The National Social Security Fund (NSSF) has announced an increase in the interest rate paid to members’ savings, raising it to 13.5% for the 2024/25 financial year, up from 11.5% in the previous year. The declaration was made by Finance Minister Matia Kasaija during the Fund’s 13th Annual Members’ Meeting held at the Kampala Serena Hotel.
Kasaija commended the NSSF for maintaining a clean balance sheet, demonstrating resilience, and ensuring consistent growth despite a challenging global economic environment.
“Last year, the Fund paid members an interest rate of 11.5%, which translated into over sh2 trillion distributed among savers. This year, the rate has been raised by 2%, a great achievement. It is not easy to sustain such growth, but the Fund has proven its ability to safeguard members’ savings and deliver value,” Kasaija remarked.
Strong Financial Growth
According to the Fund’s financial report, NSSF closed the year with assets worth sh26 trillion, representing a 17.5% increase from sh22.1 trillion recorded in the previous financial year. Member contributions grew by 10.4% to sh2.13 trillion, while total revenue rose to sh3.52 trillion, up from sh3.2 trillion.
The growth was largely attributed to improved investment returns, as interest income climbed to sh2.88 trillion, while dividend earnings increased to sh238 billion. These results, according to the Fund, underscore the importance of prudent investment and long-term financial planning.
Kasaija lauded the NSSF leadership for their transparency and efficiency, saying such achievements were a testament to sound financial management. “We must always remember that these savings belong to Ugandans. Managing them well builds trust and encourages more people to join the scheme,” he emphasized.
New 10-Year Strategic Plan
At the same event, NSSF Managing Director Patrick Ayota launched the Fund’s new 2025–2035 strategic plan, following the successful completion of the previous roadmap.
“Our vision is to make savings a way of life and transform lives through financial security. Under this new plan, we aim to build a savings portfolio of sh50 trillion, grow membership to 15 million people, and maintain a 95% customer satisfaction rate,” Ayota said.
He emphasized that building a strong savings culture was vital for Uganda’s long-term development. “Many developed nations grew on the back of strong savings and investments. We want Ugandans to see saving not just as a legal requirement, but as a lifestyle and a pathway to financial freedom,” he explained.
Focus on Agriculture, Innovation, and Startups
Ayota also reaffirmed the Fund’s commitment to investing in priority sectors that drive economic transformation. He highlighted agriculture as the backbone of Uganda’s economy and announced plans to support at least 1,000 startups by 2035 as part of NSSF’s innovation and enterprise development agenda.
“Supporting startups and enterprises is crucial for job creation and economic resilience. By investing in agriculture, innovation, and entrepreneurship, we are securing members’ savings while contributing to national development,” he noted.
Expanding Membership and Coverage
The Minister of Gender, Labour, and Social Development, Betty Amongi, applauded the Fund’s achievements in expanding membership, especially among informal sector workers who constitute the majority of Uganda’s workforce.
“We are proud of the Fund’s efforts to bring more people on board. By extending coverage to the informal sector, we ensure that more Ugandans have a safety net in retirement,” she said.
Amongi urged the public to take advantage of NSSF’s voluntary saving options, stressing that social security should be a priority for every citizen. She also emphasized the role of partnerships with employers, cooperatives, and SACCOs in mobilizing more savers from the grassroots.
A Milestone for Savers
The declaration of a higher interest rate comes as a major boost for NSSF members, particularly at a time when many Ugandans are grappling with the rising cost of living. For millions of savers, the increase means more money credited to their accounts and a stronger foundation for retirement planning.
Analysts say that the 13.5% rate makes the NSSF one of the best-performing funds in the region, offering returns above inflation and outperforming many private investment schemes.
As the Fund embarks on its ambitious 10-year plan, the focus will remain on strengthening governance, promoting innovation, and ensuring that every Ugandan worker—formal or informal—has access to social security.
“The message is clear,” Ayota concluded. “Saving is not just for tomorrow, it is for today. Every shilling saved is an investment in your future and in the country’s prosperity.”
