HARARE, August 28 (The Source) – The pensions industry achieved a net surplus of $30,96 million in the first quarter to March driven by rental and investments income of $105.65 million, a report by the regulator has shown.
According to the latest sector report by the Insurance and Pensions Commission (IPEC), rental and investments income accounted for 94.22 percent of the industry’s $112 million total income.
The industry had 1,297 registered private occupational pension funds with total membership of 560,528 at the end of the quarter.
Total benefits incurred during the quarter amounted to $59,47 million accounting for 67 percent of expenditure which came out at $89, 13 million.
Total assets amounted to $3,35 billion.
“It is commendable that 74 percent of the asset base was made up of assets that which are suitable to match pension funds liabilities namely investment properties, cash and money market investments, equities and prescribed assets,” reads the report.
In the report the regulator raises concern over the fact that 15 percent of the assets are tied up in contribution and rental arrears at $462.99 million and $49.41 million respectively.
The National Railways of Zimbabwe Pension Fund, Mining Industry Pension Fund and Local Authorities Pension Fund were the largest funds in terms of total assets during the quarter.