Prof. Barnabas Nawangwe
Makerere University Vice-Chancellor, Professor Barnabas Nawangwe, has asked Makerere University Retirement Benefits Scheme (MURBS) to consider developing the university’s land as part of their investment strategy.
Nawangwe was on Tuesday addressing MURBS members during the presentation of the scheme’s performance report for the 2023/24 financial year, which was delivered by the scheme’s chairperson, Dr Elizabeth Nansubuga.
He said that Makerere University has a master plan of developing all their land across the country. According to Nawangwe, they have dormant prime land in Makindye, Kololo, and Bwaise among other outskirts of Kampala.
Nawangwe explained that the University has been looking for partners who can develop the land jointly.
His comments come just a month after Kyambogo University, revealed plans to enter a public-private partnership for the development of a multipurpose sports arena, business centre, and several student hostels. Kyambogo intends to offer 31 acres of land for this project.
Professor Nawangwe also praised the MURBS board of trustees for their efforts in managing the contributions the university remits to its staff, adding that the scheme offers critical financial security for employees upon retirement.
“This scheme is extremely important to our staff because it is the only scheme which saves money for them such that when they retire, they have got something to fall back on, because they will not be working anymore, probably because of age. So this is extremely important to give confidence to our staff that even when they retire, they will live a normal life,” Nawangwe said.
Dr Nansubuga revealed that the MURBS fund had grown to 409.2 billion Shillings by the end of June 2024, up from 352.4 billion Shillings in the previous financial year. Although the trustees aimed for a 17% growth, the fund’s value increased by 16.1%, just shy of the target.
“By 30th June 2023, MURBS had a fund value of 352.4 billion. The Trustees targeted Fund growth of 17%, and I am glad to inform you, that the fund value of MURBS, as per the Audited Financial Statements of 30th June 2024 is 409.2 billion, which is an increase of 16.1%, failing to hit the target by less than 1%,” she said.
She said that the fund’s growth was driven by a net investment income of 44.6 billion and contributions totalling 34.4 billion Shillings over the financial year.
“On behalf of the Board of Trustees, I am glad to announce that we have achieved a Net Investment Income of Ushs44.6 billion, far higher than the Ushs34.4 billion collected in Contributions during the year. Performance filters down to all members through the interest declared for the Financial Year 2023/2024,” said Nansubuga.
Dr. Nansubuga announced that the interest rate to be awarded to members for the 2023/2024 financial year would exceed that of the previous year. The exact figure will be disclosed at the Annual General Meeting (AGM) on October 24, 2024.
During the 2023 annual general meeting, MURBS declared an interest rate of 12.34% on members’ balances for the financial year ending June 30, 2023.
-URN
