NAKURU, Kenya Mar 30 \u2013 The Telposta Pension Scheme (TPS) has approved a structured plan to sell part of its vast property portfolio in a move aimed at improving cash flow and ensuring timely payment of pensions to thousands of members.<\/p>\n
The decision comes as the scheme seeks to align with guidelines set by the Retirement Benefits Authority (RBA), which recommend that pension schemes limit property investments to no more than 30 percent of their total portfolio. Currently, property accounts for about 80 percent of TPS investments.<\/p>\n
Speaking during a member education forum in Nakuru, TPS Administrator Peter Rotich said that while the scheme remains financially stable, excessive investment in property has constrained liquidity.<\/p>\n
\u201cThe trustees, guided by transaction advisors, have approved a structured plan to gradually dispose of selected properties and reinvest in a more balanced portfolio,\u201d said Rotich.<\/p>\n
He assured members that the process will be gradual and carefully managed to avoid disruption of pension payments.<\/p>\n
Rotich noted that property investments, while valuable, come with operational challenges including non-paying tenants, legal disputes, and high maintenance costs.<\/p>\n
\u201cManaging property is not always straightforward due to issues such as unpaid rent, court cases, grabbed land and renovation costs,\u201d he said.<\/p>\n
The scheme has already taken steps to reclaim some of its assets, including winning court cases, evicting illegal occupants, and refurbishing properties to restore income generation.<\/p>\n
As of December 2024, TPS was owed over Sh276.9 million<\/strong> in unpaid rent.<\/p>\n In addition to restructuring its asset base, TPS has launched a nationwide member education programme aimed at improving transparency, communication, and understanding of benefits.<\/p>\n The forums, which began in Nairobi, will be rolled out in Mombasa, Kisumu, Nakuru, Eldoret, Nyeri, and Machakos.<\/p>\n The scheme has also unveiled a refreshed brand identity\u2014the first since its establishment in the 1990s\u2014under the tagline \u201cTuko Nanyi Tunawajali,\u201d<\/strong> emphasizing a member-centric and inclusive approach.<\/p>\n TPS manages pension funds for former employees of key institutions including Telkom Kenya, Postal Corporation of Kenya, and Communications Authority of Kenya.<\/p>\n Rotich emphasized that proceeds from property sales and recoveries will be fully reinvested to strengthen the scheme and safeguard members\u2019 benefits.<\/p>\n \u201cMore income from these properties means greater financial strength to pay pensions on time. The scheme is fighting for members\u2019 money\u2014and winning,\u201d he said.<\/p>\n He added that the restructuring is designed to enhance long-term sustainability and ensure TPS continues to meet its obligations to current and future retirees.<\/p>","protected":false},"excerpt":{"rendered":" NAKURU, Kenya Mar 30 \u2013 The Telposta Pension Scheme (TPS) has approved a structured plan to sell part of its vast property portfolio in a move aimed at improving cash flow and ensuring timely payment of pensions to thousands of members. The decision comes as the scheme seeks to align with guidelines set by the […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"footnotes":""},"categories":[1],"tags":[],"class_list":["post-136012","post","type-post","status-publish","format-standard","hentry","category-uncategorized","entry"],"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts\/136012","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/comments?post=136012"}],"version-history":[{"count":0,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/posts\/136012\/revisions"}],"wp:attachment":[{"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/media?parent=136012"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/categories?post=136012"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/chezaspin.com\/blog\/wp-json\/wp\/v2\/tags?post=136012"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}