NATIONAL Social Security Authority (NSSA) general manager, James Matiza has said the organisation plans to take back land repossessed by some local authorities around the country.
The land was repossessed after NSSA allegedly failed to develop housing stands within the prescribed period.
Answering questions from members of the Parliamentary Public Accounts Committee this week, Matiza said NSSA had acquired land around the country for housing developments prior to the hyperinflation years.
The organisation had put together a 10-year plan for development of housing on these sites, beginning in Mutare. However, hyperinflation made it impossible to proceed with the project.
Moreover some local authorities, including Mutare, had been unable to install the off-site water and sewerage infrastructure essential for site development.
Matiza said when Mutare failed to provide off-site infrastructure, NSSA had to move to the next town on the list, which was Marondera, where the organisation serviced 669 residential stands and built 204 houses.
The State pension scheme had regained land in Masvingo, where it planned to service 683 high density stands.
Matiza said land originally purchased for housing development had been jointly identified by NSSA, the Ministry of Local Government and local authorities.
He said the Ministry had assured him it should regain possession of stands that had been repossessed by local authorities. In some cases, NSSA was pursuing legal action to regain repossessed stands.
Regarding security for staff housing loans, Matiza said the normal practice was for the staff member purchasing property with a company loan to surrender to NSSA title deeds for the property. Once the loan has been repaid, the title deeds were returned to the purchaser.
Matiza said that, following observations about the lack of adequate security for such loans, staff had been informed that in future funds would only be given for the purchase of already built houses.
Asked about investments in banks such as Metropolitan Bank and FBC, Matiza said NSSA had not invested in Metropolitan Bank.
NSSA had only placed deposits with MetBank for on-lending and all of the US$25 million deposited with the bank was secured and had been recovered.Advertisement
Matiza said NSSA held 35 percent of the shares in FBC, which he said was a well‑ managed bank.
“All maturities are met on time and they pay us a dividend on our 35 percent investment,” he said.