The Government Institutions Pension Fund (GIPF) has approved a 5% increase in disability income benefits for 349 qualifying beneficiaries, raising its annual disability benefit bill by about N$1.7 million.
The increase, effective from 1 April 2026, will push annual disability income payments from approximately N$34.4 million to N$36.1 million.
GIPF said the adjustment follows the 5% salary increase granted to public service employees and is aimed at protecting the purchasing power of members who are unable to continue working because of disability.
The increase is also slightly above inflation of approximately 4.19% recorded over the relevant period.
GIPF Board of Trustees Chairperson Penda Ithindi said aligning disability benefits with changes in public service remuneration would help beneficiaries cope with rising living costs.
“This increase reflects our commitment to supporting members who rely on disability income benefits as their primary source of income,” Ithindi said.
He said the Fund considered its financial position, inflation and the long-term sustainability of benefits before approving the adjustment.
GIPF Chief Executive Officer and Principal Officer Martin Inkumbi said disability income provides an important financial safety net for members who are no longer able to earn an income because of disability.
“Disability benefits play a critical role in protecting members who are no longer able to earn an income due to disability,” Inkumbi said.
The increase comes as GIPF remains in a strong financial position, having reported a surplus of approximately N$46.9 billion as at 31 March 2025.
The Fund said its financial position provides sufficient capacity to meet existing obligations while considering improvements to member benefits without undermining long-term sustainability.
