Government Institutions Pension Fund paid out N$6.8 billion in benefits to members and dependants during the financial year ended 31 March 2025, according to its latest Integrated Annual Report.
Speaking at the launch of the Fund’s 2025 Integrated Annual Report on Thursday, Martin Inkumbi said the results demonstrate the Fund’s ability to secure the retirement future of its members while contributing to national development through responsible, long-term investment.
He said the Fund’s scale, investment performance and solvency position it to deliver sustained value to members, employers and the broader economy.
During the year under review, GIPF received N$5.3 billion in member and employer contributions. Total benefit payments exceeded contributions, resulting in a benefits-to-contribution ratio of 128.6%. Despite this, the Fund remained fully funded, supported by strong investment performance and prudent financial management.
As at 31 March 2025, GIPF’s total assets stood at N$183 billion, up from about N$167 billion a year earlier. The Fund recorded a solvency ratio of 119.69%, indicating that assets comfortably exceed long-term liabilities.
Investment returns for the year amounted to 10.6%, generating net investment income of N$17 billion.
Board of Trustees chairperson Penda Ithindi said the reporting period demonstrated resilience, with the Fund navigating volatile markets and external shocks while continuing to meet its mandate.
He said the results reflected the strength of GIPF’s investment strategy and governance framework.
GIPF currently provides guaranteed pension and related benefits to 105,593 active members and 53,504 annuitants, drawn from 44 participating employers, including civil servants and employees of state-owned entities across all 14 regions.
The report highlights a diversified investment portfolio across listed, unlisted and treasury assets, balancing growth with capital preservation. The Fund maintained exposure to both domestic and international markets to manage risk while capturing global opportunities.
Domestic investment remained a key feature of the strategy. While the statutory domestic asset requirement stands at 45%, GIPF exceeded this threshold, with 50.6% of assets under management invested locally.
This represents about N$92 billion invested in Namibia, supporting housing, infrastructure, government bonds, corporate bonds and alternative investments.
During the year, the Fund commenced the rollout of its Integrated Pension Administration System, aimed at improving operational efficiency, reducing turnaround times and enhancing service delivery nationwide.
Ithindi also noted the launch of the Pension Backed Home Loan Scheme, which allows members to leverage pension savings to access housing finance. The Fund allocated N$900 million to support the scheme, with loans priced at the Bank of Namibia repo rate plus 2.5%, which is estimated to be about two percentage points below average commercial mortgage rates.
He said the scheme, which commenced on 12 January 2026, represents one of the most visible examples of member-focused reforms initiated by the Board.
