Africa-Press – Uganda. The National Social Security Fund (NSSF) has announced a record growth in earnings for the financial year ending June 30, 2025, reaching Shs 3.52 trillion. This represents an 11% increase from Shs 3.2 trillion recorded in the previous financial year 2023/24.
Member contributions also posted strong growth, rising by over 10% from Shs 1.93 trillion in 2023/24 to Shs 2.13 trillion in 2024/25 — marking another major milestone for the Fund.
Speaking at the Fund’s Annual Media Roundtable, NSSF Managing Director Patrick Michael Ayota attributed the positive performance to improved returns across the fund’s diversified investment portfolio.
Ayota noted that interest income rose from Shs 2.34 trillion to Shs 2.88 trillion, while dividend income from listed equity investments grew from Shs 175 billion to Shs 238.14 billion.
Real estate income also increased from Shs 13.24 billion to Shs 16.64 billion. Additionally, other income rose significantly from Shs 382 billion to Shs 651 billion.
Dividend earnings were buoyed by major regional companies. NSSF earned Shs 61.8 billion from MTN Uganda, Shs 36 billion from Airtel, Shs 21.5 billion from Equity Bank, and Shs 18.6 billion from CRDB Tanzania. Other earnings included Shs 16 billion from KCB, Shs 15 billion from Safaricom, Shs 15 billion from Tanzania Breweries, Shs 13.7 billion from NMB Bank, and Shs 13 billion from Stanbic Bank, among others.
The combination of strong earnings and increased member contributions led to a 17.5% rise in the Fund’s Assets Under Management (AUM), which climbed from Shs 22.13 trillion in 2023/24 to Shs 26 trillion in 2024/25.
Ayota said this performance provides a solid foundation as the Fund launches its next 10-year strategic plan — Vision 2035 — which aims to grow the Fund’s assets to Shs 50 trillion, expand coverage to 50% of Uganda’s working population, and achieve a customer satisfaction rate of 95%.
He also explained that the investment environment over the past year was challenging, despite a slight uptick in economic growth from 6.1% to 6.3%. Inflation remained under control, and the Uganda shilling strengthened against major currencies in the region.
However, volatility persisted in East African stock markets. Against this backdrop, Ayota said the Fund’s performance was commendable and sets the stage for future stability and expansion.
The fund’s voluntary savings product, Smartlife Flexi, continued to gain traction, registering Shs 27 billion in contributions since its inception.
Benefits paid out to members also increased, rising from Shs 1.12 trillion in 2023/24 to Shs 1.32 trillion in 2024/25, even though the number of claimants slightly declined from 44,250 to 43,501.
However, the Fund’s compliance rate declined from 57% to 52%. Ayota linked this drop to the 2022 legal reform that requires all employers, regardless of the number of workers, to remit NSSF contributions.
This has led to challenges for smaller employers, particularly those with limited cash flow. In response, NSSF has launched a series of sensitization and employer engagement initiatives to improve compliance across the board.
Ayota reaffirmed NSSF’s commitment to delivering value to its members and achieving its long-term strategic goals, despite challenges in the broader economic environment.
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