Return on assets of the banking system, which was negative 1.1 percent reversed sharply to over 6.0 percent at the end of September 2005. In addition, the banking system remains liquid at 15.5 percent of total deposits, compared to 4.0 percent in 2002. These indicators reflect that the banking system is financially sound and provides a strong foundation for sustained macroeconomic conditions.
In the Superannuation industry, the positive results over the last few years speak for themselves compared to the bad experiences some 6-7 years ago where contributors lost a lot of their savings. The tale is different today. Prudent and good management are enabling contributors to benefit from their funds. The declaration of huge profits by POSF and Nasfund are clear testimony of these reforms.