It is not the purpose of the super-funds reduction to drive the economy, it was a policy of the Govt of the day – FNPF Chair

The board or the management of the Fiji National Provident Fund do not determine whether it should be the purpose of the superannuation-funds reduction to drive the economy, as that was a policy of the government of the day.

FNPF Chairman Daksesh Patel stated this at the National Economic Summit adding it is not their purpose to stimulate growth.

“This is not a policy of the board of the FNPF or the management determines, it was a policy of the government of the day” FNPF Chairman Daksesh Patel.

Patel says the simple and sole purpose of the FNPF is to serve the members interest, enhance their return, and safeguard their retirement fund.

He adds it is not their purpose to play the role of the private sector, nor the role of the government.

Patel says their role is member-centric, to protect the interest of the members, however, as a fund they have to return to their members by investing in various sectors.

He also says this is to ensure there is consistent return, or the money works itself to give members an additional return and therefore they invest in many industries which as a consequence stimulates the national economy.

The Chairman further says the loosening of the monetary policy and the world of fiscal stimulus no doubt activated the economy in the last few years in the pandemic.

He adds FNPF was central to it because they had members withdrawing which was allowable withdrawals to go and meet their needs.