COVID-19 Budget: FNPF contributions to decrease
27 March, 2020, 10:11 am
A total of $210m will be pumped into the economy as stated in the COVID-19 Supplementary Budget.
Minister for Economy Aiyaz Sayed-Khaiyum stated that all employee deduction will decrease from eight percent to five percent.
“For all employees in Fiji, we will reduce their FNPF contribution from 8 percent to 5 percent effective from April 1, 2020- putting $80million dollars in the pockets of Fijian workers for the next nine months while still maintaining a steady contribution to their superannuation scheme,” he said.
Employers have also been given a bit of a relief as their contributions have been halved.
“From 1 April 2020, we will reduce employers FNPF Statutory contributions from 10 percent to five percent, until December 31,2020. Over the next nine months, this will keep $130m in their accounts- helping them sustain their business and cash flow and minimise job losses and hour reductions.”