PNG Nambawan Super aims to mitigate economic challenges on its investments

 Nambawan Super Limited continues to look at ways to mitigate economic challenges on its investments, both locally and abroad.

With the fund maintaining 20-percent offshore investments and 80-percent in local investments, Chief Executive Officer, Paul Sayer says the superfund employs an investment strategy that aims to diversify risks by running a balanced investment portfolio. 

Nambawan Super Chief Executive Officer

Mr. Sayer said this is done with a view to protecting members’ savings from threats of losses from the kinds of volatility seen in the current environment.

The major superfund in the country has seen its investments come under pressure this year.

This is due to a combination of high inflation, supply chain disruptions, rising fuel and energy prices, the introduction of the Additional Company Tax on the BSP Financial Group and the risk of recession for many of the World’s leading economies among others. 

Mr. Sayer said PNG is an import reliant economy and is struggling with imported inflation, resulting in an increase of the Consumer Price Index by 5-point-5 percent in the June quarter of 2022 with the full year projection at 6-percent.

According to the CEO, the high rate of inflation has also raised the cost of living putting a strain on many local businesses and ventures, including those that the fund has invested in, which will further impact members' returns. 

Mr. Sayer, however, stated that members should not be discouraged as superannuation is a long-term investment that will continue to generate returns for members throughout their working life. 

Source: NBC News/One PNG News

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