Kenyans Urged To save for Retirement

Kisumu

Wednesday November 15, 2023

KNA by Milton Onyango

Reports indicate that 74 percent of Kenyans who are working and earn a wage have not prescribed to any retirement savings scheme.

This was disclosed today by the Chief Executive Officer of the Retirement Benefits Authority (RBA) Mr Peter Macharia who decried the paltry numbers of those enlisted to a retirement savings scheme which currently stands at 26 per cent.

Macharia warned that this places citizens in a bad position when they shall retire with the retirement body now rolling out a massive campaign targeting to entice and sensitise Kenyans to enlist with the Authority in a bid to save for retirement.

“The whole agenda as we engage with the public in Kisumu is to propel and sensitise the people on the need to save for retirement while they are still in their working life. To share with you, data indicates that currently the people who are saving for retirement is barely 26% of the labour force and therefore 74% of our people who are able and who are working are currently not saving for retirement which spells doom in future if we do not encourage our people to make retirement savings arrangement,” warned Macharia. 

Speaking in Kisumu at the launch of the sensitisation of the citizenry on the benefits of early and timely savings, Macharia pointed out that the authority targets to ensure that the retirement benefits kitty ropes in over 1066 beneficiaries set to get proper cover and benefits on their savings.

“But more importantly we also say also that we are in this space to offer the assurance that those pension funds we have talked about and the 1076 pension schemes that we as a regulator are offering give space of hygiene to ensure there is no misappropriation of funds.

The RBA Chief Executive Officer affirmed that the schemes operate within the provisions of the law and more importantly members who have invested in the scheme will optimize their returns.

“We urge the media to join us in the discussion to encourage our people to save when they are able to and when they are economically active so that they can take care of themselves in later years and not depend and rely on relatives when they are no longer in service,” pointed out Macharia.

Courtesy; KNA