The Government Institutions Pension Fund (GIPF) is ready to implement the much anticipated and fund-initiated Pension Backed Home Loan Scheme (PBHLS) following the public announcement by finance minister Ericah Shafudah. 

“The GIPF has been proactively seized with this matter since 2016 when the Board of Trustees approved a proposal to amend its rules to allow for a pension-backed home loan scheme. 

In 2018 the rule amendment was approved by the Office of the Prime Minister and the regulator, the Namibia Financial Institutions Supervisory Authority (Namfisa), paving the way for the establishment of the scheme in 2021,” GIPF said yesterday. The fund now awaits the signing of a Memorandum of Agreement with the Office of the Prime Minister, as soon as the approved interest rate of repo plus 2.5% has been gazetted. 

“Active fund members are hereby informed that the fund has identified First Capital Housing Scheme and Kuleni Financial Services as the two agents that will administer the PBHLS. 

The two services providers will only be onboarded once all the necessary agreements have been signed,” GIPF added. 

The statement encouraged members to be patient as the GIPF is in the final stretch of the process and the fund will provide more detailed announcements on the modalities and procedures upon finalisation of all relevant agreements and once these are signed. The fund has over the past two years proactively been sensitising its active members country-wide about the rollout of the scheme.