FNPF Acting Chief Executive, Viliame Vodonaivalu.

Members of the Fiji National Provident Fund will receive a five percent interest payout for the financial year ended June 2021.

FNPF Acting Chief Executive, Viliame Vodonaivalu has announced that the FNPF Board has approved the payout after determining that it will not place undue stress on the FNPF.

A total of $297 million will be credited to over 389,986 members’ accounts.

Vodonaivalu says each member’s gain will depend on the average balance during the payout period. However, their accounts must have a positive FNPF balance.

He also says the payout is still competitive given the constraints and the economic environment in Fiji.

Vodonaivalu says while the investment opportunity is limited, the Fund continues to strategize and ensure that can maximize the returns.

The fund continues to receive a steady return from government bonds, a major contributing factor towards a positive performance for the financial year 2021.

The other main drivers for investment performance for the banking sector investment in BSP and HFC as well as it gained from the sale of energy Fiji limited shares.

The fund has now paid over 1.5 billion dollars in interest for its member in the last five years and over 2.4 billion dollars over the last 10 years.

This is a reflection of the funds prudent investment decisions, which have resulted in the growth of the fund’s portfolio to where it is today.

The FNPF Board has also maintained the special death benefit premium of $35 for the death cover of a maximum of $8,500 for the new financial year.

A deduction of $35 will be done from active FNPF accounts tomorrow.