The Fund has also within the last two years embarked on different projects such as Mbuya I & 2 valued at Shs14.9b with 56 high-end units, Lubowa Housing Project and Jinja City, House which was commissioned last year.
MBARARA. National Social Security Fund is diversifying its investment portfolio, especially in real estate, from which it expects to make a return of about 20 per cent.
Speaking during the unveiling of a Shs3.9b investment in Mbarara yesterday, Mr Richard Byarugaba, the NSSF managing director, said real estate continues to be a key avenue for investment and NSSF will continue to invest in the sector.
“Our plan is to have two other commercial buildings in Mbale and Gulu districts in the near future,” he said, noting that the Mbarara building has a total built-up area of approximately 1,500 square metres.
The building, whose construction lasted 18 months, has a retail and office complex laid out on four floors and parking capacity of up to 40 vehicles.
NSSF is one of Uganda’s largest institutional investors but has lately been leveraging on a strong financial portfolio to tap into other investment vehicles such as real estate.
The Fund also has other classes of investments such as fixed income, which makes up 79 per cent, equities with 14 per cent and real estate 7 per cent. The Fund has also within the last two years embarked on different projects such as Mbuya I & 2 valued at Shs14.9b with 56 high-end units, Lubowa Housing Project and Jinja City, House which was commissioned last year.
Completion of Mbuya 2, Mr Byarugaba said is expected in August.
However, the Fund has also had a fair share real-estate investment problems, key among them Temangalo Housing Project in Wakiso District and the Pension Tower in Kampala.
NSSF amendment: In his remarks, Mr Patrick Byabakama Kaberenge, NSSF chairman, said it was good that government had agreed to amend the NSSF Act, saying it will go a long way in facilitating access of social security to all working Ugandans, beyond the current 7 per cent coverage.
Well planned cities: Housing State Minister Chris Baryomunsi, said government is in the process of developing a master plan that will ensure that cities are well planned.