VNPF records strong 2024 performance despite earthquake setbacks

December 29, 2025 10:11 pm | Posted in Business News | Share now TwitterFacebook

By Terence Malapa.

The Vanuatu National Provident Fund (VNPF) reported a strong financial performance for 2024, recording a net return on investments of VT1.9 billion and a net profit of VT1.3 billion, according to its 2024 Annual Report released yesterday.

The Fund collected a record VT3 billion in contributions during the year, including VT160 million from seasonal workers overseas. A further VT62 million was collected in surcharges, while VT1.2 billion was paid out in member withdrawals.

Members’ funds rose to VT26 billion, representing a 9 per cent increase compared with 2023. Members were credited with an interest rate of 2.5 per cent, resulting in a total payout of about VT560 million. Growth was also recorded in the informal sector, with more than 3,000 new voluntary members registering in 2024 and total voluntary contributions reaching VT91 million.

Through its Informal Sector Unit, VNPF continued to extend services to rural and outer island communities through mobile service buses on Efate and Santo, outreach visits to outer islands, and financial literacy workshops conducted in partnership with the Reserve Bank of Vanuatu (RBV). These activities targeted groups including market vendors, fishermen, drivers, and small business owners.

The report marks the conclusion of VNPF’s Strategic Plan 2021–2024, which focused on Finance and Investments, Members and Employers, and Internal Processes and Employees. Over the four-year period, contributions and net income followed an upward trend, although net income in 2024 was slightly lower than in 2023 due to changes in investment valuations and delays in rent collection following the December 2024 earthquake.

The earthquake caused extensive damage to several VNPF-owned buildings, including premises used by the National Bank of Vanuatu (NBV), the Utilities Regulatory Authority (URA), and Customs, and also required major repairs to the Fund’s headquarters. In his executive report, newly appointed General Manager Paul Kaun said the earthquake affected many of the Fund’s achievements but reaffirmed VNPF’s commitment to safeguarding members’ funds. He noted that investments would continue to prioritise projects aligned with national development goals such as healthcare, education, and financial inclusion.

Looking ahead, VNPF plans to explore new investment opportunities, strengthen governance and management, introduce basic health insurance for members, and progress plans for a new private hospital in Port Vila through its subsidiary, Healthcare (Vanuatu) Ltd. The Fund will also review contribution rates, which remain the lowest in the Pacific and have been unchanged for more than 20 years, as preparations begin for the new Strategic Plan 2025–2029.