SINPF Board Chairman Dr Rodgers announces 3.7% interest for Members
Solomon Islands National Provident Fund Board Chairman Dr. Jimmie Rodgers has declared 3.7% Dividend interest for Financial Year ending June 2020 at the Heritage Park Hotel in Honiara.
Speaking at occasion at Heritage Park Hotel he said the value of the dividend valued at 95 million will be credited to members’ accounts.
Dr. Rodgers had expressed that it has been a difficult determination for the Board to consider the 2020 members crediting rate in light of the ongoing uncertainty and risks surrounding covid19, how long the pandemic will take to be resolved, and time it will take for the global and our economy to recover.
With care, prudence and fairness to members, my Board today has considered and agreed to declare a crediting rate of 3.7% for its members. This means a total of $95 million that will be credited to members’ accounts after today’s announcement.
He explains the Board when considering the 2020 appropriate interest rate took into account the Board’s crediting and reserving policies.
He said the crediting policy requires the Board to consider;1) the investment return after deducting for all board and operational costs 2) the Board’s investment objective; 3) the reserving requirement of the Fund; 4) the Fund’s code of conduct; and the 5) the minimum statutory 2.5% crediting rate as specified in section 8 of the NPF Act.
Dr. Jimmie also announce Special death benefit $7500, intended to help contribute towards funeral expense of members who pass on.
After this crediting the Fund’s required reserving levels are still maintained above the Board’s minimum policy thresholds of CBSI 7.5% tier 1 capital ratio and at least 3 years of 2.5% crediting interest guarantee.