NSSF says it supports members’ midterm access to their savings
The National Social Security Fund has insisted that it supports members’ access to their savings but only supported by an enabling law.
There is an ongoing debate on members accessing their at least 20% of their savings to enable them to cope with the burden of the Coronavirus pandemic.
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Whereas members insist on accessing their savings, NSSF says this is not possible in the current set up because there is no enabling law.
In a letter to members, NSSF Managing Director, Richard Byarugaba insisted that the fund supports the move to have member access their saving in such scenarios like the current Coronavirus pandemic.
…. The unavoidable disruption of economic activities has raised unemployment levels in recent months. Consequently, we have witnessed a heightened level of stress among members that have lost means of their livelihood. We feel your pain and understand your outcry,” Byarugaba said.
He explained that the fund has shared with the line ministry the implications of paying out an unplanned 20% of the fund to members, a move he says has been misunderstood to mean that NSSF doesn’t support mid-term access to savings by members.
“That is far from the truth. In the final paragraph of the letter to the minister, we reiterated our support for planned mid-term benefits that are embedded within the NSSF Amendment Bill before parliament,” Byarugaba said.
He insisted that before the outbreak of the Coronavirus pandemic, the body was advocating for amendment of the NSSF Act which among other changes provides for additional benefits to existing age benefits.
“The proposed amendments are currently before parliament .The purpose of the additional benefits is not only to provide a degree of income security when faced with life’s contingencies such as today’s pandemic but also safeguard the retirement goals of our members.”
“We therefore appeal to parliament to fast track the NSSF Amendment Bill. We also encourage you our member through your area MP to join us in calling the august house to urgently pass this law.”
