GREAT news for the 433,671 members of the Fiji National Provident Fund (FNPF).
The Fund yesterday announced a landmark achievement with a remarkable interest rate of 8.75 per cent for the financial year ending June 30 this year, and will credit $698.75million to members’ accounts on Monday (June 30).
This marks the highest credit interest rate in more than 30 years, and an increase of 0.75 per cent from the 8per cent it paid out to members last year.
The Fund attributes performance to its strong investment performance and commitment to securing its members’ future.
For the financial year ending 2025, the Fund’s total investment income exceeded $1billion, a testament to its diversified strategy and ongoing focus on sustainable, long-term value creation.
FNPF chief executive officer Viliame Vodonaivalu said the Fund’s investment income was largely driven by equities, which accounted for 52 per cent of total earnings.
He said government bonds contributed 27 per cent, while commercial debt investments provided 11 per cent, and property and other portfolios made up 10 per cent.
He said the diverse asset allocation strategy continued to balance income stability with capital growth.
On the global front, he said the Fund invested in an S&P 500 Index tracking Exchange Traded Fund and enhanced its holdings in BSP Financial Group Limited.
He said it also diversified its portfolio of Australian-listed equities to include listed real income securities in developed global markets, “all of which contributed positively to the Fund’s performance”.
“Our investment strategy is deeply anchored in delivering long-term benefits to our members while ensuring the Fund’s financial integrity.
“This year’s impressive results are a reflection of disciplined portfolio management and our unwavering commitment to our mission,” Mr Vodonaivalu said.
“This is a moment of pride for the Fund, and we are eager for our members to share in our excitement.
“Our performance not only allows us to offer a milestone interest rate but also underscores our capacity to navigate economic volatility with a high-quality portfolio and strong investment governance.
“We express our heartfelt gratitude to God, the creator of heaven and earth, for blessing us with this incredible opportunity. It is through His guidance and grace that we have reached this pivotal point in our financial journey.”
Mr Vodonaivalu said throughout the financial year, they had prioritised member-centric initiatives, including changes to housing withdrawals, lowering the age of eligibility for minor voluntary members to include newborns, and the transfer of savings on entitlement.
He said those initiatives were designed to ensure members felt the impact of its every decision.
Highlights of significant local investments during the financial year included:
- purchase of prime land in Pacific Harbour,
- investment in Naisoso Radisson Blu Mirage through the purchase of an ABA, syndicated loan facility, and securing mezzanine debt,
- a capital injection into Farleigh Limited,
- dividend reinvestment in HFC Bank shares, and
- providing a loan facility to Fiji Airways.
Members can check their updated balance from Tuesday July 1 via the MyFNPF App.
Note: This article was first published on the print version of the Fiji Times dated June 28, 2025
