NDN Staffer
WINDHOEK, April 21 — The Government Institutions Pension Fund (GIPF) has declared an increase of 5.46% in pension benefits for the financial year 2022/2023. Effective from 1st April 2023, this increment marks an improvement from the 4.62% increase granted last year. The Board of Trustees deliberated on the rate after conducting an actuarial due diligence report which included assessing the average annual return over the past five years, present and future liabilities, and the fund’s assets.
To achieve a balance, the Fund uses a 3-year averaging method, with returns from the December year-end serving as a reference point. Despite the current volatile economic environment, the GIPF remains committed to ensuring its members receive guaranteed benefits. The Fund aims to provide pensioners with an increase that matches the Namibian Consumer Price Index (NCPI), subject to affordability.
David Nuyoma, CEO and Principal Officer of GIPF, expressed that the Fund’s primary objective is to protect and enhance members’ financial security. The pension benefit increases pensioners against unexpected changes in their purchasing power, thereby improving their financial stability. The GIPF acknowledges the volatile nature of investment returns, global geo-political conditions, and the need to manage pensioners’ expectations. However, the Fund strives to ensure that pensioners live within inflation parameters, providing them with financial security in their retirement years.
– Namibia Daily News
