The Retirement Benefits Authority (RBA) has revealed that 7.6 million Kenyan workers are saving for their retirement. However, out of this figure, only 3.4 million people are actively putting money aside for their retirement years. RBA’s Corporate Communications Officer, Alex Mugambi, spoke about the figures during a media forum, outlining the importance of encouraging more people to save for their future.

The RBA hopes to increase the number of working Kenyans saving for retirement to 30% by the end of its 2019-2024 strategic plan. Additionally, the authority aims to increase retirement savings from Sh1.6 trillion to Sh2.4 trillion by the end of the plan.

He also emphasized the importance of seeking advice from financial experts to make informed decisions on which pension plan to choose. Mugambi urged self-employed individuals to be proactive in securing their financial future, stating that retirement planning is a vital aspect of long-term financial planning.

Mugambi further urged employers and policymakers to create awareness on the importance of retirement planning, especially among the self-employed. He emphasized that if more Kenyans started saving for retirement, they would be able to secure their financial future and enjoy a comfortable retirement.

This is great news for the self-employed and the informal sector who often have irregular incomes and need more flexibility in contributing to their pension plans. It is reassuring that the RBA is closely monitoring the registered pension companies to ensure that members’ contributions are being saved and earning interest. Overall, it seems like the RBA is taking steps to support all Kenyans in securing their financial futures through pensions.

By Wycliffe Andabwa

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