The CPF Group Pension Funds, encompassing the Local Authorities Pension Trust (LAPTRUST), the County Pension Fund, and the CPF Individual Pension Plan, celebrated sustained growth and resilient performance in the year ended 2023. During the Annual General Meeting (AGM) held at The Edge Conference in Nairobi County, CPF Group Managing Director/CEO Dr. Hosea Kili, OGW, delivered a comprehensive performance review. He underscored positive trends in member growth across various schemes while addressing market and economic challenges that influenced a decrease in net assets for specific schemes.
The LAPTRUST DB scheme reported a reduction in net assets from Kshs. 31.26 billion in 2022 to Kshs. 26.99 billion in 2023, largely due to increased normal withdrawals as the scheme’s membership ages and transitions to retirement. Active membership numbers also declined from 15,842 at the beginning of 2023 to 14,771 by year-end, attributed to retirement and other natural exits.
Conversely, the CPF Individual Pension Plan (IPP) exhibited remarkable growth, with membership surging by 113% to 23,229 by the end of 2023, compared to 10,931 members in 2022, with a closing fund value of Kshs. 2,884,203,000. The County Pension Fund maintained a steady performance, with net assets closing at Kshs. 36,966,121,000 in 2023. Additionally, active membership saw a significant increase of 12.2%, rising to 76,593 from 68,280 in the previous year.
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“In our quest to address the current challenges facing our economy, stimulate economic recovery, and bolster resilience, we must embrace accountable governance and collective effort. By working together, we can ensure that every citizen benefits from economic growth and stability, fostering a society where opportunities are equitably distributed, and the foundations of social security are strengthened for all” reiterated the, H. E Gladys Wanga, Governor Homa Bay County.
CPF Group unveiled its ambitious Strategic Plan 2024-2028, a roadmap that charts our course through the dynamic financial landscape. This plan serves as a blueprint for not only maintaining our leadership role in our core markets but also for venturing into new frontiers through strategic geographical diversification. The plan aligned with the Government of Kenya initiatives is anchored on a set of core values, sustainability, professionalism, integrity, innovation, respect, and teamwork. These values underpin our commitment to achieving the plan’s central theme: accelerating growth.
“As we navigate through a complex global economic environment,” noted CPF Group Managing Director/CEO Dr. Hosea Kili, OGW, ” The Group is well-prepared with comprehensive strategic measures to mitigate risks and capitalize on opportunities. Our focus remains on delivering value to our members through innovative solutions and prudent financial management.”
CPF Group’s growth extends beyond impressive membership figures and performance. The group has strategically expanded its internal capacity by bringing on board new staff with a wealth of experience, to actively pursue strategic partnerships, a key component in its quest to diversify investment portfolios and leverage innovation. These partnerships will ultimately translate into better returns for members.
“The focus on accelerating growth is not limited to internal structures and external collaborations. We have prioritized enhanced customer focus across our branch network, ensuring our members receive exceptional service across Kenya. Furthermore, we have implemented measures to increase operational efficiency, streamline processes, and maximize effectiveness.” said the CPF Financial Services Chairman, Maurice Nduranu “This combination of strategic staffing, partnership building, customer-centricity, and operational excellence positions CPF Group for a future of continued success.”
As CPF Group continues to adapt and innovate, it remains dedicated to securing the financial futures of its members and overcoming the complexities of the global financial landscape with resilience and strategic foresight.
