MPs Probe NSSF Over Shs180b Investment in Nsambya Marriott Hotel

Lawmakers in Uganda have demanded strict assurances from the National Social Security Fund (NSSF) to safeguard workers’ savings following a substantial financial commitment into real estate. The parliamentary scrutiny centers on an injection of approximately Shs180 billion toward the development of a Marriott-branded hotel project located in Nsambya.

The directive was issued during a session led by Parliament’s Committee on Commissions, Statutory Authorities and State Enterprises (COSASE), chaired by Muwada Nkunyingi. During the proceedings, members of Parliament questioned fund managers regarding the financial prudence, risk management, and expected returns tied to the venture.

Records indicate that NSSF acquired a 30 percent stake in CS Hospitality, the corporate entity spearheading the hotel development. The remaining majority stake of 70 percent is held by prominent local businessman Ponsiano Ngabirano, who is well-known as the proprietor of Capital Shoppers.

Defending the transaction, NSSF leadership maintained that the deal represents a high-yield strategic real estate investment. Fund representatives pointed out that rigorous technical assessments were conducted prior to the commitment, factoring in projected tourism cash flows and anticipated long-term facility growth within Kampala’s hospitality sector.

However, the intense parliamentary scrutiny over the Marriott hotel venture has prompted COSASE to widen its investigation into the fund’s broader hospitality and real estate portfolio. Lawmakers emphasized the need for continuous oversight to ensure that contributors’ funds are protected against speculative risks and managed with utmost transparency.

Read more details in the Daily Monitor report.