People’s Pension Trust launched
The People’s Pension Trust Ghana Limited (PPT), a new corporate Trustee in the country’s pension space has officially launched its operations poised to provide pension products and services to the informal sector and the formal sector respectively.
The People’s Pension Trust Ghana focuses specifically on individuals in the informal sector such as taxi drivers, market women, traders, farmers and entrepreneurs in the country to contribute their pension insurance for the future.
According to the Chief Executive Officer, Samuel Badiako Waterberg, he said: “the company target is to have 500,000 clients from the informal sector and have an asset of US$60 million in the next five years to help alleviate poverty during old age.”
The People’s Pension Trust received its operating license from the National Pensions Regulatory Authority (NPRA) for satisfying all their requirement to implement the tier-2 and tier-3 pension schemes under the National Pension Act 2008, (Acts 766).
The tier-two is mandatory for all employees whereas the tier-3 is a voluntary provident fund targeted at workers in the informal sector.
Mr. Waterberg told the B&FT that: ‘we did our feasibility studies over the past two years in the country and we realised the extent of poverty among the informal sector workers in their pension age, which is referred to as pension poverty.’
‘We are determined to offer an innovative and attractive pension packages to both sectors of the economy to help curb the high rate of abject poverty hovering on the corridors of the informal work space,’ he noted.
‘We currently have 2.5 million cocoa farmers in the country who do not have any pension insurance towards their retirement and we have provided this platform to enable them all come on board.’
The tier-3 pension system which came into implementation about six years ago, upon the passage of the Pensions Act provides some essential provision for Ghanaians generally to have some retirement income security.
Mr. Amartey-Vondee, Director, Planning, Research, Monitoring and Evaluation, National Pension Regulatory Authority (NPRA) speaking at the launch said: ‘It is important that while you are in your active working life, you make the appropriate contribution into the pension scheme so that when you exit your active working life, whatever, you have contributed to the scheme, will take care you of you in your last stage of life.’
Mr. Ernest Amartey – Vondee, delivering his speech at the programme