Tumukunde Emphasizes Competence as NSSF Eyes Broader Economic Role

General Henry Tumukunde, the Minister of Gender, Labour and Social Development, has urged the National Social Security Fund (NSSF) to prioritize competence in its leadership as the institution prepares to take on a more significant role in Uganda’s economic landscape.

Speaking at the NSSF’s 14th Annual General Meeting in Kampala, Tumukunde emphasized that the Fund, which manages over $9 billion in member savings, should transition from its primary function of social security provision to becoming a key driver of economic transformation.

He issued a stern warning regarding board appointments, stating that individuals lacking the necessary qualifications should step down. “People must leave NSSF if they don’t qualify to be board members because it’s a space for competence and it works under the rules,” Tumukunde asserted, highlighting the need for skilled management aligned with established regulations.

NSSF Managing Director Patrick Ayota reassured members about the security of their savings, stating, “Your money is safe.” He detailed the Fund’s strategies for growth, including pursuing partnerships, encouraging group savings, investing in infrastructure, enhancing services, and developing new savings products to broaden social security coverage.

Ayota also noted efforts to increase youth engagement with NSSF, reporting that 13,000 young people have already started saving with the Fund. He highlighted a substantial 41% increase in membership and savings during the 2022/23 period, alongside new eligibility for members to access their accumulated funds.

Minister Tumukunde challenged NSSF to actively leverage its substantial financial resources to contribute more directly to Uganda’s economic development, urging the Fund to “see itself as a catalyst of this economy in Uganda.”

These directives come as NSSF aims to extend its reach to a wider population, boost savings rates, and strategically invest member funds into areas that stimulate economic activity.

Source: Nile Post