National Social Security Fund (Kenya)

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National Social Security Fund
TypeQuasi-Government
Industry Social Security
Founded1965 (1965)
HeadquartersNSSF Building, Bishops Road, Nairobi, Kenya
Key people
Dr. Anthony Omerikwa (Acting Chief Executive Officer/Managing Trustee), Francis Atwoli (Trustee)
Products Pension fund
RevenueIncrease2.svg KSh.20.8 billion/= (2016) [1]
Total assets Increase2.svg KSh.171.17 billion/= (2016) [1]
Website www.nssf.or.ke

The National Social Security Fund is a Kenyan government agency responsible for the collection, safekeeping, responsible investment and distribution of retirement funds of employees in both the formal and informal sectors of the Kenyan Economy. Participation for both employers and employees is compulsory. The fund is both a pension fund and provident fund. [2]

Contents

History

The National Social Security Fund was established in 1965 through the Act of Parliament Cap 258 of the Laws of Kenya. It initially operated as a Department of the Ministry of Labour until 1987 when the act was amended, transforming the fund into a state corporation under the management of a board of trustees. [2] Under the National Social Security Fund Act of 2013, both employed and the self-employed and their dependents qualify as contributing members. [3] The Act on pension requires all Kenyans that are above 18 years of age to register to the program.

The board of trustees is composed of workers' representatives through the Central Organization of Trade Unions, employers through the Federation of Kenya Employers and the Government of Kenya through the Ministries of Labour and Finance. [4] This composition ensures that the board accommodates the views and aspirations of the three social partners in policy formulation and running of the organization.


Investment portfolio

The current National Social Security Fund investment portfolio includes fixed income, real estate, and equities.

Fixed income

This includes short term and long term bonds. As of 31 December 2010, the investment in long term bonds was KSh.24.64 billion/=. [5]

Real estate

Equities

NumberInvestmentIndustry
1 Kenya Power and Lighting Company Electricity Distribution
2 East African Breweries Brewing
3 British American Tobacco Kenya Tobacco & Cigarettes
4 Kenya Electricity Generating Company Electricity Generation
5 Bamburi Cement Construction Products
6 East Africa Portland Cement Construction Products
7 Kenya Commercial Bank Group Financial and Banking
8 Housing Finance Company of Kenya Financial, Banking and Mortgages
9Sameer AfricaTyre Manufacturing
10 National Bank of Kenya Financial and Banking
11 Barclays Bank (Kenya) Financial and Banking
12 Standard Chartered Kenya Financial and Banking
13 Nation Media Group Media
14 Athi River Mining Construction Products
15Kenya Re-Insurance Reinsurance
16 Safaricom telecommunications
17 Equity Group Holdings Limited [10] Financial and Banking

Ownership

The fund is owned by the Government of Kenya on behalf of the workers and employers in Kenya.

Governance

Governance is overseen by a nine-member board of trustees with Dr. Anthony Omerikwa as the acting managing trustee. [4] In formulating the fund’s policies the board of trustees acts strictly in accordance with the NSSF Act.

Branch network

There are fund offices in major towns all over Kenya. [11]

See also

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References

  1. 1 2 "NSSF Financial Statement June 2016".
  2. 1 2 "Overview of NSSF". NSSF Kenya. Retrieved 22 August 2017.
  3. National Social Security Fund Act 2013 (KNY(EA/K))
  4. 1 2 "Board of Trustees". NSSF Kenya. Retrieved 22 August 2017.
  5. 1 2 "NSSF Financial Statement 2010 Page 21".
  6. 1 2 "NSSF Financial Statement 2010 Page 16".
  7. "Nairobi - SkyscraperPage.com". skyscraperpage.com. Retrieved 22 August 2017.
  8. "Consolidated Bank of Kenya - We are better together" (PDF). www.consolidated-bank.com.
  9. "NSSF Financial Statement 2010 Page 19 and 20".
  10. Juma, Victor (6 August 2015). "Helios exits Equity Group with sale of final stake to NSSF". Business Daily Africa . Nation Media Group . Retrieved 6 August 2015.
  11. "NSSF Branch Network". NSSF Kenya. Retrieved 22 August 2017.