Technical Universities Workers’ Pension Scheme investment increases 24.60% in 2023

The Ghana Universities Workers’ Pension Scheme investment return increased from GH¢137.02 million in 2022 to GH¢198.35 million in 2023.

The figure represents 24.60 per cent for the 2023 financial year as compared to 21.20 per cent in 2022.

Professor Solomon Abekah Keelson, the Board Chairman, Ghana Universities Workers’ Pension Scheme announced this at the Scheme’s maiden stakeholder engagement in Accra.

Professor Keelson said the Scheme’s benefits decreased by 5.16 per cent to GH¢5.02 million at the end of 2023 compared to GH¢5.29 million in 2022.

The Scheme, he stated, recorded a marginal increase in active membership by 2.48 per cent from 4,549 in 2022 to 4,662 in 2023.

He said 2023 was quite a challenging one for the economy, experiencing a steep depreciation of the local currency and heightened inflation.

He said interest rates on fixed-income securities increased persistently as the Bank of Ghana’s efforts to rein in inflation through the monetary policy rate did not yield the expected results.

Prof Keelson said gains made by collective investment schemes were eroded due to the implementation of the mark-to-market valuation policy by the Securities and Exchange Commission in the fourth quarter of 2023.

The effect of the policy, he stressed, led to the Scheme recording negative real returns for the first time in ten years.

He said the 2023 year saw the implementation of the unpopular Domestic Debt Exchange programme (DDEP), where domestic notes and bonds of Ghana were restructured.

The Professor said the Scheme participated in the DDEP and had successfully exchanged the old bonds for the new ones.

He said the Scheme’s commitment to proper governance through regular engagements with stakeholders had been vital to its success.

“We remain committed to pursuing prudent investment strategies aimed at diversifying the investment portfolio and delivering optimal returns to its members at a reasonable level of risk,” he said.

Owiredu-Yeboah Consult, an Independent Auditor, in its report, said proper books of accounts had been kept, and the statements of net assets available for benefits and statements of changes in net assets available for benefits, among others, agreed with the books of accounts.

According to the report, the Scheme’s transactions were within its powers, and the Scheme generally complied with the relevant provisions of the National Pensions Act, 2008 (Act 766) and the Occupational and Personal Pension (General Regulations, 2011 (LI. 1990).

Source: GNA

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