The pension assets of UAPF JSC, one of the most important financial institutions in Kazakhstan, increased by 879 billion tenge in the first quarter of 2020. Thus, the pension savings of our citizens exceeded 11.7 trillion tenge, an increase from the beginning of 2020 amounted to 8%.
The main amount of pension savings was formed by compulsory pension contributions (OPV) and amounted to 11.4 trillion tenge, having increased by 21% over the past 12 months. The amount of pension accruals for compulsory professional pension contributions (OVTP) amounted to 272.3 billion tenge (30% growth), the amount of pension accumulations for voluntary pension contributions (VAS) exceeded 2 billion tenge (10% increase).
It should be noted that the total number of individual pension accounts for all types of contributions of UAPF JSC exceeded 10 million, or more precisely - 10 698 980 units. Growth since April last year was 3%. The largest part of the IAS is still made up of mandatory pension contributions - 10.1 million, followed by mandatory professional pension contributions - 514.8 thousand accounts. Voluntary pension contributions continue to grow steadily, as of April 1, 2020, there are 55,371 accounts in the UAPF.
In the first quarter of 2020, pension contributions in the total amount of 261.9 billion tenge were received on depositor accounts, which exceeded the figures for the first 3 months of 2019 by 19%. Payments amounted to 45 billion tenge, most of which accounted for payments by age (16.7 billion tenge), when leaving for permanent residence outside the Republic of Kazakhstan (11.6 billion tenge), transfers to insurance organizations (8.4 billion tenge), to heirs (7.1 billion tenge), for burial (0.8 billion tenge).
It is especially worth emphasizing that since the beginning of 2020, as of April 1, more than 661.7 billion tenge of investment income has been credited to the accounts of UAPF investors, which is 564.8 billion more compared to the same period last year, the growth was an impressive 583% . Recall that for the first quarter of 2019, net investment income amounted to only 96.9 billion tenge. It is important to remember that as a result of investment activity due to the volatility of foreign exchange rates and changes in the market value of financial instruments, the size of accrued investment income can always vary, and it must be considered in the long term.
As we can see even in comparing the two indicators of 2019 and 2020, investment income is not fixed, depending on the value of financial instruments and the situation on the financial market as a whole. Therefore, a possible temporary decrease in the amount of investment income due to individual financial instruments is compensated in the future by diversification of the entire investment portfolio of pension assets in a longer period.
UAPF was established on August 22, 2013 on the basis of JSC NPF GNPF. The UAPF founder and shareholder is the Government of the Republic of Kazakhstan represented by the State Institution “Committee of State Property and Privatization” of the Ministry of Finance of the Republic of Kazakhstan. UAPF pension assets are managed by the National Bank of the Republic of Kazakhstan. From January 1, 2016, the functions for developing proposals to improve the management of pension assets were transferred to the National Fund Management Council. In accordance with the pension legislation, the UAPF attracts mandatory pension contributions, mandatory professional pension contributions, voluntary pension contributions, pension payments, individual accounting of pension accumulations and payments, provides the depositor (recipient) with information on the status of his pension accumulations (for more information visit www.enpf.kz )