As Uganda’s Retirement Benefits Sector continues to expand in both assets and participation, one message stands out —building a sustainable savings culture is central to securing a dignified future for all workers. Ugandans are encouraged to embrace consistent saving habits that can guarantee financial stability in later years.
In recent years, Uganda’s pension sector has made significant progress. Assets under management have grown from about UGX 25.3 trillion UGX 29.8trillion in the past five years, reflecting confidence in the sector’s strength and regulatory stability. However, while the numbers look promising, participation rates tell a more cautious story. Ugandans, covered under existing retirement benefits arrangements, stand at 3,791,074, the majority of whom are in formal employment. This means that an estimated 17.6 million working Ugandans—mostly in the informal sector—are not saving for retirement. According to Uganda Bureau of Statistics (UBOS), the informal sector accounts for over 80% of the country’s workforce, yet only a small fraction participates in any structured retirement savings scheme. This imbalance highlights a looming challenge, where many will likely face old-age poverty due to lack of savings and social protection in their later years. The critical question, therefore, remains: how can a Savings Culture be Boosted to support Pension Participation ? This imbalance highlights an important reality—financial growth alone is not enough without a strong culture of saving that cuts across all segments of society.
Cultivating a savings culture begins with mindset change and personal discipline. It is about forming a habit of setting aside part of one’s earnings, however small, for future needs. URBRA continues to remind the public that saving for retirement is not a privilege reserved for those with high or regular incomes, but a wise practice for anyone earning a living. The principle is simple—start small, stay consistent, and let time and compounding work in your favour. The earlier one begins, the greater the benefit.
Encouraging this behaviour requires both awareness and opportunity. Financial literacy in retirement planning remains a cornerstone of this transformation. When people understand how retirement schemes operate, what benefits they offer, and how contributions accumulate, saving becomes a natural part of their financial planning. URBRA, together with licensed schemes and financial institutions, has intensified public sensitisation through community engagements, webinars, and media campaigns aimed at demystifying retirement savings. These initiatives continue to empower Ugandans to make informed financial decisions and appreciate the value of preparing early for retirement.
Recent innovations in the sector have also made saving more accessible. Products such as National Longterm Informal Sector Scheme(NLTSS) will allow individuals with irregular incomes to save voluntarily at their own pace, making retirement saving inclusive for those outside the formal sector. This flexibility will open doors for boda boda riders, market vendors, artisans, and farmers—groups that form the majority of Uganda’s workforce but have historically been excluded from pension coverage.
Trust remains the foundation of any sustainable savings culture. Many people hesitate to save because they lack confidence in how their money will be managed. URBRA continues to strengthen this trust by enforcing transparency and accountability across all licensed schemes. Through strict supervision the Authority ensures that members’ contributions are safeguarded and that scheme managers act in the best interest of savers. When people can clearly see where their money goes and how it grows, confidence in the system deepens and saving becomes a lifestyle rather than a one-time act.
Ultimately, a culture of saving is more than a financial decision; it is a social value that strengthens families, empowers communities, and builds a resilient nation. Every shilling saved contributes to Uganda’s domestic investment pool, financing infrastructure, creating jobs, and supporting economic growth. Increased pension participation also reduces dependency and vulnerability among older persons, aligning perfectly with Uganda’s Vision 2040 and the National Development Plan’s aspirations for inclusive social protection. URBRA’s ongoing implementation of its Strategic Plan (2025/26–2030/31) underscores this vision by focusing on “harnessing retirement savings for sustainable social economic transformation”
As the strategy unfolds under this theme, the call to action is clear—start now, however small the amount may be, and keep the discipline. Building a sustainable savings culture takes time, patience, and collective effort from individuals, employers, schemes, and policymakers alike. URBRA remains committed to championing initiatives that promote financial literacy, encourage flexible saving arrangements, and widen pension coverage, especially for informal sector workers who form the backbone of Uganda’s economy. With continued collaboration and awareness, Uganda can achieve a future where saving for retirement is not an afterthought, but a way of life.