EPF to start health insurance plan for members, families


The Employees Provident Fund (EPF) is preparing to implement a contribution-based health insurance plan to benefit its members and their family members.

EPF administrator Krishna Prasad Acharya said that they were committed to executing the budget provision regarding a health insurance plan for government employees and their families and a contribution-based pension scheme.

Speaking at the EPF’s 52nd anniversary function, Acharya said that it was the right body to implement these schemes. “We want to expand our role in social security,” he added.

Acharya said that the EPF would focus on expanding its scope by bringing 700,000 employees in the private sector within its net. “For this, there should be coordination among the employers, trade unions and the EPF,” he added.

Currently, the EPF has 483,000 members from the government and the private sector. It has started work to amend the EPF Act in a bid to expand its role in social security, improve resource management, expand the membership base and ensure better corporate governance.

Since the EPF’s investment in the infrastructure sector is still small compared to its lending to members and deposits in commercial banks, Acharya said that priority would be given to increasing investment in this area. The EPF has pledged loan investments worth Rs 10 billion for the Upper Tamakoshi Project and Rs 16 billion for the development of four projects under the Chilime Hydropower Project.

The EPF possesses resources of Rs 145.68 billion, out of which Rs 139.37 billion has been used to generate revenue. Of this amount, 57.26 percent has been issued as loans to its members, 19.94 percent has been put in fixed deposits in banks, 9.83 percent has been spent on buying treasury bills and 11.14 percent has been issued as project loans.

Likewise, 1.58 percent has been invested in shares of banks and financial institutions and 0.25 percent in building and housing projects.

Acharya also highlighted a number of measures taken in the last fiscal year like providing medical facilities and distributing a bonus equivalent to 0.75 percent of the deposit to EPF members from the profits of the previous year. Under its medical facility programme, members can get reimbursements of up to Rs 15,000 and Rs 35,000 for difficult medical cases treated at designated hospitals.

EPF’s Lagankhel building for rent

KATHMANDU: The Empl-oyees Provident Fund (EPF) has put its new building at Lagankhel for rent, and has called for tenders from prospective firms or individuals to lease the entire building for commercial purposes. It plans to sign a rental contract within the next two months. The building, which was inaugurated on Monday, has nine floors. The first three floors are appropriate for shops and departmental stores while the upper three floors are suitable for use as offices. The top two storeys can be used for restaurants and party venues, said the EPF. The EPF has expected to get an annual rent of at least Rs 43.8 million from the building, and plans to recover its investment of Rs 480 million in 11 years.

Posted on: 2013-09-17 09:06