The Fiji National Provident Fund’s disequilibrium in the percentages paid to pensioners in the past would have caused the fund to be depleted by 2056.
Attorney General and Minister for Economy Aiyaz Sayed‑Khaiyum revealed this in parliament when SODELPA MP Viliame Gavoka asked if FNPF would make it up to those pensioners who suffered reductions in their pensions after recording healthy profits.
Sayed-Khaiyum says independent assessments prior to the reforms had indicated the inconsistency in payments where some people were getting as much as 25%, some were getting 19% and some 17% which would have affected the future generation.
Sayed‑Khaiyum says FNPF underwent several reforms under the Fiji First government.
He says the success of these reforms have been validated independently by the International Monetary Fund in collaboration with the Financial Sector Assessment program regulator, the Reserve Bank of Fiji.
He says consequently, the FNPF has received international recognition by International Social Security Association for 3 good practice awards, Reforming the pension scheme, prior to Literacy and Information Technology.
He says 2 independent actuarial evaluations have confirmed there is surplus in the retirement income fund now.
Opposition Leader Ro Teimumu Kepa also raised the issue of a petition that was signed by pensioners in 2012, however, Sayed-Khaiyum said there is more transparency in FNPF now.
Listen to the latest news on our 5 radio stations Legend FM, Viti FM, Radio Sargam, FM96 and Navtarang.