The Chief Executive Officer of the National Pensions Regulatory Authority (NPRA), Mr. Hayford Attah-Krufi has intimated that the government has shown its commitment to encourage more people especially those operating in the informal sector of the economy to enroll on pension schemes hence extending pension coverage.
Speaking at the recent Dinner and Awards night organized for NPRA, Mr. Attah-Krufi enunciated that “The recent launch of the National Cocoa Farmers Pension Scheme is an excellent example of the government’s commitment to ensure more extensive pension coverage in the informal sector.
The NPRA CEO went on to say that its outfit is working tirelessly to tackle issues affecting stakeholders under the current pension scheme adding that “The government is also leaving no stone unturned to resolve all outstanding issues in the implementation of reforms, especially to address retirement benefit challenges under Act 766”.
Mr. Attah-Krufi further asserted that, the NPRA is exploring various avenues for investing pension funds, as they serve as a good source of capital formation.
“Pension funds investment in the country appears so parochial. There are few avenues for investing in pension funds, apart from the very traditional ones used over the years. The need for well-diversified means of investing pension funds has to be employed to have broader and more profitable pension funds,” he remarked.
The first cohort of Ghanaian workers retiring this year under the new National Pension Act, 2008 (Act 766) would be paid promptly and adequately, he said, mentioning that, the NPRA was keenly monitoring all Pension Trustees to ensure that beneficiaries were not ripped off their contributions.
Mr. Paul Simon Koranteng, the Board Chairman of the NPRA, expressing his thoughts also assured that, plans to secure a robust automated system are well-advanced. This is to ensure full computerization of operations and improve upon the existing compliance-based approach and supervision to effectively and efficiently regulate the country’s pension industry to boost pension coverage.
“When we are able to do this, hopefully by next year, the risk-based supervision (RBS) systems will significantly enhance our regulatory operations. The system will help boost our operations in licensing and registration, standards and compliance management, complaint and grievance case management, as well as stakeholder interactions.
“It will also provide solutions for content management and help-desk and call centre management system challenges of the authority”.
The Minister of Employment and Labour Relations, Mr Ignatius Baffour Awuah, taking his turn said, government is well aware of some of the challenges NPRA faces in the payment of the lump sum to people who retire.
“I wish to say that we are working closely with the NPRA and other stakeholders to address the challenges. The President, Nana Addo Dankwa Akufo-Addo, has assured the labour front of his government’s readiness to address all disparities in the payment of pension benefits to workers retiring this year.
“I wish to reiterate that the government would absorb the shortfall in the lump sum payment by the Social Security and National Insurance Trust (SSNIT) to public sector workers who retire this year,” he alerted.
A 10-member committee has been inaugurated to determine the quantum of past credit payable to retirees and the modalities of credit transfer to SSNIT.
