• AI agents are redefining productivityJune 10, 2025
    Dr Dimakatso Polokelo At the turn of the 21st century, the idea of asking a computer to book a dinner reservation or summarize a report would have sounded implausible. Yet today, digital assistants like Siri and Alexa routinely perform… Read more: AI agents are redefining productivity
  • Boko mulls military hubJune 10, 2025
    BIUST, BDF, Air Force War College (Nigeria) discuss military industrial complex STAFF WRITERS editors@thepatriot.co.bw RelatedPosts Boko mulls military hub BOSETU reject education privatisation RDC pursues PrimeTime acquisition Just days after President Duma Boko announced Botswana’s ambition to develop a… Read more: Boko mulls military hub
  • BOSETU reject education privatisationJune 10, 2025
    Reports Botswana govt to ILO over privatisation of public education BAKANG TIRO editors@thepatriot.co.bw RelatedPosts Boko mulls military hub BOSETU reject education privatisation TOUGH TIMES AHEAD!   Amidst growing standoff between the government and public sector trade unions, Botswana Sector… Read more: BOSETU reject education privatisation
  • RDC pursues PrimeTime acquisitionJune 9, 2025
    Strong 2024 results confirm sound strategy, buoyed by BSE clearance STAFF WRITER editors@thepatriot.co.bw RelatedPosts AI agents are redefining productivity Boko mulls military hub RDC pursues PrimeTime acquisition RDC Properties Limited (RDC), on the 30th May released a Circular and… Read more: RDC pursues PrimeTime acquisition
  • Botswana Environmental Assessment Practitioner AssociationJune 9, 2025
    RelatedPosts Botswana Environmental Assessment Practitioner Association TIKI MEDIA * Head Branding Solutions WILDERNESS AIR * Quality Assurance Manger
  • Home
  • News
  • Business
  • Lifestyle
  • Sport
  • Analysis & Opinions
  • Vacancies & Tenders
  • Login
  • Register
Friday, June 13, 2025
17 °c
Gaborone
21 ° Tue
22 ° Wed
24 ° Thu
26 ° Fri
The Patriot On Sunday
Advertisement
  • Home
  • News
  • Business
  • Lifestyle
  • Sport
  • Analysis & Opinions
  • Vacancies & Tenders
No Result
View All Result
Cart / $0.00

No products in the cart.

  • Home
  • News
  • Business
  • Lifestyle
  • Sport
  • Analysis & Opinions
  • Vacancies & Tenders
No Result
View All Result
The Patriot On Sunday
No Result
View All Result
Home News

Pension Funds industry grows

patriot by patriot
February 8, 2021
in News
242
0
491
SHARES
1.4k
VIEWS
ShareShareShare

Minister of Finance and Economic Development Dr Thapelo Matsheka says pension funds industry has shown some growth for the year ending December 2019. Answering a question from Member of Parliament for Selibe Phikwe West Dithapelo Keorapetse in Parliament, Dr Matsheka said the latest audited figures show that total assets of Pension Funds represent approximately 47% of the GDP.

“In 2018, the ratio was 42 percent, which confirms the growth of the Pension Funds industry,” he said.

RelatedPosts

Boko mulls military hub

BOSETU reject education privatisation

TOUGH TIMES AHEAD!

On the number of the stand-alone Funds in Botswana, Matsheka said that they are 75 and six umbrella Funds with 320 sub-Funds. “The income of the Funds in 2019 amounted to P11.8 billion, of which P7 billion was investment income and P4.6 billion was both employer and employee contributions. The total expenditure for the Funds for the corresponding period was P3.7 billion, of which P3 billion was benefit payments,” he informed parliament.

On the assets of the Pension Funds, Matsheka said that they were P93 billion and made up of P57 billion for offshore investments which translates into 61% while P36 billion for domestic investments making 39%.

On the listed equities and bonds, he revealed that they make up 61% and 17% of the investments of the funds respectively.

“In the past 10 years, Pension Funds experienced a growth of 171 percent, which is nearly a doubling in size. Such growth was achieved through contribution inflows and investment returns,” said Matsheka.

There has been some concerns that Pension Funds are investing little locally thus not helping to boost the economy and Keorapetse wanted to know what is been done to encourage them to invest locally.

