Most Pakistanis Don’t Have a Pension
Assets managed by pension funds in Pakistan have reached Rs. 156 billion, up 333 percent since January 2021, EFU Life … Read More The post Most Pakistanis Don’t Have a Pension appeared first on ProPakistani .
Pakistan's pension system is struggling to keep up with its rapidly growing population, according to Muhammad Ali Ahmed, CEO of EFU Life. As of December 2025, assets managed by pension funds in the country have reached Rs. 156 billion, a staggering 333 percent increase since January 2021. Ahmed highlighted that Pakistan has a working-age population of 134.4 million, with 13.5 million individuals aged 60 and above.
Shockingly, only 143,000 active accounts are registered under voluntary pension schemes, leaving a vast majority of the workforce outside formal pension arrangements. Ahmed emphasized that 72.1 percent of employment in Pakistan exists in the informal sector, further excluding a large segment of the population from formal pension schemes.
He stressed the urgent need to expand government, employer-sponsored, and individual pension systems to improve retirement security. Ahmed suggested that voluntary pension schemes and insurance-based long-term savings could play a crucial role in providing retirement income options. He also advocated for the promotion of annuity payments, phased withdrawals, and other retirement income products to give people more flexibility in managing their finances after retirement.
Written by urgent.news from ProPakistani's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
