NAIROBI, Kenya, Feb 13 – Financial services provider Octagon Africa has launched a countrywide financial literacy campaign.
It comes on the back of a Court of Appeal rulling on the implementation of the National Social Security Fund (NSSF) Act, 2013, which seeks to increase pension deductions.
The sensitization forums targets members of the public, corporate organisations and their customers.
Octagon will conduct virtual seminars, public lectures, social media engagements, capacity-building programmes, faith-based organization sensitization workshops, regional conferences in major towns, and County Government engagement forums.
“Over the years, the cost of living has continued to rise, and it is crucial that the industry establishes a framework that ensures that retirement savings keep pace with these changes,” Octagon Africa Group CEO Fred Waswa said.
“The implementation of the NSSF Act, 2013, although increases pension deductions, it ensures that Kenyans have the financial security they need in retirement, allowing them to enjoy their golden years with peace of mind,” he added.
The Court of Appeal on 7th February 2023, overturned a judgment delivered last September by the Employment and Labour Relations Court, which found that the NSSF Act 2013 was unconstitutional.
Under the Act, the NSSF sought to build a bigger retirement pot and offer workers monthly stipends after their retirement as opposed to the current one-off payment.
The NSSF contributions were last reviewed in 2001 when the rate was increased to Sh200 from Sh160.
While welcoming the Court of Appeal ruling and the subsequent developments in the pensions industry, Waswa said that the ruling opens the door for the full implementation of the NSSF Act,2013 paving the way for better retirement packages for both employed and self-employed Kenyans.
“By deepening the public’s understanding of these recent developments in the pensions industry, we hope to support the country and provide our customers with the right information they need to secure their financial futures,” Octagon Africa Marketing, Products & Business Development General Manager Davis Ongiro said.
“We will engage them in every platform to ensure the right message on pensions is out,” Ongiro said.
