Nitijela’s Appropriations Committee
grants $1.6 million subsidy for FY 2021

The new fiscal year started off with MISSA being assured of another financial stimulus of $1.6 million in the form of subsidy from the RMI Government. It is important to note that since MISSA Reform Bill No. 75 was passed by the Nitijela in 2017, the Administration has received a yearly subsidy from the Government, as follows: $3.3 million in 2017; $3.0 million in 2018; $2.3 million in 2019; and $1.7 million in 2020, or a total of $10.3 million in the last four years.

This financial assistance from the RMI Government came at a very opportune time. As the planned repatriation of stranded Marshallese citizens draws closer, the threat of COVID-19 reaching the country has now become more serious. It is projected that MISSA stands to lose around $1.7-$2.0 million worth of collections from the private sector if and when the pandemic causes a 6-week total lockdown in the country. Even though this will significantly affect MISSA’s cash flow, the Administration remains optimistic that the payment of benefits to more than 4,500 old and disabled retirees and surviving spouses and children will not be interrupted. As long as the quarterly subsidy and bi-weekly remittances covering contributions for government employees are received on time from the Ministry of Finance, MISSA’s cash flow will remain positive through the end of FY 2021.