Super Funds in PNG Not at Risk, ASFPNG President Assures Members
The president of the Association of Superannuation Funds of Papua New Guinea (ASFPNG), Paul Sayer, has reassured members of Nasfund and Nambawan Super that their retirement savings are safe and secure. This comes in response to recent concerns raised on social media suggesting that government fiscal policies could put workers’ savings in these superannuation funds at risk.
Former Prime Minister Peter O’Neill had sparked anxiety by claiming that an instruction from the Central Bank to super funds to halt all overseas investments could force them to purchase government bonds. He suggested that with the government’s cash flow issues and weak bond auction results, this could lead to the government defaulting on its repayments, jeopardizing the workers’ savings.
These comments were especially concerning for workers, as Nasfund had previously experienced a 50 percent write-down of its savings due to poor investment decisions. However, Sayer clarified that these claims were misleading and risked eroding public trust in the superannuation sector. He confirmed that ASFPNG had not received any directives from the Bank of PNG regarding changes to the strategic allocation of assets, either onshore or offshore.
“The ASFPNG strongly assures its members and stakeholders that their savings are secure and managed with the highest standards of governance, oversight, and risk management,” Sayer said. He also emphasized that superannuation funds operate under the Superannuation (General Provisions) Act 2000 and are closely supervised by the Bank of Papua New Guinea, which is committed to safeguarding the funds.
Sayer reassured members that the superannuation industry functions independently from the government, with strong oversight ensuring long-term benefits for its members. "Members can rest assured that their savings are safe, governed by strong accountability," he concluded.
Also read
Post a Comment