Audited Financial Accounts for the 2016 Financial Year -NasFund Press Statement

PRESS STATEMENT – Feb 23, 2017

At its meeting today the NASFUND Board considered and accepted its audited financial accounts for the 2016 financial year.

Chairman Hulala Tokome, on behalf of the Board stated that the results were positive in yet another challenging year. External factors such as the slowdown of the global economy and limited access to foreign currency continued to impact the revenue streams of PNG based companies in which the Fund had investments in. In addition, surplus of high quality property buildings resulted in valuation losses across the property portfolio. However this was mitigated by valuation gains in fixed income securities and equities. Chairman Tokome stated that the Fund had demonstrated a strong resilience to attain positive outcomes with an over budgeted performance in cash returns from its investments and controlled expenses.

Against this back drop the highlights of 2016 are as follows:

1. Gross Asset Value of K4.34 billion representing a growth of 7.2 % from K 4.05 billion recorded in 2015.

2. Net Asset Value of K4.22 billion representing a growth of 7.4 % from K3.93 billion recorded in 2015.

3. Net profit of K 283.47 million representing an increase of 87% over 2015 audited results of K 150.9 million.

4. Increase in total membership by 4% to 537,520 from 515,535 members recorded in 2015.

5. Employer base of 2,540 establishments representing a 5% growth from 2015.

6. Contribution receipts being member and employer contributions of K 451million.

7. Payment of K 456 million in superannuation entitlements in over 74,000 members transactions.

8. 983 educational and public awareness shop floor presentations to employers and members throughout the country compared to 773 presentations conducted in 2015.

9. Upgrading of Lae branch to a 66 seat capacity with a modern touch.

10. Upgrading of Boroko service centre to a 90 seat capacity with a modern touch.

11. Upgrading of Lihir branch to a prime location.

12. Opening of a new service centre in Bialla and Wabag.

13. Better management of liquidity to ensure withdrawing members were paid their rightful entitlements.

14. Completion of a new ERP platform to upgrade our core business and financial systems.

15. Decisions on new investments in property and equities totalling over K 81.2 million.

16. Investments in Fixed Income (Treasury Bills, Government Inscribed Stocks) of K1.46 billion.

17. Ongoing education processes for members to understand the importance of long term savings to provide for comfortable living in the later years of life after active employment.

On the back of these achievements the Board approved a crediting rate of 7.25% equating to over K 265.5 million to be paid to members accounts for the 2016 financial year.

The Board further agreed to hold reserves of K 91 million or 2.36% of member funds as a matter of prudency.

Looking ahead in 2017, Mr Tokome reminded members that their NASFUND savings were for the long term and about of quality of life after active employment or in retirement. Members should be actively thinking and planning their future. I also remind members, while returns from the investment portfolio are subject to market forces and vary from year to year, real returns after inflation to member accounts increase significantly over a long period through the effect of compound interest and a dedication to investing in assets that provide secure long term returns. This is where the real benefits is derived for members.”


“Above all, striving to be better than we are now and continuing to uphold members’ interests is your Board’s focus. This is what we are all about,” said Mr Tokome.

On this note I would like to sincerely congratulate our CEO, Ian Tarutia, management and staff of NASFUND for their commitment and hard work over 2016 in delivering these results.

Approved for release by:



Note: members can expect their accounts to be credited by next Tuesday 28th February 2017.

Photo (left to right): CFO, Rajeev Sharma; Chairman, Hulala Tokome, CEO, Ian Tarutia OBE

Nasfund February 23, 2017 3.55 pm

One comment

  • By Jacob Marcos

    Cancer is on the rise in Papua New Guinea (PNG) and the Government has come up with a road map to address the escalation of cancer cases in the country.

    To implement the roadmap, the Department of Health is looking at avenues as it requires a large amount of resources to look into cancer in a bigger way because Cancer comes in all forms.

    There are many types of cancers and there are many treatment options and people even with the same cancer don’t always need the same treatment.

    Treatment of cancer is not solely by radiotherapy. There are many recent and more effective treatments now available and the department of health has started using these multiple options.
    Surgery, chemotherapy, radiotherapy and anti-cancer drugs are treatments already available at Port Moresby General Hospital and Angau Memorial Hospital.

    The current cobalt radiotherapy treatment at Lae Cancer Treatment Centre is very old technology that modern cancer specialists would not recommend as the only treatment option. The department of health is expanding the treatment options to this centre so that patients have options for their treatment, not just one answer that doesn’t fit every patient’s needs.

    Currently the National Department of Health (NDoH) is recruiting two new specialist oncologists for the Lae Cancer Unit. One for radiation treatment and another to work with other treatment options for cancer, such as advanced chemotherapy, surgery, and a new radiotherapy treatment called Linear Accelerator that will modernise the radiation treatment for cancer. This will provide better quality of life for cancer patients.

    We have a new Brachytherapy service underway and a volunteer specialist from Australia will be training our young specialists in new cancer treatments that will help particularly women with cervical cancer.

    The National Plan for Cancer estimates we need a minimum of K15 million per year to provide an adequate service to PNG. The current available budget is only K2.1 million of which more than two-thirds has been paid to Dr John Niblett in salary and entitlements.

    Over the Nine (9) years Dr Niblett has been paid this large sum of money annually, he has not trained or professionally developed any new Papua New Guinean radiation oncologists to serve the people of Lae or PNG. Dr Niblett has kept the skills to himself for his own interests.

    Meanwhile, the people of PNG must be reminded that Dr Niblett is not the only answer to Cancer. The Department of Health feels necessary to replace him for his services are no longer needed in line with newer challenges. We need new Specialists which are less demanding but willing to impart knowledge to our local staff and that we speak of sustainability.

    It is not in the best interest of our country to pay huge salaries to expatriates who provide no training for our own specialists, holding back the potential for increased specialist care of cancer patients right across PNG.

    I again appeal to the people of this country not to be fooled by Dr Nilbett’s media propaganda. If he has a business to run in the country, he must do so without the expenses of the people of this great nation.

    The department of health and the government will continue to give cancer treatment a high priority. However we need to use the available budget for education in prevention, modern medical equipment, drug supplies and training for local specialist doctors/oncologists.

    This is how all cancer patients can be sure of ongoing treatment and support for them and their families for years to come.

    Be mindful that Cancer is fuelled by risk factors such as tobacco use, unhealthy diets and chewing of betel nut.

Leave a Reply