NSSF Targets Major Highway Project as Pension Funds Seek Higher Yields
Kenya’s National Social Security Fund (NSSF) plans to invest in the 175-kilometer Nairobi-Nakuru-Mau Summit Highway as it shifts focus toward infrastructure projects that promise stronger returns for pensioners. The highway, currently at the tendering stage, is expected to be developed under a Public-Private Partnership (PPP).
NSSF Managing Trustee David Koros confirmed the fund’s interest during a technical seminar hosted by the International Social Security Association (ISSA) in Nairobi. He explained that the decision followed strategic benchmarking exercises.
“We believe this is a secure way to grow pension savings. Toll roads offer reliable and long-term income that benefits contributors,” Koros said on Wednesday.
The shift marks a broader trend among public pension schemes across Africa, where access to multilateral funding has become more restrictive. Governments now favor PPP models to reduce public debt and lessen taxpayer burdens, especially on capital-heavy infrastructure projects.
Koros said the fund is exploring alternative investment areas including agriculture and healthcare to diversify its Ksh 500 billion portfolio, with an ambition to reach Ksh 1 trillion in the medium term.
“We are not just expanding investments,” he added. “We’re also improving service. Pension payout processing has been cut from 76 days to 10 days. Our goal is to bring this down to just one day.”
The Nairobi-Nakuru-Mau Summit Highway project has drawn national interest due to its potential to connect key economic hubs and relieve traffic congestion on one of the country’s busiest corridors.
Pension experts at the Nairobi conference agreed that infrastructure investments offer long-term stability for pension schemes while addressing urgent development needs.
NSSF’s move aligns with the government’s push to tap domestic capital for national projects, especially at a time when traditional lenders are tightening credit conditions.
The final decision on the fund’s participation in the highway project will follow the conclusion of the ongoing procurement process.
