THE Social Security Regulatory Authority
(SSRA) is currently conducting an assessment on total debts that the
government owes social security funds, it has been learned.
This comes in the wake of concerns that huge debts that the
government owes the schemes could in the long run paralyze operations of
the pension funds. Unconfirmed reports indicate that the debts amount
to 1trl/-.
"We do not yet know the total amount of money that the funds have
loaned to the government and we are thus reconciling with the Ministry
of Finance to establish the actual debts," the Director General of SSRA,
Ms Irene Isaka, said in an exclusive interview with 'Daily News'.
While indicating that the government had started servicing some of
the debts, the SSRA boss said a recent study by actuarial experts
confirmed that social security funds in the country could survive the
next 50 years with their current assets. The SSRA boss admitted also
that should the government fail to repay the money, the funds will be
heavily affected and fall short to run their operations effectively.
She mentioned the Mabibo Hostel of the University of Dar es Salaam
which was constructed through a loan from the National Social Security
Fund (NSSF) as among projects which the government has repaid the debts.
"Repayment for the parliament building in Dodoma which was implemented
by a consortium of social security funds is also undergoing," the DG
explained.
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