Richard Byarugaba, the Managing Director, National Social Security Fund (NSSF) has reassured members and the country that the fund has money to meet mid-term payments when the NSSF Amendment Bill is passed by Parliament and assented to by the President.
Section 24A of the Bill provides that “a member who is forty-five years of age and above and who has made contributions to the Fund for at least 10 years is eligible to mid-term access to his or her benefits of a sum not exceeding 20% of his or her accrued benefits”.
“Our projections show that about UGX 902.5 billion is required to pay members who qualify for 20% of their savings as proposed in the Bill.” Byarugaba said in a statement.
“An additional UGX 900 billion to pay members who qualify for NSSF benefits as provided for in the existing Act is also required.” He added.
To efficiently process the 20% mid-term payments, the Fund has commissioned an upgraded Pension Administration System, which will be installed on November 1, 2021.
“The NSSF Amendment Bill has our unqualified support because it is a progressive piece of legislation that will open many opportunities for the Fund, its members, and the country at large.” He explained.
The Fund is prepared to implement the NSSF Amendment Bill in its entirety as soon as it is passed into law, and attendant Regulations published.