AMMAN — Sunday’s announcement by
Social Security Investment Fund (SSIF) CEO Kholoud Saqqaf that the fund’s assets totaled JD13.3 billion at the
end of June was met by experts with mixed reactions. Saqqaf told Lower House
lawmakers that the SSIF’s profits stood at JD371 million, and reiterated that
the government is committed to repaying its debts to the fund in a timely
manner.
اضافة اعلان
Economic analyst
Mazen Irsheid told
Jordan News that the SSIF’s
assets and profits should be disclosed periodically and not only when it suits
the Social Security Corporation (SSC), since these are the funds and savings of
the people who are entitled to be kept abreast of the financial situation of
the institution.
SSC subscribers contribute 7 percent of their monthly salaries while
employers pay another 15 percent to the corporation.
Irsheid emphasized that it is necessary to build trust between the SSC
and subscribers and that full disclosure about the corporation’s investments is
needed.
He added that through full and transparent disclosures “we can keep track
of where the investments are going and thus limit the spread of fake news”, to
the benefit of both the SSC and subscribers.
Social security expert Mousa
Al-Subaihi told
Jordan News that the SSIF’s profits in the first half of
this year, amounting to JD371 million, were slightly lower than the profits of
the Jordan Phosphate Mines Company, which recorded JD371.8 million net profits
after tax. The SSIF owns 10.5 percent in that company and 16.5 percent in the
Arab Potash Company.
Subaihi said that the SSIF’s profits came mostly from interest paid by
the government on Treasury bonds, along with corporate dividends and interest
from cash deposits.
Economist Jawad Anani said that this rise gives some reassurance that the
SSC’s situation is improving and that it is able to fulfill its obligations.
He expects the corporation to make better profits next year because
potash and phosphate exports have been rising, along with commodity prices.
Meanwhile, SSC Director General
Hazem Rahahleh told lawmakers on Sunday
that the corporation expects the insurance surplus this year to exceed JD450
million, according to media outlets.
He stressed the importance of amendments to the Social Security Law,
expected to have a positive impact on social protection and stimulate the labor
market, adding that the goals and objectives of the proposed amendments are to
strengthen social protection and economic security for contributors, their
family members, and retirees.
According
to Rahahleh, financial sustainability is largely focused on early retirement
and finding a balanced equation for it, as the proposed amendments to the law
regarding early retirement will not include those who have served less than
seven years, i.e., 84 contributions; those who served less will see their early
retirement age rise to 55 for men, and 52 for women. Likewise, the draft law
abolished early retirement for those whose contributions on January 1, 2026,
will be less than 36 payments, and their retirement age is 62 for men and 59
for women.
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