Africa’s pension systems are at a critical turning point as governments grapple with the challenge of protecting millions of workers who remain outside formal retirement schemes.
Vice President Professor Naana Jane Opoku-Agyemang has delivered a strong call for sweeping reforms, warning that the continent cannot afford to delay action while demographic changes and economic transformation continue to reshape the labour market.
Speaking at the opening of the 2026 Annual Conference of the African Pension Supervisors Association (APSA) in Accra, the Vice President outlined four major priorities that she believes should guide the future of pension systems across Africa. According to her, pension reform is no longer an option but a necessity if African countries are to provide dignity and financial security for future generations.
The conference brought together pension regulators, policymakers, industry leaders and development partners from across the continent to examine strategies for building stronger, more inclusive and sustainable retirement systems.
Millions Left Without Retirement Protection
Professor Opoku-Agyemang painted a sobering picture of the current state of pension coverage in Africa. She revealed that pension systems currently cover less than one fifth of the continent’s workforce, leaving nearly 85 percent of workers without formal retirement protection.
She explained that the challenge is particularly severe because Africa’s labour market differs significantly from the traditional employment models upon which many pension systems were built.
“Current projections suggest that the number of Africans aged 60 years and above will exceed 226 million by 2050. Yet pension systems across the continent currently cover less than one fifth of the workforce. Nearly 85% of workers are working outside formal retirement protection.”
Professor Opoku-Agyemang
According to the Vice President, millions of Africans earn livelihoods through informal businesses, self employment, seasonal work and multiple income sources. These workers often have irregular earnings that make participation in conventional pension schemes difficult.
Four Priorities to Transform Africa’s Pension Systems
To reverse this trend, Professor Opoku-Agyemang unveiled four strategic priorities that she believes should shape pension reforms across the continent.
The first priority is accelerating pension inclusion, particularly among informal sector workers. She urged governments to redesign retirement savings systems that reflect the realities of Africa’s workforce instead of relying solely on models developed for formal employment.
The second priority focuses on harnessing technology and innovation. She said digital identification systems, mobile money platforms, financial technology solutions, data driven supervision and expanding digital infrastructure provide powerful opportunities to increase participation while improving efficiency and transparency.
The third priority calls for stronger cooperation among African countries to improve the portability of pension benefits. As labour mobility increases under the African Continental Free Trade Area, workers must be able to preserve and transfer their retirement benefits when they move across borders.
Finally, she stressed the importance of promoting awareness, transparency and accountability across pension institutions to strengthen public confidence in retirement savings.
Technology Could Revolutionise Pension Access
One of the strongest themes emerging from the conference was the role of digital innovation in expanding pension coverage.
Professor Opoku-Agyemang noted that mobile money services, digital identity systems and financial technology have already transformed financial inclusion across Africa. She believes these same innovations can help pension institutions reach millions of informal workers who have traditionally been excluded from retirement schemes.
“Digital identification systems, mobile money platforms, financial technology solutions, data driven supervision and emerging digital infrastructure offer unprecedented opportunities to expand coverage, improve efficiency and strengthen public confidence.”
Professor Opoku-Agyemang
Industry experts believe digital platforms could significantly reduce administrative costs while making contributions easier for workers with irregular incomes.
Sustainability Must Match Inclusion
While advocating broader pension coverage, the Vice President cautioned against sacrificing long term sustainability.
She warned that expanding participation without ensuring financial stability could create serious problems in the future.
“A pension system that covers many people but cannot honour its obligations is unsustainable,” she said.
She also noted that financial strength alone is not enough if millions remain excluded from retirement protection.
“Similarly, a pension system that remains financially sound while excluding the majority of citizens cannot be considered successful.”
Professor Opoku-Agyemang
Her remarks highlight the delicate balance policymakers must achieve between expanding access and maintaining the financial health of pension funds.
Building Trust Will Determine Success
Professor Opoku-Agyemang also emphasised that public confidence remains one of the most important pillars of successful pension systems.
She stressed that citizens must believe their savings are secure and that participating in retirement schemes will improve their future wellbeing.
Without trust, even the best designed pension reforms could struggle to attract contributors, particularly among workers in the informal economy.
She therefore called on regulators and pension institutions to improve transparency, accountability and public education to strengthen confidence in retirement savings programmes.
A Call for a More Secure Future
The Vice President concluded with an appeal for African leaders to view pension reform as a shared responsibility that extends beyond economic policy.
She argued that societies will ultimately be judged by how they care for citizens after their productive working years have ended.
“Our societies will not be judged so much by how they treated those at the height of their strength and productivity, but more relevant to our story will be how we treated those who worked diligently and contributed substantially to their nations and then needed support.”
Her message resonated strongly throughout the APSA conference, reinforcing the growing consensus that Africa’s economic future depends not only on creating jobs and expanding trade but also on ensuring that workers can retire with dignity, security and confidence.
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