The Retirement Benefits Authority (RBA) has launched the National Retirement Benefits Policy and RBA 2024-2029 strategic plan and pension sector June 2024 Report.
The plan is consistent with the fourth medium-term plan of Vision 2030, which aims to provide a high quality of life to all Kenyans by the year 2030.
The plan aligns with the Bottom-up Economic Transformation Agenda (BETA) for the achievement of constitutionally guaranteed economic and social rights.
Speaking on Thursday at the opening of a two-day Pension Industry Convention, National Treasury Principal Secretary (PS) Dr. Chris Kiptoo said that the government is working to ensure that vulnerable Kenyans at the bottom of the pyramid are included in the savings for retirement, as that is one of the Kenya Kwanza Government’s promises to Kenyans.
“In this regard, the Kenya National Entrepreneurship Savings Trust (KNEST), a national informal sector pension scheme, was established by the government to meet the unique needs of the informal sector,” Dr. Kiptoo said.
The PS explained that KNEST has now set up all necessary structures and that very soon they would launch it formally.
“All the long-term savings accumulated under the Financial Inclusion Fund—Hustler Fund—will be remitted to the KNEST fund for investment and management to safeguard these benefits in accordance with the provisions of the Retirement Benefit Act,” said Dr. Kiptoo.
He highlighted that leveraging on technology would be critical in the successful implementation of their new strategic plan, as this would improve the efficiency and accessibility of the retirement benefit schemes, making them more inclusive and user-friendly.
RBA Board of Directors Chair Nelson Havi said that the launch of the strategic plan and National Retirement Benefits Policy 2024-2029 marks a significant milestone in the history of Kenya’s retirement benefits landscape.
Havi said that the plan also recognised the critical role retirement savings played in mobilising long-term savings that were critical to the nation’s economic growth and prosperity.
“These savings set the retirement benefits sector on a transformation path towards a secure and dignified retirement for all Kenyan workers,” said Havi.
He added that they are committed to promoting saving for retirement by supervising and supporting the development of the retirement benefits sector.
“The Retirement Plan aligns with universal Sustainable Development Goals (SDGs) with the goal of eradicating all forms of poverty everywhere, ensuring healthy lives, promoting sustained, inclusive, and sustainable growth, and reducing inequality within and among all countries,” said Havi.
He said that their targets in the new Strategic Plan 2024-2029 required collaboration from all stakeholders, including the government, the private sector, and civil society.
By Patience Mabonga and Cecil Oduor
