E450m PSPF building taking shape, flats almost done
MBABANE – The Public Service Pension Fund (PSPF) has invested E15 billion in property projects in about two years.
Worth noting is that 45 per cent of these investments by the PSPF were done locally, a move that has received huge praise from the Prime Minister (PM) Russell Dlamini.
The investments include the new apartments in Mbabane next to the Royal Eswatini Police Service (REPS) headquarters, which are now near completion. The new flats cost the government entity E124 million.
They consist of two and three-bedroom units, boasting of recreational facilities for the residents. It also offers play area for children and minors. Information gathered is that this facility has 78 upmarket units, 62 of which are three-bedroom apartments while the remaining 16 are two-bedroom units.
The total area of the land used for construction measures 47 hectares in total while the structure is three-storey high. It has been gathered that the developers cost PSPF E99.6 million.
In their application to the Human Resettlements Authority to be granted permission to embark on this project, PSPF noted the need for diverse residential apartments in the CBD.
The entity motivated that the apartments would ease the housing burden in this sector of the economy, as evidenced through a housing feasibility study conducted by PSPF prior to the implementation of the project.
It was also noted in the application that this development would provide for shorter distances and time travelled by residents to their workplaces and to acquire certain essentials for their everyday activities.
PSPF also pointed out that the apartments would further reduce transportation costs and energy consumption within the Mbabane urban areas, while protecting this environment as there will be less emission.
Further advanced by the entity in the application was that the development would encourage strong sense of belonging and enhance complete development as it would ensure a more efficient use of land.
Invest
After being deserted for about 22 years, PSPF took a decision to invest about E450 million into re-modelling the former Eswatini Association of Savings and Credit Cooperatives (ESASCCO) building opposite the Mbabane Mall. This building has been lying idle for sometime amid fears that it had been turned into a refuge for criminals around the capital city.
The good news is that this building is now being converted into a premium office building complex, which would bring in revenue for the entity and further provide much-needed facelift for the capital city.
The PM, during his recent tour of these properties, implored PSPF to be part of an investment Indaba that is being spearheaded by the Ministry of Commerce, Industry and Trade, where businesses that will invest over E1 billion in new and innovative initiatives are being targeted. The PM also urged PSPF to consider partnerships and possible investments in the areas of aviation, rail, energy and mining.
PSPF is a government parastatal established by the King’s Order in Council No. 13 of 1993. The fund operates as a retirement fund with perpetual succession and common seal which may sue and be sued in its corporate name.
The entity has an investment committee, which is a statutory body advising the Board on the investment of the fund’s assets.
It consists of the chairperson of the Board and four other persons appointed by the minister in consultation with the Board for their expertise in investment matters. The term of office for the committee is three years.
The committee holds quarterly meetings to review investment performance reports and hold special meetings as circumstances require.
The committee deliberates on investments issues and makes recommendations to the Board for approval. The current membership of the committee consists of:
1. Z. Lukhele – Chairman,
2. D. Ntshalintshali
3. K. Dlamini,
4. M. Ntshangase, and
5. S. Dlamini
Masotja Vilakati is currently the entity’s Chief Executive Officer (CEO) after his appointment effective from March 1, 2022, as announced by Minister of Public Service Mabulala Maseko.
This was after previously acting on the position since October 2021. Vilakati, besides being a familiar face in the local football fraternity, after playing for Mbabane Swallows, was previously employed at the Central
Bank of Eswatini.
The PSPF scheme is run as a defined benefit pension and provides a number of products for its members and their dependents. This includes funeral cover, death benefits, disability benefits, retirement benefits, withdrawal benefits, early retirement, deferred retirement, abolition of office and forced medical retirement.
The fund has experienced impressive growth since it started operating due to the positive response as civil servants exercised their option to join the Fund.
vision
“Our vision is to provide an excellent retirement service experience. We strive to meet the demands of the membership. The fundamental of what we do is concentrating on our members and pensioners, which requires us to constantly and consistently meet their needs,” reads a statement from the entity’s website.
Questions were sent to PSPF’s Elkan Makhanya but he kindly requested to be given more time to respond. The questions were as follows:
During the recent tour of Public Pension Fund projects by the Prime Minister Russell Dlamini earlier this week, it was revealed that your entity has invested E15 billion in projects including the re-modelling of the former ESASCCO building near the mall. What is the projected time of completing this project and how will it benefit PSPF in the longterm?
The PM was also taken through the tour of the PSPF flats valued at E124 million. When will the flats be ready to take in new tenants? What informed the entity’s decision to embark in this project?
The PM also encouraged PSPF to be part of the investment indaba to be hosted by the Ministry of Commerce, Industry and Trade where businesses that will invest over E1 billion are being targeted. What would be your response to the PM’s advice?