uganda (NSSFU). Retrieved 27 June 2014. 

External links[edit]