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We Have Commenced Consultations To Amend NSSF Act To Allow Acquisition Of Mortgages-Byarugaba

The NSSF Managing Director, Richard Byarugaba

The National Social Security Fund (NSSF) is in receipt of the Uganda Retirement Benefits Authority (Assignment of Retirement Benefits for Mortgages and Loans) Regulations, 2022 issued by the

Minister of Finance, Planning and Economic Development, Richard Byarugaba, the Fund’s Managing Director has said.

“We have always supported reforms to laws governing retirement benefits schemes in

Uganda. Specifically, a law that allows for a portion of a member’s benefits to be

utilised as collateral to access a mortgage or loan to acquire a residential house,”Byarugaba says in a media statement.

He adds: “This position is further informed by feedback obtained from our members during various

Post Retirement Surveys which show that over 68% of Fund beneficiaries spend their

retirement money on land acquisition, home improvement and construction.”

 

He however says, the NSSF Act currently provides for full protection to members’ contributions

and benefits and prohibits any charging or assignment of the same to a third party.

This constrains the Fund from immediately implementing the recently issued

regulations.

“In this regard, we have commenced consultations with key stakeholders including the

Fund’s supervising Ministry with a view to amending the offending clauses in the NSSF Act,” he says.

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