Uganda’s National Social Security Fund, the largest money manager in East Africa, plans to accelerate the expansion of its asset base to $5 billion by 2023.
Managing Director Richard Byarugaba says the state-controlled company’s assets under management may reach $5.2 billion as early as 2023, or about two years ahead of target, an approximately 15% increase from June.
“We will get there before” 2025…Our growth as a company is now going through investment income rather than contributions.” Byarugaba says.
NSSF Uganda, which invests solely in East Africa, plans to continue being one of the main buyers of the region’s bonds and equities, even as foreign investors flee emerging and frontier markets amid interest-rate hikes in developed nations.
NSSF Uganda bought about half the shares on offer during the initial public offering of wireless carrier MTN Group Ltd.’s Ugandan unit, which was listed on the local bourse in December.
According to Byarugaba, NSSF Uganda recently increased its Kenyan Eurobond holdings, and has shares in companies on the Nairobi Securities Exchange and the Dar es Salaam Stock Exchange in Tanzania.
The fund’s portfolio is currently about 78% fixed income, 15% equities and 7% alternative assets such as real estate.
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