PUTRAJAYA: The National Farmers Organisation (Nafas) announced a dividend of nine per cent for its National Farmers Fund (DPK) for the financial year ending Dec 31, 2023 under the Farmers Special Investment Scheme (SPKP).
Agriculture and Food Security Minister Datuk Seri Mohamad Sabu said the dividend breakdown was six per cent and a three per cent bonus for investments of the first RM50,000, and one per cent hibah for the DPK Al-Wadiah normal savings account with a total payment commitment of RM12.2 million.
"Currently the DPF's total assets have reached RM288 million, with investments in various financial sectors.
"The performance proves the effectiveness of the DPK's investment strategy and its ability to bring stable returns to all investors," he said during his speech at the 2023 DPK SPKP dividend announcement ceremony here today, adding that the fund's financial performance showed a consistent increase annually, with stable profits and competitive dividend distributions and bonuses.
He added that Nafas and DPK need to continue exploring new investment opportunities, optimise cash management and conduct digital transformation.
"They also need to be committed to raising service quality, product added value and strengthening marketing efforts to achieve the set strategic objectives," Mohamad Sabu said.
Meanwhile, Nafas said in a statement in conjunction with the dividend announcement that the DPK recorded a net profit of RM16.2 million with a total dividend distribution and bonuses of RM12.2 million for the financial year ending Dec 31, 2023.
The distribution percentage of 76 per cent from net profits will benefit almost 8,500 investors, Nafas said.
Meanwhile, the Sarawak Farmers Organisation was announced as the main winner for the DPK-SPKP Go Invest campaign during today's dividend announcement ceremony, topping the list of investors with over RM3 million, followed by the Selangor Farmers Organisation and the Hutan Melintang Farmers Organisation.
Selangor Farmers Organisation chairman Datuk Abdul Rahman Bakri shared that the DPK had huge potential to rake in profits, which boosted his organisation's confidence in investing in large sums.
"We are the second highest investor. If dividends are higher, it will be a bigger impact for members.
"We hope that the dividend will be over 10 per cent after this," he added.
The DPK was launched on Dec 17, 2012 to provide competitive financial services and to pool together funds to be distributed in financing and joint investments to members and the Farmers Organisation network.
The projects financed by the DPK include replanting oil palm plantations, fertigation of crops, purchase of agriculture machinery, rolling capital for chicken breeding and petrol stations.