The National Pension Commission(“Pencom”) has issued an exposure draft of guidelines for the administration of pensions for self-employed persons and persons employed in the informal sector. This is in line with Section 2(3) of the PRA 2014. Pencom expects comments from the public and all stakeholders before amending and issuing the final Guidelines.
The draft Guidelines predominantly refers to a‘Micro Pension Scheme(“MPS”). It details the characteristics, modalities for operation, investments of the pension fund assets and the criteria for conversion between the Compulsory Pension Scheme(CPS) and MPS. We present below a summary of the salient issues addressed in the draft Guidelines for your easy reading.