41CO Kommunal Nts

23.01.2025

Norwegian municipalities and health organisations to receive 37 billion NOK

The pension company Kommunal Landspensjonskasse (KLP) plans to allocate a record sum to the customers' premium funds.

- KLP is pleased to announce that good results provide the basis for a record transfer to the customers' premium funds. The aim is to transfer more than NOK 37 billion to the customers' premium funds this year, while strengthening the solvency in line with the growth in pension obligations, says KLP's CEO Sverre Thornes.

This is a 70 percent increase from last year's transfer of NOK 21.4 billion. It is significantly higher than previously announced. The premium fund can be used to cover future payments to the pension scheme, and will therefore both reduce the customers' pension costs and improve their liquidity.

- We know that many of our customers are experiencing financial pressure, so we are pleased to be able to provide this information early, even though the final accounts are not yet approved, says CEO Sverre Thornes, adding:

- When we now propose to distribute most of a very good result, it is because we over time have built up sufficient solvency reserves. This shows the value of long-term capital management. The final allocation to the premium funds will be decided in March in connection with the board's review of the annual accounts. The funds will be transferred to the premium funds during the second quarter.