Yesterday, the Inspector General of government releases a report on the National Social Security Fund, after a series of ‘bad’ transactions the Fund underwent with the recent one involving security minister Amama Mbabazi and his business partner Amos Nzeyi. The following are the recommendations.
* Appointment of NSSF Managers should be through a competitive process, Workers representatives on the board should be widened to reflect their 100% stake in NSSF.
* The powers of the minister (under which NSSF falls) should be * Limited to regulatory and policy issues.
* A stakeholder representative board of directors is recommended
* Benefits paid to members should be diversified. The board should determine the benefits to be paid in view of prevailing social and economic circumstances.
* NSSF should maintain the age of 55 years for payment of benefits as long as NSSF is flexible for members to access their savings through loans, unemployment benefits and other kind of benefits.
* NSSF should come up with sound investment policies that should encompass optimal diversification of investment portfolio, employment of competent fund managers, transparency & investments free of corruption and conflict of interest.
* NSSF should put in place a sound policy in regard to member’s account statements that address members concerns of getting their balances whenever desired, being informed of their balances regularly and maintenance of accurate account statements.
* NSSF should improve the returns to members and minimise delays in settlement of claims.
* NSSF should adopt a member-oriented approach, if it is to be relevant. This means that NSSF should design a social security scheme responsive to the members needs and allow for flexibility to members needs. Some of the members needs identified by the study include,
- Support on loss of employment, medical care,
- Withdrawal of part of the savings after a given period of time or savings up to a given amount,
- Loans to members for development purposes,
- Regular and accurate accounts statement.
* Reduce NSSF operational expenses in order to improve on the members’ returns and benefits. Our view is that the operational expenses should not exceed 10% of revenue. Bank of Uganda should determine the limit
* The focus of NSSf coverage should be on improving NSSF operations before extending mandatory registration to the informal sector.
1 comment:
Naweli elles said at 03 Oct 2008, 10:09
If only some one would give me the powers,the person who must get the sack here is the head of state.Mr.President u deserve to be sacked!
How can your hench men mis manage funds of people you claim to be governing and you stay silent like there is nothing goin bad in the land.
Mr.Jamwa and the board of NSSF came under intense pressure from you minister and secretary general of your ruling party,there is no way this deal skipped your knowledge.
If proper instruments of party politics were in place in Uganda,Mr.President the chairman of the ruling party should long have asked the secretary general to step aside and allow smooth investigations but the embattled minister and secretary general still wields power!To make matters worse,the man is the chief of security.
Am disappointed in NRM!
Naweli
richard gudoi said at 03 Oct 2008, 09:27
IGG has endevored what has been known b4.
the issue here is the restitution of our funds, this should be known prior to milk goes bad.
we should however, try to understand where the msitake came from , and if it was of a pr-planned nature to line up the whole scheme. hint have been here like the how minister for finance came to secure himself a ministerial job, how he appointed and why he appointed the board, why the sale of temaland, and insider trading ,commissions and many other things.
Just think of it al this weekend.
God Bless you all!
CFE
james said at 03 Oct 2008, 06:56
yes sack them,we want to go back to an interst of 7% 14% is tooooooooooooooooo high,how dare they give us all that money.
Yes and Mwodha studied or has a PHD in finance and investment..i bet my balls that she even knows wjat investment portfolio means..guys lets be serious,political pressure aside this has been the best board..we ungrateful ugandans..were was she when all this was going on.instead of attacking Amama she goes to the board and claims to be praying for the country,hypocrite
Mugarura John said at 03 Oct 2008, 06:53
let all mgt. of NSSF be sacked as well as minister in charge of that fund because they eat together, and they all messed. and they have been doing these. why do they want only their bank (bank of commerce) only don't we have other banks around.
Ntegye Asiimwe said at 03 Oct 2008, 05:19
I could also ''add'': Privatise the fund;some of the problems NSSF is facing is a result of the monopoly powers it wields.
kamogo Joe said at 03 Oct 2008, 05:08
What is gouvetnment waiting to sack teh NSSF management. It is beyon resonable doubt taht they are unwothy to stay in managment. For Gos's sake sack them immediately iµif not they will steal the remaining money of the workers.
And is the NSSF boss claims to have been pressed by political fellows, let him mention ethem and they too be scaked. We ar tires of people turnishing our conutry into a den of corrupt peiple and thieves.
Post a Comment