Zambia’s Underdeveloped Capital Market and VEE hindering the growth of Pensions

The Pensions Insurance Authority (PIA) says Zambia’s Underdeveloped Capital Market and Volatile economic Environment is hindering the growth of Pensions in the country.

Speaking on the sidelines of a pensions and Insurance media workshop PIA in Lusaka, Pensions and Inspections Manager Mainza Musole says despite the pension’s fund having existed in Zambia since colonial days, coverage is still limited to mainly the formal sector.

Ms Musole says currently there are only 243 pensions’ schemes with 108,508 members in the country.

She says pension in the country is still not appreciated because only a few benefit and know the details about it.

She has noted the need for innovation for coverage to be extended in order to enhance adequacy of benefits by more people.

She has since disclosed that the authority will introduce micro pension schemes to capture the informal sector as well.