The Ministry of Gender has said savers can get their midterm access to NSSF savings in two months’ time after finalizing with some nitty gritty including the statutory instrument that allows the payments.
President Museveni earlier this week assented to the amended National Social Security Fund Bill 2021 to allow workers who have saved for over 10 years and have reached 45 years of age are allowed 20% midterm access to their savings with NSSF.
Many savers had been excited with the development and a number of whom have suggested that they can access their savings to allow them go through their current financial woes as their children return to school.
However, addressing journalists at the Uganda Media Centre on Wednesday, the Minister for Gender, Betty Amongi said the amended act will only come into force upon its publication in the Ugandan Gazette, an action she said will soon be implemented.
“The provision regarding midterm access to benefits by qualifying members of the Fund shall come into effect after I have issued a statutory instrument that will guide on the terms and conditions, and procedures for accessing benefits. I am required by the Act to issue this instrument and lay the same before Parliament for information within 60 days after publication of the Act in the Uganda Gazette,”Amongi said.
The minister explained that as part of the efforts to publish the act in the Uganda Gazette, the Gender Ministry has started drafting of regulations to ensure the statutory instrument is prepared to allow midterm access for NSSF savers.
“The law provides that the minister puts in place a statutory instrument to guide the midterm access and must be laid before parliament. The time frame provided for is 60 days but we might not reach this time.”
Only 90000 savers eligible
According to the minister, whereas there are over two million people saving with the National Social Security Fund (NSSF) only 90000 members qualify for midterm access.
“Only a member who is 45 years of age and above and has made contributions to the fund for at least ten years, is eligible to mid-term access to his or her benefits, of a sum not exceeding 20% of his or her accrued benefits but also a member who is a person with disability, is 40 years of age and above and has made contributions to the fund for at least ten years, is eligible to mid-term access, of a sum of 50% of his or her accrued benefits,”Amongi said.
She noted that the members who are eligible for the midterm access will share a sum of shs902.5 billion.
“I want to assure the public that once the bill was passed and later assented to by the president to become a law. Those eligible will access their savings. The money is available.”