In response Matsheka said Pensions Funds are currently mandated to invest a minimum of 30% locally but indicated that of late they have been investing an average of 40% of their assets locally. “This confirms that Pension Funds are free to invest more locally. Therefore, Mr. Speaker, such allocation has so far not deprived the domestic economy of the resources required for local investment. However, my Ministry is currently doing some work, with the view to reviewing the 30/70 guideline in line with the prevailing and prospective economic and financial conditions in the country,” he said.

Regarding returns, Matsheka revealed that in the last six years Pension Funds have earned decent returns averaging 7% annually adding that the offshore investments contributed the largest portion of the returns recorded by Pension Funds.

One of the thorny issues facing Pension Funds has been on governance and Matsheka admitted that they require improvement in terms of timely submission of reports to the regulator and up-to-date members’ records to enable efficient and timely distribution of benefits and member statements.

“In this regard, NBFIRA’s latest Directive on minimum standards for Trustees is an effort to enhance governance and management of Pension Funds,” he said.

The Selibe Phikwe West MP also wanted to know the preliminary observation of 2020 in terms of the effect of the Covid-19 associated economic problems.

In answering, Matsheka said that during the period February to April 2020 markets experienced extreme pressure but ray of hope was exhibited by the Covid-19 vaccine trials, markets have started to rebound.

He said that it is expected that Pension Funds will not be materially affected.

Related

Tags: pension fund

Get real time update about this post categories directly on your device, subscribe now.

Unsubscribe
Previous Post

End sexual harassment and gender discrimination in the workplace

Next Post

Fighting corruption still a priority –Masisi

Related Posts

Boko mulls military hub
News

Boko mulls military hub

June 10, 2025
BOSETU reject education privatisation
News

BOSETU reject education privatisation

June 10, 2025
TOUGH TIMES AHEAD!
News

TOUGH TIMES AHEAD!

June 9, 2025
P63m to quench Molepolole thirst
News

P63m to quench Molepolole thirst

June 4, 2025
Boko to chop ‘deadwood’
News

Boko to chop ‘deadwood’

June 3, 2025
‘Give us our land back’- Saleshando
News

‘Give us our land back’- Saleshando

June 2, 2025
Next Post
Fighting corruption still a priority –Masisi

Fighting corruption still a priority –Masisi

Please login to join discussion
  • AI agents are redefining productivityJune 10, 2025
    Dr Dimakatso Polokelo At the turn of the 21st century, the idea of asking a computer to book a dinner reservation or summarize a report would have sounded implausible. Yet today, digital assistants like Siri and Alexa routinely perform… Read more: AI agents are redefining productivity
  • Boko mulls military hubJune 10, 2025
    BIUST, BDF, Air Force War College (Nigeria) discuss military industrial complex STAFF WRITERS editors@thepatriot.co.bw RelatedPosts Boko mulls military hub BOSETU reject education privatisation RDC pursues PrimeTime acquisition Just days after President Duma Boko announced Botswana’s ambition to develop a… Read more: Boko mulls military hub
  • BOSETU reject education privatisationJune 10, 2025
    Reports Botswana govt to ILO over privatisation of public education BAKANG TIRO editors@thepatriot.co.bw RelatedPosts Boko mulls military hub BOSETU reject education privatisation TOUGH TIMES AHEAD!   Amidst growing standoff between the government and public sector trade unions, Botswana Sector… Read more: BOSETU reject education privatisation
  • RDC pursues PrimeTime acquisitionJune 9, 2025
    Strong 2024 results confirm sound strategy, buoyed by BSE clearance STAFF WRITER editors@thepatriot.co.bw RelatedPosts AI agents are redefining productivity Boko mulls military hub RDC pursues PrimeTime acquisition RDC Properties Limited (RDC), on the 30th May released a Circular and… Read more: RDC pursues PrimeTime acquisition
  • Botswana Environmental Assessment Practitioner AssociationJune 9, 2025
    RelatedPosts Botswana Environmental Assessment Practitioner Association TIKI MEDIA * Head Branding Solutions WILDERNESS AIR * Quality Assurance Manger
The Patriot On Sunday

© 2024 Copyright The Patriot On Sunday - Inspired by Search Mart.

Navigate Site

  • About Us
  • Advertise
  • Disclaimer
  • Contact Us

Follow Us

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Login
  • Sign Up
  • Cart
  • Home
  • News
  • Business
  • Lifestyle
  • Sport
  • Analysis & Opinions
  • Vacancies & Tenders

© 2024 Copyright The Patriot On Sunday - Inspired by Search Mart.

This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.
Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?