Govt wants pension sector reforms – Minister
By Sharon Tibenda
23rd January 2012:
The government of Uganda is committed to offering effective regulation of the Pensions Sector so as to reap the benefits of a liberalized sector, Finance, Planning and Economic Development Minister Hon. Maria Kiwanuka has said.
Kiwanuka made the remarks on 18th January while officiating at the launch of the East and Central Africa Social Security Association (ECASSA) Policy Makers conference at Kampala Serena Hotel. The Minister, under whose docket the social security and pensions sector falls, also revealed that the government is mindful of the risks associated with liberalisation.
“…While we are looking at a functioning liberalised sector, we are also mindful and managing the challenges to avert the risks. I have noted that you will also discuss the importance of ensuring adequate regulation of the liberalized Social Security Industry. This is an area that has already attracted a big interest and debate in Uganda,” Kiwanuka said.
She also said the government recently passed a law to enable the country start on the paths that Tanzania, Kenya and Zambia have already taken. “…I believe there’s a lot to learn from you particularly as regards sharing some challenges and success stories on what effective regulation can do in this industry,” the Minister told the visiting dignitaries.
Last year, the Ugandan parliament passed the Retirement Benefits Regulatory Act that set up a regulator to oversee the industry. However, many industry players, workers unions and experts have criticised the law, saying it ignored some key tenets of social security. Another bill that will liberalise the sector and break NSSF’s monopoly is currently before cabinet for discussion.
Minister Kiwanuka also pledged her government’s support for the initiatives taken by ECASSA to reform the pensions sector. END: Please login to www.ugandacorrespondent.com every Monday to read our top stories and anytime mid-week for our news updates.
