The National Social Security and Insurance Trust (NASSIT) plans to increase its investment in government securities as interest rates on the one year debts has increased above 15 percent, Mr. Alpha Keita, head of the Treasury Investment Division, said in an interview.
NASSIT has invested over Le100 billion in government debts; “Le55 billion in treasury bills and Le50 billion in 2-year bonds,” Mr. Keita said.
The Interest rates on treasury bills for the first quarter of 2016 had been increasing from single digit to double digits especially for the 182-days and 364-days debts.
Since 2013, interest rates started dropping and reached as low as 5 percent for the one year period, as government was trying to crowd out the market. This was a move by the Ministry of Finance and Economic Development to ensure the commercial banks give out loans to the public at reduced interest.
The total investment asset of NASSIT is Le1.46 trillion as at March 2016, Mr. Keita said.
NASSIT has invested in hotels including Golden Tulip formerly Kimbima Hotel and Radisson Blu Mammy Yoko Hotel both in Aberdeen, Freetown. The Trust has built plazas in Kenema, Makeni and Bo; and constructing a shopping mall in Freetown.
Monday July 04, 2016
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