This archive report was first published on 4 August 2019.
Kenya's pension scheme administrators are calling for a national conversation on a framework that takes care of senior citizens, citing the country's aging population and the need for commercially viable products that address old people's needs.
During the Association of Retirement Benefits Schemes (ARBS) Annual General Meeting, stakeholders emphasized the importance of enabling the elderly to lead decent lives, which could transform Kenya into an attractive investment destination for old-age related services.
ARBS council member Jane Gitau noted that while there are pension and lumpsum payments for senior citizens, as well as a post-retirement medical scheme, more needs to be done to address the challenges faced by the elderly.
Ms. Gitau suggested that studies be conducted on the challenges faced by the elderly and creating avenues for them to continue serving the country, citing their experience and potential as consultants.
ARBS chairman Simon Nyakundi stated that the association is planning to hold a nationwide survey to understand the needs of the elderly and generate data that could be used to create insurance products that cater to them.
Mr. Nyakundi emphasized that the association's work is to cater for the well-being of senior citizens, highlighting the need for a sustainable solution to address the country's aging population.
He noted that the government's welfare kitty is not sustainable, and that the only solution is to force Kenyans to save money during their working life.
Mr. Nyakundi also stated that the Sh2,000 to Sh3,000 stipend given to the elderly is not enough to enable them to live decently, and that an ARBS pre-needs assessment survey found that most elderly people live in poverty.
He added that the government's Sh9 billion allocation for the welfare of Kenyans aged 70 years and above is insufficient to meet the needs of the elderly.
Studies by Zamara Group and Enwealth Financial Services found that even Kenyans enjoying a pension can hardly support the lifestyles they had during their working days, highlighting the need for commercially viable products that address old people's needs.
