UNIONS POSITION ON NAMBAWAN SUPER SPONSORSHIP OF PNG CHIEFS

Media Statement | 23 October 2026. The Public Employees Association of PNG and our sister unions have noted recent developments regarding Nambawan Super’s announcement of sponsorship to the PNG Chiefs on Monday 19 October 2026. We also noted the statement by TISA Group CEO Mr Michael Koisen from the business perspective and the subsequent response by the Nambawan Super CEO. As the voice of the workers, we note serious concerns and raise the following: High political exposure and political risk The PNG Chiefs venture carries significant political influence and backing. Aligning a neutral, retirement-focused wealth fund with a highly politicized entity exposes members’ funds to shifting political tides. Any political controversy surrounding the team or its leadership could instantly damage Nambawan Super’s reputation, eroding member trust in the fund’s impartiality. Precedent for Capital Mismanagement Allowing a multi-billion Kina fund to spend retirement savings on speculative sports franchises sets a dangerous precedent. Our members’ funds must not be subjected to mismanagement. Members’ interest is paramount and that should be the priority. Misallocation of funds & ROI Direct sports sponsorship is an expensive marketing exercise. Because Nambawan Super exists to secure retirements, redirecting capital into non-earning promotional assets is an inefficient use of retirement savings. Sports sponsorships rarely offer a quantifiable, direct financial return that matches traditional asset classes like real estate, government bonds, or equities. Existing Indirect Exposure Nambawan Super already holds major equity shares in BSP Financial Group and SP Brewery, both of which are prominent corporate sponsors of PNG rugby league / the PNG Chiefs. Direct sponsorship creates an unnecessary duplicate exposure to the same venture. Members are already indirectly funding the Chiefs through Nambawan’s existing corporate portfolio. Market Structure & Monopolistic Advantage The superannuation market in Papua New Guinea is small and highly structured. Nambawan Super already enjoys a steady, semi-captive membership base, with the PNG Government acting as the primary employer/contributor. Unlike competitive consumer brands, Nambawan Super does not need aggressive, multi-million-kina public sponsorships to win or retain its primary membership base. Opportunity Cost & Member Service The fund’s primary mandate is to serve its existing members by lowering administrative fees, improving customer service, and maximizing annual interest returns. Capital proposed for sponsorship would yield far better long-term results if distributed back to member accounts or reinvested in high-performing, wealth-generating assets. Unfunded Government Liabilities The PNG Government owes substantial, ongoing unfunded liabilities to the fund for public servant retirement allocations. Instead of allocating energy and funds toward a sports franchise, Nambawan Super’s management and board should aggressively pursue the State to clear these outstanding debts, ensuring public servants receive their full payouts on time. Stalled Reform and Lack of Accountability The regulator’s historical slow-walking of broader industry reforms — such as holding back the findings of the Superannuation and Life Insurance Review Committee — highlights an ongoing trend of passivity. This lack of aggressive regulatory enforcement allows trustees to treat member funds like corporate play money rather than strictly guarded retirement nests. We call on the Bank of Papua New Guinea to take proactive action to safeguard the workers’ funds. Unions demand representation on the Nambawan Super Board The status quo of unions representation at committee level is less than information hunters and gatherers. The question is whether the deal has come through the process through these committees prior to arriving at this stage. The Board’s decision clearly reveals negligence of fiduciary duty to act ethically and sensibly. We the unions, who are the representatives of the workers and members, have a right to question how their funds are being utilized and that the board must be held accountable for these financial decisions. Deal value and demand for disclosure PEA is reliably informed that the three-year deal signed is denominated in Australian dollars worth AU$3.3 million or approximately PGK10.4 million, which is a lot of money. We demand full disclosure of the deal and any indirect sponsorship therein. Delayed payouts to retiring public servants Public servants are exiting the public service annually and deserve to receive their Nambawan Superannuation payout on time instead of waiting for months and years. Since 2019, 3,600 public servants have been retired. In 2025 alone, 495 public servants exited the public service. The question now is whether these retirees received their superfund payout on time or are still waiting to be paid out. Way Forward PEA will be writing to Nambawan Super to strongly demand transparency in this deal and a meeting with the CEO of the Fund. We will also be writing to the Fund regulator, the Bank of Papua New Guinea, to demand oversight over this sponsorship deal and invoke its regulatory responsibilities. Authorised for release Warren Ilaraki President Public Employees Association of Papua New Guinea