The Government Institutions Pension Fund (GIPF) has announced a 3 percent pension benefit increase, effective 01 April 2021 for all GIPF pensioners.
The decision according to the fund, is aimed at cushioning pensioners against touch economic conditions in the country, which have in turn eroded consumer’s purchasing power.
“Amidst the current volatile economic outlook, the Fund continues to provide guaranteed benefits to members. A pension increase serves to cushion pensioners from unexpected changes in their purchasing power and hence the incessant ability to increase members’ benefits annually is driven by the Fund’s collective commitment to guard and grow members’ financial security,” said GIPF CEO and Principal Officer, David Nuyoma.
“In awarding a pension increase, the Fund had to strike a delicate balance by considering the volatile investment returns due to the COVID-19 pandemic, the need to manage the pensioners expectations with regards to pension increases and to ensure that they are still able to live a decent lifestyle above inflation. The Fund is happy that even during what would be termed as a difficult time, it is still able to provide pension increases above inflation.”