GEPF strategic plan, mandate and progress

The Select Committee on Finance of the National Council of Provinces (NCOP) met on 26 May 2026 to receive a briefing from the Government Employees Pension Fund (GEPF) on its strategic plan, mandate, governance structures, investment strategy, financial sustainability, and progress. The GEPF reported that it remained the largest pension fund in Africa, with more than 1.2 million active members, over 500 000 pensioners and beneficiaries, and assets under management of approximately R2.7 trillion. It operated as a defined benefit pension scheme governed by the Government Employees Pension Law and maintained a funding level of 119%. Investments were managed through the Public Investment Corporation (PIC), while benefits administration was undertaken by the Government Pensions Administration Agency (GPAA). The Fund outlined its governance arrangements, liability-driven investment strategy, developmental investments, and operational challenges affecting benefit administration. It highlighted investments in infrastructure, renewable energy, healthcare, housing, agriculture, and student accommodation, while noting that investment income for the 2024/25 financial year amounted to approximately R380 billion. Members raised concerns regarding governance and oversight of the PIC, unresolved complaints lodged with the Government Employees Pension Ombud, delayed pension payments, unclaimed benefits, consequence management, governance failures relating to unlisted investments, pension increases, and the impact of the two-pot retirement system. Members also questioned the effectiveness of member education campaigns, outreach initiatives, and measures to counter misinformation regarding pension withdrawals and benefits. The GEPF responded that oversight mechanisms over the PIC had been strengthened through revised investment management agreements, oversight committees, and tighter monitoring systems, and indicated that legal recourse remained available in cases involving negligence or misconduct. It explained that pension increases were determined through an actuarial process guided by the pension increase policy and the Government Employees Pension Law, targeting at least 75% of consumer price index (CPI) inflation over the lifetime of pensioners. On benefit administration, the Fund said that 58% of benefits were processed within 60 days from date of exit, while 85% were processed within 60 days after receipt of complete documentation. It clarified that unclaimed benefits amounted to approximately R513 million. The Committee requested additional written information on trustee profiles, developmental investments, communication budgets, and stakeholder engagement initiatives.