Govt looks to capacitate workers in wealth and assets creation

By Wellington Makonese

THE Government is set to invest in fixed assets as part of efforts to strengthen its capacity to meet the requirements of pensioners.

This comes as the state pension fund has surpassed the $20billion dollar mark.

As part of efforts to circumvent post retirement challenges in securing pension funds due to factors such as inflation, the pensions industry has been urged to invest into fixed assets.

This comes as the civil servants pension fund has grown to twenty billion Zimbabwe dollars with government looking for long lasting investments for the benefit of its workforce.

“Right now we working on strengthening the state pension fund so that it becomes not only a defined contribution but a defined benefit fund that enables to meet our obligations on them when they retire. Right now the fund has grown quite exponentially sitting on asset base of close to 20bln dollars contribution from the workers saving, but the issue is on ability to make strategic investments on that farms.”

Public service commission Chairperson Dr Vincent Hungwe said capacitating the civil service through investing in assets and creating wealth is the solution to post retirement financial woes.

“Civil servants are to join in the asset and wealth creation, of course when one retires won’t get same pay. There are pillars of sustainability of income which is through those assets crested come through through GNM. The civil servants
The pension funds will be invested in United States dollar denominated assets as set by Statutory Instrument 280, which gives workers a sense of security.”

Government is also propagating non-monetary incentives for civil servants through housing schemes.

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