{
  "id": 18496515,
  "title": "Retirees decry cost of Ksh 65B unremitted pensions",
  "url": "https://urgent.news/2026/11/06/retirees-decry-cost-of-ksh-65b-unremitted-pensions",
  "topic": "world",
  "section": "World",
  "published": "2026-11-06T11:32:43.000Z",
  "source": {
    "name": "KBC",
    "slug": "kbc",
    "url": "https://www.kbc.co.ke/retirees-decry-cost-of-ksh-65b-unremitted-pensions/"
  },
  "original_language": "en",
  "account": "Two Kenyan organizations, the Association of Retirement Benefits Schemes (ARBS) and the Retirement Benefit Authority (RBA), have voiced concerns over the substantial amount of unremitted retirement funds, totaling Ksh 65 billion. They are now advocating for legislation to have pension payments for civil servants directly deducted from the Treasury to prevent the current crisis affecting retirees. Jane Nzau, chair of ARBS, expressed disappointment in the low enrollment rate of 26% in retirement pension schemes across the nation. She proposed expanding enrollment in the informal sector with products tailored to suit the informal sector's characteristics, emphasizing the importance of education and financial literacy.\n\nNzau highlighted that, since the inception of pension schemes in 2000, assets under management reached Ksh 3.1 trillion by the end of June, with only 26% of the workforce participating in the schemes. She noted that the informal sector constituted 74% of the workers, leaving them out of the pension system. Post-retirement medical coverage emerged as the most significant challenge for retirees, and the upcoming regulations for post-retirement medical funds were expected to resolve this issue.\n\nJohn Kaya, from RBA, proposed that pensions should be deducted directly from the exchequer and remitted to the respective schemes and other statutory organizations. Public institutions were identified as the primary culprits for deducting members' savings but failing to transfer them to the appropriate retirement schemes. Kaya further revealed that the sector's growth, measured by the number of service providers, stood at 70, with over 4 million active members and 8 million total members in retirement. Daniel Mainga, ARBS vice-chairperson, discussed the regulations for post-retirement medical funds, emphasizing the government's introduction of tax incentives, up to Ksh 15,000 per month, for individuals saving through these funds. Mainga concluded that contributing to both pension schemes and post-retirement medical funds allowed individuals to enjoy a total tax allowable benefit of Ksh 45,000 per month.",
  "summary": "The Association of Retirement Benefits Schemes (ARBS) and the Retirement Benefit Authority (RBA) have decried the rising amount of unremitted retirement funds which currently stand at Ksh 65 billion. The two agencies are now calling for a law to have pensions mainly for civil servants deducted from the Treasury to avoid the current crisis that […] The post Retirees decry cost of Ksh 65B…",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}