One of the most significant developments in the retirement benefits sector has been the steady expansion of coverage beyond traditional formal employment.
Membership in retirement schemes increased from approximately 3.37 million accounts in FY 2023/24 to over 4.06 million in FY 2024/25, representing one of the largest annual increases recorded by the sector. This growth was driven by enhanced employer compliance, financial literacy initiatives, and increasing public awareness of retirement planning and leveraging on technological innovation according to the Annual Sector Performance report.
Despite this progress, the sector faces a significant inclusion challenge. Uganda’s working-age population is estimated at 26 million people according to the National Labor Force Survey 2021-UBOS, yet only about 4 million are currently covered by retirement savings arrangements. This means that more than 80% of workers remain outside formal retirement protection systems, most of them operating in the informal economy.
Recognizing this gap, the Authority and sector stakeholders are accelerating efforts toward innovative solutions such as the National Long-Term Savings Scheme (NLTSS), designed specifically to cater for informal sector workers through flexible and accessible saving mechanisms.
To deepen financial inclusion, Pension architects are designing technology-enabled savings platforms, targeted financial literacy campaigns, and partnerships. As the sector matures, the ultimate measure of success will not simply be the size of sector assets but the number of Ugandans who can look forward to a financially secure retirement.
Technology has also become a critical enabler for extending retirement savings to underserved populations, particularly informal sector workers. The increasing adoption of digital platforms has made retirement saving more accessible, transparent, and efficient. Members can now access statements, monitor balances, make inquiries, and engage with service providers through digital channels, reducing costs and improving customer experience.
The future of retirement saving will increasingly depend on how effectively the sector leverages mobile technology, artificial intelligence, data analytics, and digital financial services to simplify saving and improve member engagement.
Innovation is no longer an option; it is a necessity for expanding access and improving outcomes for retirement savers. The Plan is to have all Ugandans saving sustainably for their golden years.