Musasizi releasing the results
HABARI DAILY I Kampala, Uganda I The National Social Security Fund (NSSF) has declared a record 22.53 per cent interest rate for members for the financial year ended June 30, 2026, following a year of strong investment performance and a significant increase in income actually realised in cash.
The declaration, made on Thursday, September 24, 2026, means NSSF savers will see a substantially larger return credited to their retirement savings than the 13.5 per cent declared for the previous financial year. The 2025/26 rate also surpasses the Fund’s previous high of 15 per cent declared in 2017/18.
The announcement was made by Finance Minister Henry Musasizi during NSSF’s 14th Annual Members’ Meeting, where the Fund presented its financial performance for the year.
Cash income provides the foundation
One of the major factors behind the record declaration was the growth in NSSF’s realised cash income, which rose by 24 per cent from Shs3.13 trillion to Shs3.88 trillion.
The money represents income the Fund actually received from its investments, including interest from government securities, dividends from shares and income from its property portfolio.
Interest income accounted for the largest share, rising by 21 per cent to Shs3.49 trillion, while dividend income increased by 55 per cent to Shs369 billion. Real-estate income, however, slightly declined by four per cent to Shs16 billion.
The distinction between realised and unrealised income is important because NSSF also recorded substantial gains from the increased value of investments held in its portfolio.
Record Shs5.44 trillion payout
The strong performance has enabled NSSF to line up a record Shs5.44 trillion for crediting to members’ accounts.
This represents a significant increase from the approximately Shs2.79 trillion credited to members following last year’s 13.5 per cent declaration.
The Fund’s overall income rose by 85 per cent to Shs6.51 trillion, while assets under management expanded by 26 per cent to Shs32.8 trillion. Member contributions also increased by 13 per cent to Shs2.42 trillion during the year.
The growth in assets was supported by performance across NSSF’s diversified portfolio, including government securities, equities and real estate. By June 2026, fixed-income investments accounted for about 76.5 per cent of the portfolio, equities 18.4 per cent and real estate 5.1 per cent.
Protecting members against inflation
The 22.53 per cent declaration also reinforces NSSF’s longstanding objective of ensuring members’ savings grow faster than inflation.
NSSF has previously said its return promise is to deliver a return at least two percentage points above the ten-year average inflation rate. In 2024, for example, the Fund declared an 11.5 per cent rate while noting that this was above the prevailing ten-year average inflation rate.
Under Uganda’s NSSF law, the interest rate is declared by the Minister responsible for finance after consultation with the Fund’s board, and the rate applies to eligible member accounts according to the provisions of the Act.
A record year for the Fund
The latest declaration caps what NSSF has described as its strongest financial year yet.
Its assets have grown substantially, while contributions, investment income and operational performance all improved. The Fund also paid Shs1.549 trillion in benefits during the year, up 17 per cent from the previous financial year.
For millions of NSSF members, however, the immediate significance of the 22.53 per cent rate is straightforward: a larger return will now be added to the retirement savings accumulated in their individual accounts, reflecting the Fund’s strong financial performance during the 2025/26 financial year.
About the Author
