Stronger collections from members and improved investment income have pushed the National Social Security Fund to its best performance yet, with members earning a 17 per cent interest credit for the 2024 to 2025 financial year, up from 11 per cent in the previous period.
The improved return followed a sharp rise in contributions, which increased by about 35 per cent to Sh84 billion during the year. This growth helped expand the Fund’s total asset base to roughly Sh575 billion, representing a year-on-year increase of more than 40 per cent.
Earnings from investments also climbed, with gross returns estimated at around 22 per cent. At the same time, the Fund kept spending in check, recording administrative costs of about 1.47 per cent, remaining within the limits set by law.
During the eighth Annual General Meeting, Prime Cabinet Secretary Musalia Mudavadi lauded the Fund for using workers’ savings to strengthen retirement outcomes while supporting sectors such as housing and infrastructure through commercially guided investments.
Mudavadi officially confirmed the 17 per cent interest credit, terming it the strongest result recorded by the Fund so far and expressing optimism that performance could improve further in the next financial year.
Board Chair David Kariuki Njeru attributed the results to steady execution of the Fund’s strategic plan, which focuses on improving service to members, ensuring financial sustainability, enhancing efficiency and strengthening internal systems.
He said the institution is making steady progress towards its long-term goal of building a Sh1 trillion asset base, supported by strong governance structures.
Managing Trustee David Koross highlighted operational improvements, saying digital platforms have reduced benefit processing time to about 10 days from nearly three months. He also noted that the Fund received a clean audit opinion, reflecting compliance with accountability and governance standards.
The Fund currently serves about 3.6 million active contributors and works with more than 77,000 employers. Membership has continued to grow across the public sector and informal economy, including through the Haba Haba savings initiative.
Leaders at the meeting noted that members’ savings play a wider economic role beyond retirement, forming part of a national pool of capital that supports job creation, housing and development projects.
The meeting was held under the theme “Our Savings, Our Shared Prosperity,” with discussions focusing on expanding coverage, strengthening saving habits and ensuring that the Fund’s growth delivers clear value to members and the wider economy.
