The Fiji National Provident Fund (FNPF) has reported a significant increase in its financial performance for the year ending June 30, 2024. The Fund’s assets surged to $10.6 billion, climbing from $9.5 billion the previous year. This growth was driven by a remarkable 11.6 percent rise in total assets, which Chief Executive Viliame Vodonaivalu attributed to strategic investments, new partnerships, and an increase in existing stakes.
As a result of the strong investment performance, FNPF declared a crediting rate of 8 percent, resulting in a payout of $572.4 million in interest to its members in July. Notably, member funds increased by $900 million, reaching a total of $8.1 billion, reflecting a 12.5 percent year-on-year rise, largely due to higher contribution collections.
Vodonaivalu emphasized that despite economic challenges such as rising living costs and limited job opportunities, FNPF has successfully capitalized on key investment opportunities, ensuring that members see tangible returns on their accounts. He described the past year as one characterized by consistency and growth.
FNPF also highlighted several financial milestones, including a total of $2.3 billion paid in interest to members over the last six years and a return to a pre-pandemic contribution rate of 18 percent as of January 2024. This is part of FNPF’s commitment to enhancing members’ retirement savings, with total contributions reaching $779.8 million against $456.6 million in withdrawals. Additional contributions saw a significant uptick, increasing by 106 percent to $81 million.
Moreover, the Fund has launched several initiatives aimed at enhancing member benefits and encouraging early savings, such as extending membership to infants and introducing a gift card initiative. It also expanded withdrawal benefits for education-related expenses and pursued agreements to allow Fijians abroad to contribute to their retirement savings seamlessly.
Looking ahead, the Fund’s 2024 Annual Report was recently presented to Parliament and will be shared with members at the upcoming Annual Member Forum in early 2025.
This report reflects FNPF’s ongoing dedication to its members’ financial well-being, demonstrating resilience in a challenging economic landscape. With strategic planning and new initiatives, the Fund is positioned to continue fostering growth and security for its members in the future.
Leave a comment