Government Institutions Pension Fund increases pension and disability income benefits

The Government Institutions Pension Fund announced pension and disability income benefits increases. The Board of Trustees took this decision after a thorough actuarial due diligence process and in consideration of various factors such as the inflation rate, cost of living, reasonable benefit expectations of its active annuitants, affordability on the part of the Fund and the average annual return over the last five years, as well as the current and future liabilities and the assets of the Fund to ensure that the Fund’s assets can adequately cover its liabilities. Given the fact that returns on investments are volatile from year to year, the Fund has adopted a 3-year averaging method for the GIPF, with the returns of each December year-end serving as a reference point. Here is the Manager for stakeholder engagement at the GIPF, Katrina Sikeni.