SSF pays over Rs 15.75 bn to contributors, expands coverage to families and foreign workers

KATHMANDU: Nepal’s Social Security Fund (SSF) has disbursed more than NPR 15.75 billion in claim settlements under various social protection schemes, marking a significant milestone in the country’s formal labor welfare system. The fund, which was established to provide economic and health security to formal, foreign, and informal workers, has processed over 756,000 claims since inception.

According to the SSF, NPR 5.87 billion was disbursed in the last fiscal year 2081/82 alone, settling over 362,000 claims. These claims include health benefits, maternity coverage, disability assistance, and old-age security payments.

Breakdown of Disbursements

The fund’s loan schemes alone account for a major chunk of the payouts:

Special Loans: NPR 6.90 billion provided to 34,020 contributors

Housing Loans: NPR 130 million distributed to 67 contributors

Educational Loans: NPR 10 million granted to 10 contributors
Total: NPR 7.04 billion in loans to 34,097 contributors

Under medical and health security, the SSF paid:

NPR 2.15 billion to 110,696 contributors for general and maternity treatment

NPR 200 million to 5,933 contributors for accident and disability coverage

NPR 260 million to 745 dependent families under the dependent family protection scheme

NPR 13.13 billion to 112,868 elderly contributors under the old-age protection scheme

Rising Participation and Contribution

The SSF has witnessed rapid growth in its contributor base. To date, 20,951 employers have registered in the fund, with a total of 2.37 million workers enrolled. Of these:

601,825 are in the formal sector

1.77 million in the foreign employment sector

1,124 in informal and self-employment sectors

The last fiscal year alone saw an addition of 882,946 contributors, according to SSF spokesperson Krishna Adhikari.

Contribution Collection and Health Network Expansion

So far, the SSF has collected NPR 83.65 billion in contributions. Out of this, NPR 25.36 billion was collected in the fiscal year 2081/82 alone. In a major service delivery upgrade, 107 hospitals now operate under an automated service delivery system, thanks to recent network expansions.

To facilitate foreign and self-employed Nepali workers, the SSF has also signed operational agreements with 12 financial institutions to ease contribution collection outside Nepal.

Policy Reform and Future Direction

A significant policy reform now allows health services to extend beyond contributors to their families. Earlier limited to just the workers, the coverage now includes spouses and children.

Health benefits have also been upgraded — the NPR 100,000 limit for medicine coverage has been increased. For hospitalization, contributors are now eligible for up to NPR 1 million in treatment costs, with 50% co-payment facilities already in place.

According to Adhikari, within the next four years, the SSF will fully shoulder the healthcare responsibilities of all enrolled workers and their families, acting as a state-sponsored social safety net.

Systemic Gaps and Challenges

Despite its commendable progress, the SSF continues to face criticism for limited awareness among informal workers and migrant laborers. Analysts have pointed to challenges in ensuring effective implementation, timely settlements, and inter-agency coordination, particularly for those employed abroad.

However, with expanding infrastructure, rising contributor numbers, and deepening institutional reforms, the SSF is gradually establishing itself as a key pillar of Nepal’s evolving labor security framework — one poised to influence broader economic reforms, social equity, and long-term human capital investment.