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In revealing statistics, NSSA said that the manufacturing sector retrenched about 8% of its staff last year alone.
Economic challenges are forcing Zimbabwe to dig deep into its pocket. The National Social Security Authority (Nssa) of Zimbabwe said that about US$600 million has been eroded from its balance sheet over the past two years as the economy remained under pressure from a prolonged crisis. It further added that the economic crisis has translated into subdued job creation – where the fund derives its income. In revealing statistics, NSSA said that the manufacturing sector retrenched about 8% of its staff last year alone.
A Nssa executive said the write-downs prompted it to redirect investments to offshore projects, to earn foreign currency returns. The volatilities have impacted on Nssa’s ability to invest in new projects, expand operations, or even sustain current Nssa’s operations.
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The authority’s acting general manager Charles Shava said his team was taking proactive measures to defend the fund. He further said that over the past five years, Nssa’s collection has been highly volatile because of the macroeconomic situation in the country. At some point, the balance sheet of the organization touched USD 1.2 billion, which has depleted by about 50%.
