The Reserve Bank of Fiji (RBF) states the Fiji National Provident Fund’s (FNPF) solvency requirement continues to be met, with positive returns on investments reported for the review period.
This, according to the RBF Annual Report for the period August 2019 – July 2020 that was tabled in Parliament last week.
“The FNPF’s performance for the review period was assessed as marginal with the challenging economic and uncertain investment environments,” the report stated.
“In terms of supervision and in line with the pandemic- induced economic environment, the Reserve Bank has more frequently undertaken off site monitoring activities during the review period.”
FNPF faced the critical challenge of striking a balance between assisting members during the COVID-19 crisis, the report stated.
“As the largest financial institution and the only superannuation fund in Fiji, the fund’s assets accounted for 35.7 per cent (or $8.1b) of total financial system assets as at 30 June, 2020.
“The increase in FNPF assets from $7.5 billion in June 2019 is mostly attributed to the 8.6 per cent ($597.8m) expansion in its investment portfolio to $7.6 billion.
“Despite additional withdrawals allowed to members affected by the coronavirus, the fund reported positive net contributions of $142.3 million, as at June 2020.”
